On December 10, India and Korea commemorated the golden jubilee of their diplomatic ties, marking five decades of a relationship that has traversed a diverse terrain of experiences. Over the past half-century, this bilateral association has weathered numerous fluctuations, witnessing both peaks and troughs.
Despite India’s pivotal role in halting the Korean War, the ensuing Cold War politics strained ties with both North and South Korea. It was only in 1973 that India could definitively establish diplomatic relations by formally recognizing both Koreas.
However, it is crucial to note that even during the period preceding the establishment of diplomatic ties, India’s connections with South Korea were not entirely severed. In fact, prior to the formal diplomatic engagement, India and South Korea were already fostering a trade relationship, with a trade volume approximating US$14 million per year.
The formalization of diplomatic ties served as a catalyst, significantly propelling the nascent trade relations to unprecedented heights. This pivotal moment ushered in an era of rapidly accelerating economic ties between the two nations.
The impact of this diplomatic milestone is exemplified by the remarkable growth in bilateral trade, surging more than 1900-fold over the last five decades. As of 2022, trade volume has soared to an impressive $27.8 billion, a testament to the resilience and dynamism of the India-Korea relationship.
At present, major South Korean conglomerates, including Hyundai Motor, POSCO, LG Electronics and Samsung Electronics, have entrenched themselves in the Indian market, operating on a substantial scale.
The intertwining of economic interests and diplomatic endeavors stands as a beacon, illuminating the substantial strides made by India and South Korea in their enduring partnership.
Chilly ties
The transformation from chilly diplomatic relations to a thaw in ties between India and South Korea unfolded against the backdrop of the Cold War era. Throughout these years, the bilateral relationship found itself relegated to the back burner, with the two nations aligning with opposing camps.
While South Korea became integrated into the US-led alliance system in the region, India gravitated toward the Soviet Union. The prevailing political considerations during this period hindered any attempts to rebuild ties between the two countries.
Economically, the divergence was stark. India, following socialist economic policies, stood in stark contrast to South Korea’s export-led strategy rooted in a liberal economic system. The ideological disparities left little common ground for collaborative efforts.
Consequently, India’s initiative to establish ties in 1973 was initially perceived merely as a diplomatic gesture, with little expectation of substantial progress. This status quo persisted until the collapse of the Soviet Union in 1990, during which the ties between the two nations saw limited improvement.
The abrupt demise of the Soviet Union and the conclusion of the Cold War marked a pivotal turning point, liberating both South Korea and India from the shackles of superpower rivalry. Impressed by the rapid economic growth of East Asian countries, Asian leaders, particularly those in India, began taking a keen interest in the success stories of South Korea and Japan.
South Korea, in particular, garnered significant attention for its remarkable transformation from a poor Third World country to a developed nation within a remarkably short timeframe.
This newfound interest prompted an influx of Indian scholars into Korean universities, seeking to study and understand the East Asian miracle. Simultaneously, as Seoul sought new markets for its export-led economy, Korean political and business leaders increasingly turned their gaze toward India.
This marked the beginning of a substantive shift in the bilateral relationship, as both nations embraced the opportunity for collaboration and mutual benefit, setting the stage for a flourishing partnership that transcended the constraints of the Cold War era.
Flurry of new agreements
The intricate web of new agreements between India and South Korea has unfolded as a consequence of their shared interests, prompting both nations to fortify their ties. A significant milestone emerged after the Cold War era when South Korean president Kim Young-sam visited Delhi in February 1996, culminating in the signing of the Future-Oriented Partnership.
This accord aimed to elevate the bilateral trade to $5 billion by the year 2000. Taking a further step, leaders of both nations signed the Korea-India Joint Committee Establishment Agreement, focusing on enhancing ties in trade, investment and culture. Special emphasis was placed on encouraging Korean companies to engage in infrastructure improvement projects in India.
The burgeoning partnership received another boost with president Roh Moo-hyun’s visit to India in 2004, solidifying the relationship with the Long-Term Cooperative Partnership for Peace and Prosperity. Buoyed by the growing ties, the political leadership set an ambitious goal of raising trade to $10 billion by 2008.
The subsequent negotiations for the Comprehensive Economic Partnership Agreement (CEPA) commenced in earnest and were officially signed in Seoul in August 2009, coming into force in January 2010.
As the partnership evolved, new dynamics entered the fray by 2010, driven by larger strategic considerations, particularly in response to the China factor.
Recognizing the need to elevate their relationship, New Delhi and Seoul signed a Strategic Partnership encompassing border security and defense collaboration to navigate the rapidly changing geopolitical situation in the region.
Progressing further, they upgraded to a Special Strategic Partnership in 2015, establishing an institutional framework for annual summit meetings through mutual visits or multilateral conferences.
This elevated engagement also manifested in the initiation of the 2+2 ministerial dialogue on foreign affairs and defense affairs to coordinate responses to the growing challenges in the region. To boost economic ties, negotiations for the revision of the CEPA were initiated to address evolving concerns on both sides.
Simultaneously, as South Korea’s defense industry gained global prominence, the Indian defense establishment expressed interest in Korean weapon systems. This led to among others the successful conclusion of a $650 million deal for the export of South Korea’s K9 self-propelled howitzers to India, with discussions about potential joint ventures for the production of weapon systems in India.
Building on these burgeoning ties, South Korean President Yoon Suk Yeol and Indian Prime Minister Narendra Modi, during their meeting at the Group of Twenty summit in New Delhi in September, pledged to strengthen further the strategic partnership between the two countries.
Challenges remain
Despite the commendable progress in their bilateral ties, persistent challenges continue to mar the relationship between India and South Korea. Despite sincere efforts, the CEPA negotiations have hit an impasse, with both nations unwilling to yield to each other’s demands, reflecting a nuanced struggle to address their respective concerns.
There are serious concerns that India and Korea may not be able to achieve their trade target of $50 billion by 2030. Korean investments in India are also not flowing as expected. The number of Korean students studying in Indian universities is still very small, as is the number of Korean tourists visiting India.
In the realm of defense cooperation, the Korean Defense Acquisition Program Administration (DAPA) remains entrenched in a Cold War mentality, treating India as if it still belongs to an opposing camp. This mindset has repeatedly frustrated Indian attempts to acquire advanced Korean weapon systems and secure technology transfers from Korea, impeding the full realization of their defense partnership.
Compounding the challenges are lingering negative perceptions among South Koreans toward India. Stereotypes related to unsanitary public spaces, high crime rates, and social inequalities persist, casting a shadow over the economic and defense collaboration between the two nations.
The significant disparity in per capita income, with South Korea boasting markedly higher figures than India, contributes to a biased view of India as a developing country, affecting the dynamics of their partnership.
Moreover, Indian residents in South Korea grapple with social discrimination and racial biases, hindering their integration into Korean society. This disparity in lived experiences further complicates the relationship, as the population of Koreans in India grows rapidly, but the number of Indians residing in Korea on a permanent basis remains relatively small.
Conversely, India too must reassess its perspective on Korea beyond being a source for economic investment, technology transfer, and procurement of new weapons systems. As South Korea grapples with economic and societal challenges, including a projected fall to the 15th position in the global economy by 2050, India needs a comprehensive strategy to empower Seoul to navigate impending challenges.
Understanding the potential repercussions of a collapse in the South Korean economy and regional stability is paramount for Indian leadership.
Addressing these lingering challenges requires a concerted effort from both nations to foster a deeper understanding, dispel misconceptions, and bridge the gaps that persist in their economic, defense, and social partnerships.
Way forward
An imperative exists to transcend oversimplified views and embrace a multifaceted perspective when contemplating India and its residents in Korea. While acknowledging India’s existing challenges, including economic disparity and poverty, it is crucial to underscore the positive facets of the Indian economy and its rich historical heritage.
Urgently, there is a need for Koreans to shift their perspectives on India and its people if they intend to fully harness the potential inherent in this partnership.
Essential to this paradigm shift is for Koreans to recognize India’s trajectory, projected to ascend from the fifth to the third position in global economic rankings by 2050, surpassing South Korea.
Acknowledging India’s burgeoning economic and military capabilities, along with its potential role in global supply chain reconfigurations, is vital. Similar to Japan’s proactive initiatives, South Korea should take affirmative steps to address the challenges impacting the relationship and recognize India’s evolving role in the fast-changing geopolitical security landscape.
In order to ensure the longevity of their partnership for the next 50 years, India and Korea must adapt to the evolving challenges of the time. Bridging geographical and psychological gaps is crucial for fostering a diverse and sustainable partnership. Both nations should strive to overcome obstacles hindering the growth of this partnership, contributing to its sustainable development over the coming decades.
By doing so, India and Korea can ensure that their alliance remains relevant and resilient in the face of a changing global landscape.