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SEOUL: Closer bilateral trade and economic relations between China and South Korea will benefit both countries and the rest of the world, especially as protectionism practised by some countries is jeopardising global industrial and supply chains, experts say.
“China welcomes South Korean enterprises to increase their investment in China and expand industrial cooperation in fields like electronic information, automobile manufacturing, digital economy and green development,” said Bi Jingquan, executive vice-chairman of the China Center for International Economic Exchanges.
“This will take the complementary advantages that exist between China and South Korea and their win-win cooperation to a higher level,” said Bi, who made the remarks at the opening ceremony of the third round of a dialogue involving entrepreneurs from the two countries and former high-level officials.
The two countries are expected to speed up the second phase of their free trade agreement negotiations, make good use of the opportunities brought by the Regional Comprehensive Economic Partnership agreement, which took effect on Jan 1 last year, and co-develop third-party markets, he said.
Through such efforts, the two countries can jointly ensure the safety and stability of the global industrial and supply chains, and inject new impetus into regional development and prosperity, he said.
China is South Korea’s largest export market and the largest source of imports as well.
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Official Customs data showed bilateral trade between China and South Korea exceeded US$360bil (RM1.59 trillion) in 2021, or 72 times that of 1992, when the two countries established diplomatic relations.
During a certain period, China was South Korea’s largest trading partner for 18 successive years.
Investment from South Korea in China increased more than 106% year-on-year during the first 10 months of 2022, according to the Commerce Ministry.
Analysts noted that the two countries had benefited from their complementary trade relations in the past, and their strengthening industrial and supply chain coordination and cooperation, particularly in the semiconductor industry, would bring more opportunities for all.
China has reiterated on different occasions that it is willing to work with other countries to jointly ensure the safety and smooth operations of global industrial and supply chains and safeguard the international free trade system.
Yoo Il-ho, a former deputy prime minister of South Korea, said while the Covid-19 pandemic destabilised the global industrial chain, some developed countries have been creating trade barriers under the guise of protecting high-end industries and technologies.
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