Korea, China talk core goods, supply chains in first virtual meeting in two years

The economic ministers of Korea and China held a virtual meeting on Thursday, the first of its kind in nearly two years, ahead of the upcoming Korea-China-Japan summit.

Minister Choi Sang-mok of the Ministry of Economy and Finance speaks during a virtual meeting with his Chinese counterpart in western Seoul on Thursday. [MINISTRY OF ECONOMY AND FINANCE]

The economic ministers of Korea and China held a virtual meeting on Thursday, the first of its kind in nearly two years, ahead of the upcoming Korea-China-Japan summit.

The latest meeting is another indication of the thawing relationship between the two countries ahead of the long-stalled trilateral summit, following Korean Foreign Minister Cho Tae-yul's recent meeting with his Chinese counterpart Wang Yi in Beijing late Tuesday.

According to Korea's Ministry of Economy and Finance on Thursday, Minister Choi Sang-mok, who also serves as the deputy prime minister, met with his Chinese counterpart Zheng Shanjie, chairperson of the National Development and Reform Commission, in the 18th Korea-China economic ministerial meeting.

During the 90-minute virtual meeting, the two economic chiefs discussed measures to stabilize the trading of core goods further and bolster existing economic ties regarding supply chain resiliency and technological cooperation.

"We need to bolster ties" in supply chain cooperation further "while also deepening the extent of our joint efforts regarding supply chain stability for future generations,” said Choi in his opening remarks.

The minister stressed the importance of a strong partnership in “trading of not only raw materials and core minerals such as urea, gallium and graphite but also collaboration in new growth businesses including bioeconomy and clean energy in terms of technology development and supply chains.”

The latest meeting follows the previous event held in August 2022, in which former Finance Minister Choo Kyung-ho and his counterpart signed cooperation agreements for supply chain stability and joint overseas projects.

Following the 2022 meeting, the two countries hosted the inaugural conference for economic exchange in November in China, attended by private companies including Hyundai Motor, Samsung SDS and China's BYD and Alibaba.

The two ministers agreed to hold the second conference this year.

Moreover, a consultative body for supply chain discussions, which convened its first meeting in February last year and the second in November, will hold its third meeting this year as well, according to the Finance Ministry.

The ministers also agreed to a joint research project on macroeconomics between each country’s state-run economic think tanks. A previously signed memorandum of understanding for research collaboration between the Korea Institute for International Economic Policy and China’s Academy of Macroeconomic Research was renewed, laying the foundation for economic cooperation.

Regarding the service sector, Korea requested more active engagement from the Chinese government in the gaming, film and music industries, as well as a high-ranking official meeting and the establishment of a working-level consultative body on tourism.

The trilateral summit between Korea, China and Japan, the first to be convened since President Yoon Suk Yeol took office, will reportedly take place in Seoul in May.

BY SHIN HA-NEE [shin.hanee@joongang.co.kr]