Japan, South Korea and China to promote Asia Trade

On Sunday, South Korea, China, and Japan convened their first economic dialogue in five years, aiming to develop regional trade as the three Asian export powers prepare for shocks from US President Donald Trump's tariffs. Three trade ministers agreed for the countries to "closely cooperate for a comprehensive and high-level" contacts for a South Korea-Japan-China free trade agreement deal to promote "regional and global trade," according to the statement released after the meeting.

"It is necessary to strengthen the initiative of RCEP, which all three countries are in, and build a framework to expand trade cooperation among the three countries through KORUS-China-Japan FTA negotiations," said South Korean Trade Minister Ahn Duk-geun, referring to the Regional Comprehensive Economic Partnership.

The cabinet met in advance of Trump's announcement on Wednesday, of more tariffs in his words, "liberation day" when he is shifting the trading relationships with Washington. Seoul, Beijing and Tokyo are large trading partners to the US, but they have been at odds against themselves over issues such as territorial disputes and Japan's release of wastes from the devastated Fukushima nuclear power plant.

They haven't made much headway on a three-way free-trade agreement since starting discussions in 2012. The RCEP, which took effect in 2022, is a trade arrangement among 15 Asia-Pacific nations focused on slashing trade impediments. Trump, who disclosed 25 percent import tariffs on cars and automotive parts last week, may place the greatest hurt on companies, especially Asian automotive producers, who are among the largest exporters of cars to the US.S&P reports South Korea is the second largest exporter of vehicles to the US, followed by Japan after Mexico.