Key Points
- South
Korean President Lee Jae Myung and UAE President Mohamed bin Zayed Al
Nahyan held their first phone call since Lee took office, agreeing to
deepen bilateral cooperation in artificial intelligence (AI), nuclear
energy, defense, and advanced technologies. - Both
leaders committed to expanding their Special Strategic Partnership,
established in 2018, into more “strategic and future-oriented
areas,” including AI, defense, and nuclear power. - The
agreement comes as South Korea pivots back to nuclear energy to meet
surging electricity demands driven by AI and advanced tech, reversing the
previous administration’s nuclear phase-out. - President
Lee is promoting an “energy mix” strategy, with significant investments in
both nuclear and renewable energy to support large-scale AI initiatives
and economic growth. - The
UAE, under President Mohamed bin Zayed, is also prioritizing AI and
energy, viewing the race for AI as an “energy play” and a
“once-in-a-generation” opportunity, according to UAE Minister Sultan Al
Jaber. - Both
nations see AI and nuclear energy as central to economic revival,
technological leadership, and national security. - The
leaders agreed to meet in person at upcoming diplomatic events, such as
the Asia-Pacific Economic Cooperation summit in South Korea later this
year. - The
agreement is expected to open new avenues for joint ventures, research,
and development, as well as defense and arms industry collaboration. - This
shift in policy and cooperation is seen as a significant opportunity for
industry, investors, and the broader tech and energy sectors in both
countries.
In a landmark development for
bilateral ties, South Korea President Lee Jae Myung and United Arab Emirates
President Mohamed bin Zayed Al Nahyan agreed on Tuesday to significantly expand
cooperation in artificial intelligence (AI), nuclear energy, and defense,
signaling a new era of strategic partnership between the two nations.
What Did the Leaders Agree On During Their First Phone Call?
As reported by Kim Eun-jung of Yonhap News Agency, the two
presidents spoke by phone for the first time since Lee’s inauguration last
month. During the conversation, President Lee expressed his intent to further
advance the Special Strategic Partnership established in 2018, emphasizing the
need to broaden collaboration into more “strategic and future-oriented areas.”
According to presidential spokesperson Kang Yu-jung, both leaders specifically
agreed to strengthen cooperation in artificial intelligence, advanced
technologies, the defense and arms industries, and nuclear power.
Kang Yu-jung, in a written briefing cited by Yonhap News
Agency, stated:
“In particular, they agreed to strengthen cooperation in
fields, such as artificial intelligence, advanced technologies, the defense and
arms industries and nuclear power.”
The two presidents also agreed to meet in person at upcoming
diplomatic events, including the Asia-Pacific Economic Cooperation (APEC)
summit scheduled for later this year in Gyeongju, South Korea, to discuss
further ways to enhance bilateral ties.
Why Is AI and Energy Cooperation So Critical for Both
Countries?
As highlighted by Sultan Al Jaber, UAE Minister of Industry
and Advanced Technology, during the 2025 Global Energy Forum hosted by the
Atlantic Council, the global race to establish AI supremacy is “essentially an
energy play.” Al Jaber, who also heads the national oil company ADNOC and
renewable energy company Masdar, explained:
“The race for AI is not just about code . . . it’s about
gigawatts,” noting that a single ChatGPT query uses ten times as much energy as
a Google search.”
Al Jaber emphasized that the United States alone will need
50 to 150 gigawatts of new installed capacity over the next five years to meet
AI-driven energy demands, calling it a “once-in-a-generation” opportunity. He
also noted that AI can help optimize energy grids, unlocking efficiencies and
improving power generation.
How Is South Korea Shifting Its Energy Policy to Meet AI
Demands?
As reported by Freewhale98 on Reddit and further analyzed by
Henry Rivers for AInvest, President Lee Jae Myung is spearheading a dramatic
reversal of South Korea’s energy policy. Moving away from the previous
administration’s nuclear phase-out, Lee is now promoting an “energy mix”
strategy that includes extending the operational life of nuclear plants and
increasing investments in both nuclear and renewable energy.
This policy shift is largely driven by the anticipated surge
in electricity demand from AI and advanced tech sectors. Lee’s administration
has announced a 100 trillion KRW ($72 billion) investment in AI initiatives,
including the creation of a national AI data cluster requiring 3 GW of
energy—equivalent to three nuclear reactors.
A senior Democratic Party official told Reddit’s r/nuclear:
“There is an increasing realization that relying solely
on renewable energy won’t suffice to meet the substantial electricity demands
of the AI sector,” adding that there is a growing agreement on the necessity of
maintaining nuclear energy’s contribution.”
What Are the Economic and Strategic Implications of the
Policy Shift?
According to Henry Rivers of AInvest, Lee’s pivot to nuclear
energy is not just about meeting energy needs—it’s a cornerstone of his
economic revival strategy. The world’s largest AI data center, announced in
February 2024, is designed to attract global tech firms and position South
Korea as a tech and energy superpower.
This move also addresses the financial instability of Korea
Electric Power Corp. (KEPCO), the state-owned utility burdened with $141.5
billion in debt due to previous coal-heavy policies. Lee’s reforms aim to
stabilize KEPCO and potentially unlock value through privatization or
public-private partnerships.
Rivers notes that companies like Doosan Heavy Industries
(nuclear reactors), SK Hynix, and Samsung Electronics (AI and data
infrastructure) stand to benefit from the surge in nuclear and AI-driven energy
projects.
How Does the UAE View the AI-Energy Nexus?
The UAE, under President Mohamed bin Zayed, is similarly
focused on the intersection of AI and energy. Sultan Al Jaber, speaking at the
Global Energy Forum, called for international cooperation, stating:
“Meeting the demand for energy associated with AI is not
just a technical challenge, but a once-in-a-generation opportunity.”
Al Jaber also highlighted the role of energy in peace and
stability amid ongoing regional conflicts, urging all parties to “show
restraint” and prioritize “progress through partnership.”
What Are the Broader Geopolitical and Industry Impacts?
The agreement between South Korea and the UAE is expected to
have significant ripple effects:
- Both nations are likely to pursue joint
research, development, and commercialization of advanced technologies,
including next-generation nuclear reactors and AI applications. - Enhanced cooperation in defense and arms industries
could lead to new contracts, technology transfers, and increased regional
security collaboration. - South Korea’s shift may inspire other
countries to reconsider nuclear power as a solution to the energy demands
of AI and digital economies.
What Is the International Context for AI and Advanced
Technology Cooperation?
The U.S. and UAE have also recently endorsed “Common
Principles for Cooperation on AI,” aiming to strengthen regulatory frameworks,
promote safe deployment of critical technologies, and encourage joint research
and academic exchanges. This reflects a broader trend of international
partnerships focused on balancing innovation, security, and human rights in the
AI era.
What’s Next for South Korea-UAE Relations?
Both presidents have committed to meeting at major
diplomatic events and continuing to deepen their partnership. The focus will be
on:
- Expanding
scientific, academic, and industrial ties. - Facilitating
cross-border investment and innovation. - Ensuring
energy security and economic growth through joint projects in AI, nuclear,
and defense.
As reported by Kim Eun-jung of Yonhap News Agency, this new
phase in South Korea-UAE relations marks a significant step toward building a
future-oriented alliance that leverages technology and energy for mutual
prosperity.
