Korea-China Parliament Supports Business Expansion... Rapid Progress in Establishing Corporation 'Donghaeng'

Participation of Legislators, Businesspeople, and Experts from Both Countries
Hwang Deuk-gyu, Former President of Samsung China, as Preparatory Committee Chairman

As the diplomatic chill between the South Korean and Chinese governments lengthens, parliamentary diplomacy between the two countries is gaining momentum. There is a consensus to establish a corporation under the South Korean National Assembly to promote political and economic exchanges between the two countries and to provide legal advice for business ventures.

On the 8th, Park Sang-chul, Director of the National Assembly Research Service, met with reporters in Beijing, China, stating, "We will establish a corporation called 'Han-Chung Donghaeng' under the National Assembly to explore exchanges between the parliaments of the two countries and directions for economic development." Park, who visited China for four days from the 5th to the 8th and met with key figures such as the vice chairpersons of the Chinese People's Political Consultative Conference (CPPCC) and the National People's Congress (NPC), which are equivalent to our National Assembly, said that a consensus was formed and further consultations will continue.

Sangcheol Park, Director of the National Assembly Legislative Research Office (second from the left), is meeting with officials from the Social and Legal Affairs Committee of the Chinese People's Political Consultative Conference on the 6th. (Photo by National Assembly Legislative Research Office)

Currently, there are about 140 corporations established under the National Assembly, but none deal specifically with South Korea-China economic relations. Park plans to establish a corporation called 'Han-Chung Donghaeng,' composed of parliamentarians, businesspeople, and experts such as professors, excluding political, diplomatic, and security fields, to create a platform for friendship and exchange aimed at practical cooperation. The goal is to officially launch it around the end of this year or early next year and to produce tangible cases of cooperation for participating companies' entry into the Chinese market.

To establish 'Han-Chung Donghaeng,' Hwang Deuk-gyu, chairman of the Samsung Medical Foundation and a China expert who served as president of Samsung China from 2017 to last year, will serve as the preparation committee chairman. Chairman Hwang accompanied Director Park during his visit to China and participated in meetings with key figures. Renowned Chinese experts on Korea, including Professor Zi Qingguo of Peking University’s School of International Studies, former Chinese Ambassador to South Korea Zhu Guohong, and Professor Su Hao of the China Foreign Affairs University, also provided advisory support for the corporation's launch.

Director Park explained, "Many small and medium-sized enterprises want to enter the Chinese market but are often deterred by complicated certification procedures and limitations in legal advice. We will provide legislative advice in specialized areas such as customs and administration and share human resource mechanisms."

Sangchul Park, Director of the National Assembly Legislative Research Office (Photo by Hyunjung Kim)

He also met with Zhang Xiaoyu, Vice Chairman of the China International Council for the Promotion of Multinational Corporations (CICPMC), which counts 98% of Chinese large enterprises as members. Zhang agreed on the necessity to simplify business visa issuance procedures between the two countries, according to Director Park. Additionally, he met with Han Fangming, chairman of the Chinese think tank 'Cha Haer Society.'

Furthermore, the two parliaments exchanged views on the 'Legislative Impact Analysis' that the National Assembly is promoting. The core idea of 'Legislative Impact Analysis' is to analyze the content and impact of legislation before its enactment. China already conducts a similar process called 'Legislative Examination.' For some major laws, such as the Compulsory Education Law and the Agricultural Promotion Law, China continuously monitors their impact.