Jigar Shah, left, director of the Loan Programs Office at the U.S. Department of Energy, shakes hands with Yoon Hee-Sung, chairman and CEO of Export-Import Bank of Korea (Eximbank), after signing an MOU for supply chains and eco-friendly energy sector cooperation at the department's headquarters in Washington D.C., Wednesday, local time. Courtesy of Eximbank

Export-Import Bank of Korea (Eximbank) signed a memorandum of understanding (MOU) with the U.S. Department of Energy for cooperation in supply chains and eco-friendly energy, the bank announced Thursday.

The U.S. Department of Energy, which is in charge of the country's energy and nuclear security policy, supports investment in eco-friendly energy-related facilities such as manufacturing plants and infrastructure through its Loan Programs Office.

The state-run bank's chairman and CEO Yoon Hee-Sung signed the MOU with Jigar Shah, director of the Loan Programs Office, at the U.S. Department of Energy headquarters in Washington D.C., Wednesday, local time.

It is the first time for the Eximbank to sign an MOU with a U.S. department.

The agreement for cooperation comes as Korean businesses are increasingly advancing into the U.S., both in terms of exports and direct investment, amid the restructuring of global supply chains. The two organizations pledged cooperation in eco-friendly energy industry sectors — such as secondary batteries, electric vehicles, core minerals, renewable energy, hydrogen power and bio energy — to attain the goal of carbon neutrality by 2050.

The two plan to form a council to exchange information and search for new projects to jointly engage in financial support.

“The MOU will greatly contribute to expansion of Korea-U.S. economic cooperation as well as helping us better cope with the restructuring of the global supply chain. We will expand financial support to enhance competitiveness of Korean firms that have strength in eco-friendly energy sectors, such as solar and hydropower,” Yoon said.

Eximbank also signed an MOU with the Export-Import Bank of the U.S. in December last year, to strengthen economic cooperation between the two countries.