Finance Minister calls for US cooperation in IRA guidelines on critical minerals

SEOUL, 26 Feb. (Yonhap) — South Korea’s Finance Minister Choo Kyung-ho has called on the United States to cooperate in meeting Seoul’s request in upcoming U.S. guidelines on critical minerals and component requirements. battery of the Inflation Reduction Act (IRA), the finance law announced Sunday by the ministry.

Choo made the request during a meeting with US Treasury Secretary Janet Yellen in India on Saturday (local time), noting that the upcoming guidelines will provide automakers with clear information on critical mineral and component requirements for battery. and South Korean battery manufacturers.

South Korea is working to persuade the United States to include Indonesia and Argentina, among other countries, as countries of origin for critical minerals in electric vehicle (EV) batteries so that companies in the South – Korean companies meet IRA requirements.

South Korean companies buy essential minerals for their electric vehicles from Indonesia, Argentina and some other countries.

The IRA, signed into law by US President Joe Biden in August, offers up to US$7,500 in tax credits to buyers of electric vehicles assembled only in North America, raising concerns that Hyundai Motor and its small subsidiary Kia Corp. lose ground in the United States. states. market, as they manufacture their electric vehicles in domestic factories for export to the United States

Choo traveled to India for the Group of 20 finance ministers and central bank governors meeting in the southern Indian city of Bangalore on Friday and Saturday.