[The Great Transformation of Korea, Korea-Japan Future Cooperation] The Hidden "Key Men" of Korea-Japan Cooperation... Over 40 Years of Behind-the-Scenes Partnership

60 Years of Korea-Japan Relations: Toward Future Cooperation Partners
KEF and Keidanren: Business Conferences Since 1982
Korea-Japan Economic Association and Japan-Korea Economic Association: Chamber of Commerce Exchanges
Japan's Industrial Sector: Collaboration Among Industry Associations and Clusters

Over the past 60 years, the close economic cooperation between South Korea and Japan across various industries has been largely driven by so-called "key men" who have acted as coordinators in each field. Even during periods when relations between the two countries cooled, these individuals played a leading role in facilitating behind-the-scenes collaboration, including among economic organizations and across different industries and regions.

Korea-Japan cooperation has been structured so that the governments of both countries lead official consultations, while organizations and individual companies continue practical coordination. Notably, the Korea Economic Association (KEF), an economic organization with over 420 member companies including Korea's four major conglomerates, and Keidanren (Japan Business Federation), which represents 1,574 Japanese companies and 106 industry associations, are representative examples. KEF has maintained a long-standing partnership with Keidanren since the days when it was known as the Federation of Korean Industries (FKI).

Since 2023, Ryu Jin, chairman of Poongsan Group, has been leading KEF and has maintained regular contact with Tokura Masakazu, the former chairman of Keidanren, through Korea-Japan business conferences and dinner meetings. Last month, with the appointment of Tsutsui Yoshinobu, former chairman of Nippon Life Insurance, as the new chairman of Keidanren?the first from a financial company?a new counterpart has emerged. The two organizations continue to communicate and cooperate regularly, not only at the executive level but also at the working level. Both organizations are seeking closer cooperation by directly dispatching personnel to each other's organizations in Korea and Japan.

Since 1982, the two sides have held the "Korea-Japan Business Conference" to promote economic exchange. The conference has been attended by the heads of major groups and executives from large companies in both countries, and has become the official cooperation platform for Korea and Japan, fostering private-sector collaboration across economic, industrial, technological, social, and environmental fields. Most recently, in October last year in Seoul, 17 representatives from Korean companies and 7 from Japanese companies attended and discussed concrete cooperation measures, including: joint procurement of critical materials, building hydrogen and ammonia supply chains, supporting Korea's accession to the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), and expanding personnel exchanges through forums such as the Startup Cooperation Forum.

A KEF official explained, "Japanese economic organizations have a culture of not changing partners easily once they are established," adding, "Among the many economic organizations in Japan, Keidanren is overwhelmingly powerful in terms of scale and influence."

Exchange also continues at the chamber of commerce level, which represents both large and small businesses based on nationwide organizational networks. Korea's Korea Chamber of Commerce and Industry (KCCI) and Japan's Japan Chamber of Commerce and Industry (JCCI) are actively conducting annual chairmen's meetings, working-level meetings, youth internships, and startup exchanges. Chey Tae-won, chairman of KCCI and SK Group, hosts regular chairmen's meetings and various forums with Kobayashi Ken, chairman of JCCI (advisor to Mitsubishi Corporation).

In addition, the Korea-Japan Economic Association, an organization established by Korean economic groups to promote Korea-Japan cooperation, continues to work with its counterpart, the Japan-Korea Economic Association. These organizations mainly hold joint research forums and symposiums to discuss specific issues. The current heads of the two associations are Kim Yoon, chairman of Samyang Group, and Koji Akiyoshi, chairman of Asahi Group Holdings.

The two countries are also maintaining contacts at the regional and industry levels. In particular, Japan is characterized by the development of organizations centered on regional associations and industry clusters. In the energy sector, Japan's general trading companies (such as Mitsubishi Corporation) play a central role. These Japanese general trading companies, equipped with financial resources and business management capabilities, carry out various projects, while the Korean side responds at the individual company level.

However, in the semiconductor sector, cooperation between the two countries is reported to be limited. Due to the long-standing competitive relationship between Korea and Japan, there is no effective channel for substantive consultation, and the roles of each country's industry are said to be separated. Japan has strengths in the materials, components, and equipment sectors, while Korea's core strength lies in assembling these into finished products. An industry official explained, "In the semiconductor sector, there are virtually no pipelines or key men. Due to the historical competition, there is only a clear division of roles, with almost no substantive exchange."

At the association level, the Semiconductor Equipment Association of Japan (SEAJ) has signed a memorandum of understanding (MOU) with the Korea Display Industry Association to continue sharing technology standards and collaborating on measurement technology. In the medical device sector, the Korea Medical Devices Industry Association (KMDIA) and the Japan Federation of Medical Devices Associations (JFMDA) are representative organizations.

In the bio industry, communication is mainly conducted at the regional level, with Japan's Kobe Bio Cluster being a representative example. In Korea, research complexes and institutions such as the Daegu High-Tech Medical Complex and Wonju Medical Device Techno Valley have been established, facilitating regional exchanges.

Direct exchanges between regional economic organizations are also expanding. In Japan, organizations such as the Kyushu Economic Federation and the Hokuriku Economic Federation are leading inter-company cooperation centered on regionally specialized industries. In Korea, organizations such as the Japan-Korea Economic Association are continuing exchanges by contacting regional associations in Japan.