Review of Sino-Korean Trade Development
"China and South Korea are friendly neighbors with a long history of exchanges and similar cultural background, which provides good conditions for the development of Sino-Korean trade. Nowadays, the economies of the two countries are at different stages of development, with complementary structures and respective needs, which provides the necessity and reality for economic and trade cooperation between the two countries. " [1]1983, China and South Korea began to conduct indirect trade through China, Hong Kong, Singapore and other places, and 1988 began to gradually develop private direct trade. 1in February and July, 1992, the China-Korea non-governmental trade agreement and the non-governmental investment protection agreement came into effect respectively. 1On August 24, 1992, China and South Korea established formal diplomatic relations, and the two governments signed trade agreements and investment protection agreements, as well as an agreement on establishing a joint commission for economic, trade and technical cooperation. In 2003, according to the annual investment, China became Korea's largest overseas investment target country and Korea's largest export market for the first time. South Korea is China's fourth largest trading partner, the fourth largest export market (excluding ASEAN and EU) and the fourth largest source of foreign direct investment, and the relationship between the two sides as important economic and trade partners has been continuously strengthened. Especially after China joined the WTO, the trade between China and South Korea has developed at a faster speed. Therefore, China is expected to become one of the most active regions in the world economy in the early 20th century. "In 2005, the two governments issued the Sino-Korean Joint Communiqué, which set clear goals for the future development of bilateral trade. In 20 12, the scale of bilateral trade exceeded 200 billion." [2] At the same time, the two sides are discussing.
(1) Bilateral trade
China's exports to South Korea mainly include "clothing and garment accessories, woven yarns, fabrics and products, steel and its products, coal, corn, water, seafood, aluminum and its products, TV parts, radio and wireless communication equipment, integrated circuits and microelectronic components, tape recorders and audio recorders (players). ; The goods imported from South Korea mainly include integrated circuits and microelectronic components, steel, plastics in primary shapes, parts of hand-held (vehicle-mounted) wireless telephones, televisions, radios and wireless telecommunication equipment, terephthalic acid, chemical fiber filaments, automatic data processing equipment and its components, parts of automatic data processing equipment and automobile parts. " [3]
According to the statistics of China Customs, the total bilateral import and export volume between China and South Korea in 2003 was US$ 63,236,543.8 million, up 43.4% year-on-year [4]. Excluding the EU and ASEAN, South Korea is the fourth largest trading partner, the fourth largest export market and the third largest import source. According to Korean statistics, China was Korea's second largest trading partner and largest export market in 2003.
In 2004, China-ROK trade continued to maintain rapid growth. Chen Jinhua, Vice Chairman of Chinese People's Political Consultative Conference and President of china enterprise confederation, said that the bilateral trade volume between China and South Korea reached US$ 90.068 billion in 2005, up 42.4% year-on-year. Northeast Asia has become one of the regions with the fastest economic growth and the most market opportunities in the world.
(2) mutual investment
1, South China's investment in South Korea
"In 2003, China approved 10 enterprises to invest in South Korea, with an investment of US$ 65,438+95 million, up by 42.9% and 133.3% respectively. By the end of June 2004, 5438+00, my direct investment in Korea also exceeded 10 billion US dollars. " [5] South Korea has become China's sixth largest investor and fourth largest trading country. With China's accession to the WTO, the service industry and basic industries in the financial and circulation fields are gradually opening to the outside world. In the new open market, Korean enterprises have reached strategic cooperation with China enterprises, and the trend of investment diversification has been further strengthened. At the same time, with the growth of China's economy and the enhancement of the purchasing power of the domestic market, the business network is constantly expanding, and the forms of investment to seize market share in advance are increasing.
2. South Korea's investment in China.
Since 1992 the establishment of diplomatic relations between China and South Korea, Korean investment in China has increased rapidly, and Korean capital has become one of the main sources of foreign investment in China. "South Korea's direct investment in China is increasing at an average annual rate of 20%. By the end of May 2004, South Korea's investment in China was * * * 2954 1, with the agreed amount of 4 1 and 1 billion US dollars, and the actually utilized amount was 22.24 billion US dollars, an increase of 77 times compared with the year of the establishment of diplomatic relations. South Korean companies invest in China mainly in small and medium-sized enterprises, with a small average scale; The main investment areas are textile, clothing, electronic and electrical assembly, footwear, petrochemical and other manufacturing and catering services; The investment areas are concentrated in the eastern coastal areas such as Shandong, Tianjin, Liaoning and Jiangsu, but in recent years, they are gradually expanding to other eastern regions such as Guangdong and Fujian and inland areas in the central and western regions. " [5]
According to the statistics of the Ministry of Commerce, "In 2003, I approved 4,920 direct investments from South Korea in China, with contracted Korean capital of US$ 965,438+77 million, and actually utilized Korean capital of US$ 4,489 million, up by 22.75%, 73.74% and 64.98% respectively." [5] According to the actual benchmark, South Korea was the fourth largest source of foreign direct investment in China that year.
"From June 5438 to September 2004, I approved 4 177 Korean direct investment projects in China, up by 20.9% year-on-year; The amount of agreed Korean funds was 9.42 billion US dollars, and the actual utilization was 5.2365438 billion US dollars, up by 66.5438+0.2% and 62.3% respectively. " [5] Since 2004, South Korea has become the third largest source of actually utilized foreign capital in China after Hongkong and Virgin Islands. At present, the investment methods of Korean enterprises in China are relatively simple, mainly in manufacturing, and the investment areas are mainly concentrated in the eastern coastal areas. The development of the situation requires both sides to make new efforts to change this situation as soon as possible. The industrial development of the two countries also needs rational layout and division of labor and cooperation.
Strategic measures to deal with China-Korea economic and trade problems
Although there are some problems in China-ROK trade, "in the long run, there is still a lot of room for development between the two sides. At present, the trade between the two countries has been hit hard, but the development foundations such as cultural similarity, geographical proximity and economic complementarity still exist. South Korea's economy, in particular, has encountered temporary difficulties, but many factors that create economic miracles, such as sound infrastructure, high-quality labor force, strong enterprising spirit and open trade system, have not been lost, which will play a positive role in South Korea's coming out of the crisis. Therefore, we must not ignore or give up the important market of South Korea. " [14] Moreover, the position established by the two countries in each other's foreign trade is the result of long-term efforts of both sides. Therefore, we should take a positive attitude, advance despite difficulties, and take corresponding measures to reverse the current passive situation.
(1) Establish strategic trade cooperation.
"The so-called strategic trade cooperation is actually the development from short-term trade cooperation to long-term cooperation, from local cooperation to all-round cooperation, and from competitive relationship to cooperative partnership. As the current Sino-Korean trade model is carried out under the mindset of complementary resources, in the face of the new situation of international economy, considering the advantages of the two countries, especially the industrial model of South Korea with high capital and technology intensity, global competitiveness and horizontal division of labor, the future Sino-Korean trade model should be more from the perspective of integrating competitive advantages and global layout, that is, the trade structure will develop from inter-industry division to intra-industry trade, improving China's export structure to South Korea and enhancing the international competitiveness of products. Establish strategic cooperation and form healthy competition. Because there is a dialectical relationship between Chinese and Korean industries, and competition and complementarity are relative, it is necessary for both sides to correctly guide and promote objective operation, so that benign competition can promote complementarity, realize efficient integration of new production factors and generate new comparative benefits. At the same time, the competition and complementarity between the two countries is not only conducive to the improvement of the scientific and technological level and industrial upgrading of both sides, but also conducive to * * * participating in the international division of labor and responding to the protectionist challenges of economic regionalization and collectivization. " [15] Therefore, the industries and trade between China and South Korea will continue to develop in complementarity and competition. In the process of integration, the industries on both sides of the strait, relying on their respective advantages and strengths, produce greater complementary benefits, promote each other and improve together. In this way, the industrial development of the two countries will be in the alternation and evolution of constant complementarity and competition, and the industries of the two countries will enter a virtuous circle through trade cooperation, thus promoting the enhancement of their economic strength. Establishing strategic cooperation can also get rid of the influence of the United States and Japan. In the fierce international competition, China and South Korea are facing the same international situation. With the integration of the world economy, the interdependence between countries is becoming more and more obvious, and each country's policies will have an impact on other countries. For example, the weak world economy since 2000 has affected the two countries to some extent, and even the policies of the United States and the European Union have affected the two countries. This influence can be reduced through strategic cooperation.
(2) Accelerate the structural adjustment of import and export commodities of both sides.
China's traditional products exported to South Korea are mostly resource-intensive or labor-intensive products. In the current international environment, this kind of product has the fiercest competition and the biggest impact. Therefore, it is not only inevitable to accelerate the structural adjustment of China's exports to South Korea. Although the structure of export commodities to South Korea has improved in the past two years, the labor-intensive characteristics of low added value and low technology content are still obvious. To this end, "the first is to broaden the scope of trade and realize the diversification of export commodities. With the development of China's economy, China's high-tech and high-value-added products are increasingly favored by the international market, so we can increase the export of such products to South Korea, such as electromechanical parts and finished products (televisions, telephones, etc.). The second is to improve the quality of export commodities and change from "winning by cheap" and "winning by quantity" to "winning by quality" as soon as possible. Only in this way can we adapt to the changes in the international situation, maintain or even expand market share in the competition, and make export products truly become products with high foreign exchange earnings. At the same time, it is also hoped that South Korea will export more raw materials, petrochemical products and complete sets of equipment to China according to the needs of China's industrialization and industrial structure upgrading. In short, both sides should take into account both immediate and long-term interests to promote the healthy development of bilateral trade. " [ 16]
(3) Properly settle the trade disputes between the two countries.
With the rapid expansion of trade volume between China and South Korea, the number of commodities involved is also increasing. Therefore, it is normal for problems of one kind or another to occur in trade, even some disputes on individual commodities. The key is to take appropriate measures to deal with them. Through friendly consultation between the two sides, it shall be handled in the principle of mutual benefit and mutual accommodation. Instead of resorting to sanctions or trade wars. The purpose of WTO dispute settlement mechanism is to "seek a positive settlement of disputes". Therefore, it encourages the search for solutions to problems among members that are in line with WTO regulations and acceptable to all parties. Find a solution through cross-border consultations between the governments concerned. China and South Korea should actively abide by the provisions of the WTO and handle it through friendly consultations on the principle of mutual benefit and mutual accommodation. Instead of resorting to sanctions or trade wars.
The appearance of trade friction is very unfavorable to the development of economic and trade relations between the two countries. Faced with the annual trade deficit of more than $6 billion between China and South Korea, the South Korean government will find ways to increase the export of agricultural products to South Korea, and the entry of a large number of vegetables and agricultural products will make the South Korean government feel embarrassed. "We can find a solution to this dilemma. For example, China can expand its grain exports to South Korea, compete for the share of other countries in the Korean market, and at the same time appropriately reduce the export of varieties that have a great impact on South Korea's agriculture. The adjustment of export structure can not only continuously expand trade, but also increase the complementarity between the two sides and reduce trade friction. " [ 17]