China, South Korea, and Japan Strengthen Free Trade Despite US Tariffs
In a show of solidarity, China, South Korea, and Japan have decided to fortify free trade despite a series of additional tariffs imposed by US President Donald Trump. This decision comes just days before tariffs on a wide range of US imports, including automobiles, trucks, and auto components, were set to take effect. It marks the first time in five years that top trade officials from these countries have met at this level.
South Korea and Japan are major exporters of vehicles, while the US tariffs have also impacted China significantly. The meeting, attended by South Korea’s industry minister Ahn Duk-Geun, Japanese counterpart Yoji Muto, and China’s Wang Wentao, aimed to establish a predictable trade and investment environment. They also called for the expedited talks on a complete trilateral free-trade agreement.
According to South Korea’s Ahn, the three countries must address common global concerns jointly. The Japanese trade official Yasuji Komiyama emphasized the changing international environment and increasing uncertainties during a news briefing. Wang Liping, a Chinese official, highlighted the spread of unilateralism and protectionism, stressing the need for the three nations to uphold the multilateral trade system.
Credit: CNA
“Today’s economic and trade environment is marked by increasing fragmentation of the global economy,” noted Ahn. The three nations collectively account for 19% of the world’s merchandise trade, 20% of the world’s population, and 24% of the world economy.
Trump’s plan to implement targeted tariffs on April 2 to address unfair practices has caused concern, but he has also hinted at flexibility in his approach. Market reactions towards the end of last week seemed to reflect some comfort amidst the uncertainty.
