"Next Year Marks 30th Anniversary of Korea-China Diplomatic Relations... Both Countries Must Cooperate for a Stable and Reliable Supply Chain"

Korea-China Request to Strengthen New Industry Exchanges in ICT, AI, Robotics, and Bio
Ambassador Xing Haiming: "Bilateral Relations to Advance to a New Stage Next Year... Hope for Cooperation in Various Fields"

[Asia Economy Reporter Ki-min Lee] As the 30th anniversary of Korea-China diplomatic relations approaches next year, voices from the business community have emerged, emphasizing that not only governments but also the corporate sector must cooperate to establish a stable and reliable supply chain between the two countries.

The Korea Employers Federation (KEF) held a luncheon meeting on the morning of the 7th at the Four Seasons Hotel in Seoul, inviting Xing Haiming, the Chinese Ambassador to Korea. Attending the meeting were KEF member company representatives and executives including Lee In-yong, President of Samsung Electronics; Kim Chang-beom, Vice Chairman of Hanwha Solutions; Woo Ki-hong, President of Korean Air; Bae Jae-hoon, CEO of HMM; along with Ambassador Xing and Economic Counselor Wang Qilin.

In his greeting, KEF Chairman Sohn Kyung-shik noted that trade between Korea and China has increased 38-fold over the 20 years since establishing diplomatic relations and is expected to continue growing despite uncertainties in the global trade environment. He said, "With the enforcement of the Regional Comprehensive Economic Partnership (RCEP), the world's largest free trade agreement involving both Korea and China next year, we anticipate further expansion of regional economic cooperation."

During the meeting, KEF member company executives and Ambassador Xing discussed the stabilization of international supply chains, strengthening exchanges between companies of both countries to foster new industries, and support measures for Korean companies entering the Chinese market. Chairman Sohn referred to the recent shortage of urea solution since last month, stating, "China is Korea's largest trading partner, and Korea is China's third-largest trading partner. Through close cooperation and division of labor, mutual development has been achieved. Both governments and companies must cooperate more to build a stable and reliable supply chain."

They also agreed on the need for active exchanges between the two countries to create synergies in fostering new industries such as advanced industries including information and communication technology (ICT), artificial intelligence (AI), robotics, as well as bio and eco-friendly technologies. The business leaders requested active support such as investment incentives and deregulation for Korean companies expanding not only in manufacturing but also in culture, arts, entertainment, and food sectors. Chairman Sohn urged, "I hope the 'Business Fast Track' system will be applied more broadly to small and medium enterprises and the private sector in the future."

Additionally, Chairman Sohn explained, "KEF has jointly established the Korea-China Business Advisory Council with the China International Council for the Promotion of Multinational Corporations (CICPMC) to expand exchanges among major businesspeople of Korea and China. Although direct exchanges are currently difficult, we plan to promote mutual visits as conditions improve."

Ambassador Xing Haiming also responded, saying, "The two countries are 'strategic cooperative partners' closely connected through industry and supply chains. As we approach the 30th anniversary of Korea-China diplomatic relations next year, our bilateral relations can develop to a new level. We hope to strengthen Korea-China cooperation in various fields including the digital economy, AI, bio, and pharmaceuticals, which are part of new industries."