South Korean business community is optimistic about RCEP business opportunities

The RCEP Open Opportunities (Guiyang) seminar was held recently. The meeting was co-hosted by the China-ASEAN Business Council and the Guiyang Municipal People’s Government. At the meeting, Zheng Yi, chief representative of the Beijing Representative Office of the Korea Chamber of Commerce and Industry and executive vice president of the Korea Chamber of Commerce in China, said that the “Regional Comprehensive Economic Partnership Agreement” (RCEP) will lead the era of win-win cooperation with multilateralism and become the mainstream An important milestone in the recovery of the world economy in the epidemic era.

At the meeting, Zhao Deming, Member of the Standing Committee of the Guizhou Provincial Party Committee and Secretary of the Guiyang Municipal Party Committee, Xu Ningning, Executive Chairman of the China -ASEAN Business Council, Zhou Haoli, Indonesian Ambassador to China, Raja Nusirwan, Malaysian Ambassador to China, and former Director of the Asia Department of the Ministry of Commerce , Lu Kejian, vice president of the National Japanese Economic Association, delivered speeches successively.

Attending the meeting were the Commercial Counselor of the Japanese Embassy in China Fu Yonghe, the Commercial Counselor of the Lao Embassy in China Kuan Zan, the chairman of the Myanmar Chamber of Commerce and Industry Zuo Minwen, the executive vice chairman of the Indonesian Chinese Chamber of Commerce and Industry Zhang Jinxiong, and the chairman of the Australia -ASEAN Business Council Reno Mack, Chief Representative Zheng Yi of the Beijing Representative Office of the Korean Chamber of Commerce and Industry, Lin Boming, Vice Chairman of the Brunei Chamber of Commerce and Industry, and other representatives of various countries in their speeches fully affirmed the great significance of RCEP construction and expressed their optimism about cooperation and development opportunities.

The Korea Chamber of Commerce and Industry was established in 1948 and is the largest private economic organization in Korea. At the RCEP Open Opportunity (Guiyang) seminar, Zheng Yi, the chief representative of the Beijing Representative Office of the Korea Chamber of Commerce and Industry and the executive vice president of the Korea Chamber of Commerce in China, said in his speech that he was very happy to attend this meeting and communicate with you online. Explore RCEP. After the outbreak of the new crown pneumonia epidemic, countries around the world have successively adopted the necessary blockade policies. The global economy has been hit by the double impact of supply and demand. The uncertainty of supply and demand in the supply chain has increased, and the global trade and investment environment is undergoing rapid changes. In such an unfavorable environment, we overcome various obstacles and reached the RCEP, the world’s largest regional free trade agreement, at the end of last year.

Chief Representative Zheng Yi said that in 2004, South Korea and Chile signed the first free trade agreement. Up to now, South Korea has successively signed 17 free trade agreements with 56 countries and regions including ASEAN, and trade with related countries accounts for nearly 70% of South Korea’s total foreign trade.

Zheng Yi mentioned that one of the important changes brought about by the signing of RCEP is that RCEP incorporates high-level modernization issues such as e-commerce, government procurement, standards, technical regulations and conformity assessment procedures, and temporary movement of natural persons into the agreement as independent chapters. , Thereby further expanding the scope of the rules covered by the original Korea-ASEAN Free Trade Agreement.

Zheng Yi said that in terms of market opening, more tax items have been included in the scope of zero tariffs. In addition to automobiles, auto parts, steel and other commodities, trade liberalization arrangements have also been made for epidemic prevention products such as medical and health products, which fully reflects the epidemic prevention and control needs of Member States present in 2021.

Zheng Yi mentioned that in the past, South Korea’s exports and investment to ASEAN countries were mainly based on the export of raw materials and semi-finished products needed for domestic production in South Korea and investment in the manufacturing sector. The entry into force of RCEP will further expand cultural content, distribution logistics and other export market space industry. Under the RCEP framework, the infrastructure undertakings that ASEAN is vigorously developing will also become an opportunity to strengthen economic and trade exchanges among member states.

Zheng Yi mentioned that South Korea and China signed a free trade agreement in 2015, marking the seventh anniversary of this year. The Korea-China Free Trade Agreement adopted limited openings for the opening up of service trade and investment markets. In order to further improve the level of openness and liberalization, the two countries continued to carry out negative list negotiations after the agreement took effect. On the basis of maintaining the concession arrangements of the Korea-China Free Trade Agreement, RCEP has introduced an independent declaration of origin system for enterprises, which greatly simplified customs clearance procedures. This system is one of the important features of high-level free trade agreements, which will greatly save the operating costs of enterprises and further improve the timeliness of customs clearance of goods.

Zheng Yi said that in the post-epidemic era, in order to adapt to the development and changes of the times, South Korea needs to develop and explore emerging markets with potential, and Guizhou Province is one of the emerging markets with huge growth potential. As an important node of China’s big data industry, Guizhou Province has a national-level big data comprehensive test zone. The new crown pneumonia epidemic has accelerated the development of the non-contact economy and digital economy, and the need for international cooperation in big data applications has become increasingly prominent. In addition to traditional data services, big data can also be applied to the fields of finance, manufacturing, transportation, logistics, energy, medical care, science education, agriculture, forestry, animal husbandry, and fishery to continuously create new business opportunities. For example, connecting the rich tourism resources and big data of Guizhou Province with the virtual reality and augmented reality technologies of South Korea and other member states may be able to give birth to brand-new business forms and products that conform to the era of “non-contact economy”.

Mr. Jeong Il, the representative of the South Korean business community, finally stated that geographic distance is no longer an obstacle to world economic exchanges and cooperation. I firmly believe that RCEP will lead the era of win-win cooperation with multilateralism and become an important milestone in the recovery of the world economy in the post-epidemic era.

Zheng Yi, the chief representative of the Beijing Representative Office of the Korea Chamber of Commerce and Industry and the executive vice chairman of the Korea Chamber of Commerce in China , visited the China-ASEAN Business Council on January 28 and met with Xu Ningning, the executive chairman of the China-ASEAN Business Council, and the former Asia Department of the Ministry of Commerce Director Lu Kejian and others conducted special exchanges, jointly discussed the promotion of China-South Korea economic and trade cooperation and their corporate cooperation within the RCEP framework, and reached a consensus on cooperation between the two institutions.

In 2020, China-South Korea trade volume was US$285.26 billion, a year-on-year increase of 0.3%. Among them, China’s exports to South Korea were US$112.5 billion, a year-on-year increase of 1.4%; imports from South Korea were US$172.76 billion, a year-on-year decrease of 0.5%.

In 2020, China’s actual use of Korean capital was US$3.61 billion, a year-on-year decrease of 34.8%. By the end of 2020, South Korea had invested nearly 70,000 in China with an actual investment of US$86.19 billion; China’s investment in South Korea was US$360 million, a year-on-year increase of 75.1 %, as of the end of 2020, China has accumulatively invested 9.85 billion U.S. dollars in direct investment in South Korea.

 

 

Source: China – ASEAN Business Council