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How Korea's 'sensitive country' listing could impact its nuclear research

Published: 20 May. 2025, 19:08 Updated: 21 May. 2025, 14:16

Minister of Trade, Industry and Energy Ahn Duk-geun, left, shakes hands with U.S. Energy Secretary Chris Wright after their meeting in Washington on March 20. [MINISTRY OF TRADE, INDUSTRY AND ENERGY]

A state-funded think tank urged the Korean government's agility in removing the country from the U.S. Energy Department's sensitive country list, warning that the designation could pose serious challenges to joint research efforts between Korea and the United States on next-generation nuclear technology.

The Science and Technology Policy Institute (Stepi) released a report Monday titled “Impact and Countermeasures in the Science and Technology Sector Following Korea’s Designation as a Sensitive Country by the U.S. DOE,” which defined the Energy Department's designation as “a critical constraint” on bilateral science and technology collaboration, warning that it could hinder the future joint development of core technologies.

The designation could specifically affect cooperation in next-generation nuclear reactors and spent fuel reprocessing — two fields where Korean researchers are already working with U.S. national laboratories under the Energy Department.

For example, the report noted that Korean researchers could face restrictions when visiting U.S. research sites for joint development of fourth-generation small modular reactors. It also warned that the equipment necessary for research might not be allowed into Korea.

The report urged authorities to examine whether other U.S. agencies, such as the Department of Commerce and the Treasury Department’s Office of Foreign Assets Control, or even countries in Europe, might adopt similar restrictions.

The biggest concern is that Stepi’s findings contradict the Korean government’s official stance, which stated that the Energy Department's designation would not impact bilateral research and development.

On April 15 — the day the designation took effect — the government said the Energy Department had “reaffirmed that the listing of Korea as a country of risk would not affect ongoing or planned Korea-U.S. R&D [research and development] collaborations.”

Construction site of the Shin-Kori 5 and 6 reactors, located in Ulsan. [YONHAP]

In fact, just two days after the measure took effect, a Korean consortium led by the Korea Atomic Energy Research Institute secured a contract for the initial design of a U.S. research reactor, and the government presented this as evidence that “cooperation between Korea and the United States remains unaffected by the designation.”

Asked whether Stepi’s report contradicts the government’s stance, Choi Jong-hwa, the senior researcher who wrote the report, said the purpose of the study was “to help the government enhance its response system by thoroughly examining potential challenges.

“We do not believe that every issue outlined in the report will materialize,” Choi said.

To resolve the issue quickly, the report recommended a “one-point” strategy that treats the designation as a research collaboration issue, rather than bundling it with broader concerns, such as security or trade, because doing so could reduce the risk of Korea being forced to concede on the delisting issue as part of a larger deal.

The report also called for a wider governmental response protocol and the establishment of a proactive monitoring system to track potential sanctions.

Translated from the JoongAng Ilbo using generative AI and edited by Korea JoongAng Daily staff.
BY KANG KWANG-WOO [[email protected]]