President Yoon Suk Yeol shakes hands with Singaporean Prime Minister Lawrence Wong at a joint press briefing held at the Singapore Parliament, Singapore, Tuesday. Yonhap

SINGAPORE — South Korea and Singapore agreed to bolster supply chain collaboration and expand cooperation in high-tech sectors, including artificial intelligence (AI), digital technologies, and startup investments, the presidential office said, Tuesday.

The two countries also decided to upgrade their ties to a strategic partnership next year, in commemoration of the 50th anniversary of establishing diplomatic relations in 1975.

During President Yoon Suk Yeol's state visit to Singapore, Yoon and Prime Minister Lawrence Wong agreed to form the Supply Chain Partnership Arrangement (SCPA) during their summit. Although South Korea has signed multilateral supply chain agreements before, this is the first time the country has upgraded one to a bilateral level.

Yoon emphasized that the two countries will enhance cooperation on the supply chain of strategic materials and energy in response to increasing global economic instability.

"Based on the SCPA that we sign this time, we have agreed to enhance supply chain cooperation in the bio, energy, and high-tech industries and to jointly respond to supply chain disruptions," he said during a joint press briefing after their summit.

In particular, the South Korean president highlighted that the memorandum of understanding (MOU) on LNG supply cooperation will help establish a stable international energy supply chain. South Korea is the world's third-largest LNG importer, while Singapore serves as a major global LNG trading hub.

President Yoon Suk Yeol inspects an honor guard alongside Singaporean President Tharman Shanmugaratnam during an official welcome ceremony at the Singapore Parliament, Singapore, Tuesday. Yonhap

Yoon also emphasized the importance of technological cooperation in startup investments and food security.

"The two countries will deepen cooperation in advanced technologies, including AI, which will be the driving force of future development, as well as in the startup sector. We have also agreed to strengthen research and development (R&D) cooperation to jointly address global challenges, such as food crises caused by extreme weather and pandemics," Yoon said.

Specifically, the two countries aim to prioritize collaboration in areas such as advanced manufacturing, future vehicles and AI. The South Korean government will also assist South Korean companies in launching joint R&D initiatives with prominent Singaporean businesses and research institutions.

In 2020, the Korea Startup Center was established in Singapore, becoming the first of its kind in Southeast Asia to support the local expansion and growth of South Korean venture startups in international markets.

The two countries also reaffirmed their shared stance that the international community will not tolerate North Korea's illegal nuclear weapons development and reckless provocations. They agreed to closely coordinate efforts to ensure that the international community sends a clear and united message to North Korea at the upcoming ASEAN Summit in Laos.

President Yoon Suk Yeol shakes hands with Singaporean Prime Minister Lawrence Wong after a joint press briefing at the Singapore Parliament, Singapore, Tuesday. Yonhap

Wong expressed his support for elevating bilateral ties to a strategic partnership, noting that the two countries have both experienced rapid growth and an increase in bilateral trade and cooperation across various sectors.

"I believe that establishing a strategic partnership is very timely, as our two countries will celebrate the 50th anniversary of diplomatic relations next year. This is not merely a change in name; it signifies that more substantial cooperation will take place. For instance, we plan to enhance the free trade agreement (FTA) between Korea and Singapore to align it with the realities of the digital age, strengthen connectivity, and, importantly, address the growing demand in the aviation sector," Wong said during the press briefing.

He added that bilateral cooperation will further expand into areas such as defense, education, climate change, AI, cybersecurity, as well as digital and green economies.

President Yoon Suk Yeol talks with Singaporean President Tharman Shanmugaratnam with government officials from the two nations attenting, at the Singapore Parliament, Singapore, Tuesday. Yonhap

Earlier in the day, Yoon also held a meeting with SingaporeanPresident Tharman Shanmugaratnam.

During Yoon's two-day state visit to Singapore, the two sides signed a total of 17 memoranda of agreement covering various sectors, including energy, venture capital, technology, and entertainment.

South Korea and Singapore experienced increased exchanges, with the number of mutual visitors surpassing 900,000 last year.