South Korea and Japan should engage more on advanced technology, climate change, and economic security, said South Korean President Yoon Suk Yeol on Friday, turning to the future after the two countries agreed to put trade and historical disputes aside.
Yoon told a group of business executives from both nations in Tokyo, “I believe there is ample opportunity for collaboration between the two countries in future high-tech new industries such as digital transformation, semiconductors, batteries, and electric cars.”
Yoon stated that the governments of the two nations will do all possible to facilitate unfettered interaction and the creation of creative economic prospects.
The meeting followed meetings between Yoon and Japanese Prime Minister Fumio Kishida on Thursday, during which the two U.S. allies tried to resolve their longstanding differences. South Korea and Japan are now attempting to build a single front in response to their common worries over North Korea, China, and Russia.
During Yoon’s visit, the first such formal summit hosted by Japan in 12 years, South Korea announced it was dropping its complaint to the World Trade Organization alleging Japan’s unfair trade practices, while Tokyo announced it will lift the export controls on high-tech goods essential for computer-chip production, imposed in 2019 on South Korean shipments.
Yoon Suk Yeol was the honored guest at the Tokyo “business roundtable” lunch featuring French cuisine, which was attended by a dozen business executives from both countries.
Reiji Takehara, head of Keidanren’s Foreign Cooperation Bureau, stated that the tone during Friday’s hour-and-a-half-long meeting, which was closed to the media save for the opening comments, was extremely optimistic.
“There was much laughter, and everyone seemed cordial. We saw no stress whatsoever,” Takehara told reporters.
The South Korean delegation was led by Kim Byong-joon, acting chairman of the Federation of Korean Industries, the country’s premier business organization, who accompanied Yoon. Also there were executives from Samsung Electronics, Hyundai, and LG.
According to a Japanese official who briefed reporters following the meeting at Keidanren Kaikan, Japan’s leading business lobby, Yoon joked about his fondness for Japanese cuisine and emphasized that there was “light at the end of a long tunnel” for strained relations.
Difficulties persist. A 2018 South Korean Supreme Court judgement seeking monetary reparations from Japanese firms for forced labor during Japan’s colonial domination of the Korean Peninsula from 1910 to 1945 targets Keidanren members Mitsubishi Heavy Industries and Nippon Steel Corp. Representatives from these businesses were absent from Friday’s meeting.
Japan has refused to pay, citing a 1965 treaty that addressed compensation concerns.
The victims of Japan’s forced labor system and their advocates protested Yoon’s decision that local funds will be utilized to pay the victims, thereby relieving pressure on Japanese corporations. They demand reimbursement and an apology from Japan.
The United States aggressively supported a move in relations between Seoul and Tokyo toward a more amicable tone. The White House hailed the meeting between Kishida and Yoon.
John Kirby, spokesperson for the National Security Council of the White House, stated, “The United States will continue to help Japan and the Republic of Korea as they work to transform this new understanding into lasting progress.”
Takehara stated that the Keidanren and the Federation of Korean Industry had established a $200 million ($1.5 million) fund to encourage youth exchanges.
Japan has contributed more than 100 billion yen ($750 million) in economic cooperation and aid since the restoration of relations in 1965, according to Japanese figures.
The fact that commerce between the two nations accounts for less than 10% of their overall trade suggests there is space for expansion. Notwithstanding conflict at the level of government, tourism has flourished, with tourists from each nation ranking second in terms of international visitors. As a result, K-pop, anime, and manga have become informal cultural exchanges.