As global trade tensions rise, can South Korea and China’s new pact shield their economies?
Ministers Meet to Tackle Trade Challenges
On Saturday, March 29, the industry ministers of South Korea and China sat down in Seoul to discuss how to navigate the fast-changing global trade landscape.
South Korea’s Ahn Duk-geun and China’s Wang Wentao agreed to work together not just bilaterally but also in international trade forums. This marks their first meeting since November 2023, and the timing couldn’t be more critical.
Why Now? The U.S. Tariff Threat Looms
The talks come as both nations brace for potential economic blows from U.S. tariffs. Former President Donald Trump has already slapped a 20% tariff on all Chinese imports, accusing China of failing to curb fentanyl precursor exports.
South Korea, meanwhile, fears new tariffs on its key exports—like semiconductors and electric vehicle batteries—after Trump proposed a 25% levy on cars. Ahn warned this could spell “considerable difficulties” for Korean automakers.
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A Three-Way Summit Ahead
The meeting sets the stage for a bigger discussion. On Sunday, Japan’s Trade Minister Yoji Muto will join Ahn and Wang for a trilateral summit, highlighting how Asian economies are banding together to counter global trade uncertainties.
What’s Next?
With the world economy in flux, South Korea and China’s partnership could be a game-changer. Will their cooperation soften the impact of U.S. tariffs? Only time will tell, but one thing’s clear: the race to adapt is on.
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