Korean and Japanese Business Leaders in Seoul Reach Consensus on Reviving FTA Talks

57th Korea-Japan Business Meeting
Yoon Jinsik: "Foundation for Long-Term Cooperation"
Koji: "Synergy Will Be Considerable"

Key figures leading the business communities of South Korea and Japan have directly and indirectly raised the need to resume negotiations for a Korea-Japan Free Trade Agreement (FTA) at the "57th Korea-Japan Business Meeting" being held in Seoul. This year marks the 60th anniversary of the normalization of diplomatic relations between the two countries, signaling a matured relationship. There is a growing consensus that Korea and Japan should respond to U.S. tariff policies through cooperation, making this an opportune time to revisit the FTA.

On the 27th, businesspeople from both countries attending the "57th Korea-Japan Business Meeting" held at Lotte Hotel in Jung-gu, Seoul, are taking a commemorative photo before the meeting begins. From the front row, left to right: Chairman Cho Hyunjun, President Park Seunghi, Chairman Shin Dongbin, Chairman Yoon Jinsik, Jung Ingyo, Director General for Trade Negotiations at the Ministry of Trade, Industry and Energy, Kim Yoon, Chairman of the Korea-Japan Economic Association, Aso Yutaka, Vice Chairman of the Japan-Korea Economic Association, Ambassador Mizushima, Chairman Koji, Chairman Ueda, President Imizu, Chairman Naruse. 2025.05.27 Photo by Yoon Dongju

Yoon Jinsik, Chairman of the Korea International Trade Association, delivered a keynote speech at the Korea-Japan Business Meeting held at the Lotte Hotel in Sogong-dong, Jung-gu, Seoul, on the 27th. He emphasized, "Cooperation between the two countries will not only bring positive effects in the economic sector but can also gradually expand into discussions on a Korea-Japan Free Trade Agreement (FTA)." Yoon further stated, "It is our responsibility, as those currently in office, to leave behind a platform for the next generation of both countries to cooperate." This suggests the need to establish a foundation for long-term cooperation through the successful conclusion of an FTA between Korea and Japan.

Koji Akiyoshi, Chairman of Asahi Group Holdings, who delivered the keynote speech on behalf of the Japanese side, also indirectly stressed the necessity of an FTA through his presentation materials. Citing last year's "White Paper on Trade" released by Japan's Ministry of Economy, Trade and Industry, Chairman Koji pointed out that "the proportion of economic partnership agreements in the total trade volume of both Korea and Japan is in the high 70% range." Specifically, Korea stands at 78% and Japan at 79%, which is significantly higher compared to other advanced economies such as China (48%) and the United States (46%). He highlighted the fact that the majority of Korea and Japan's export revenues are based on multilateral trade agreements through FTAs. Chairman Koji believes that if Korea and Japan, which share similar environments, were to sign an FTA, the resulting synergy would be considerable. He stated, "Korea and Japan need to work together to proactively shape the international trade order and to cooperate in expanding the use of decarbonized energy."

The issue of resuming Korea-Japan FTA negotiations has emerged as a key agenda item for the Korean business community ahead of the presidential election scheduled for June 3. It is considered one of the tasks that the new government should pursue to revitalize the Korean economy. Recently, presidential candidates have reportedly been reviewing the possibility of resuming Korea-Japan FTA negotiations as a major campaign pledge. Despite their geographical proximity and close economic ties, Korea and Japan have yet to sign an FTA. Negotiations were attempted once in 2006 but ended in failure. Since March, Korea, China, and Japan have been negotiating a trilateral FTA, but within the Korean business sector, there are strong voices calling for a separate bilateral FTA between Korea and Japan.