"Yoon Seok-yeol New Government Must Operate Optimal Trade Organization Reflecting Industrial Demand"

Martial Arts, 'New Government Trade Policy Symposium' Held

[Asia Economy Reporter Jin-ho Kim] It has been argued that President-elect Yoon Seok-yeol’s new administration must operate an optimal organization capable of effectively coordinating and responding to a new 'complex trade system' that combines industry, security, technology, and energy sectors. There is a call to actively reflect the rapidly changing recent trade environment.

At the ‘New Government Trade Policy Symposium’ held on the 22nd, hosted by the Korea International Trade Association and jointly organized by the International Trade Association, Trade Remedy Association, and International Economic Law Association, domestic trade experts unanimously agreed on the need to present a new trade vision and policy that reflect the trend of deglobalization and non-economic values, departing from the ‘FTA Trade Hub Establishment’ strategy pursued over the past 20 years in line with changes in the trade environment.

Professor Seo Jeong-min of Soongsil University’s Department of International Trade, who presented on ‘New Trade Strategy Tasks and Directions,’ argued that “as the trend of deglobalization intensifies, a trade policy vision and strategy suited to the new situation must be restructured.” Professor Seo proposed policy tasks including ▲restructuring of the Global Value Chain (GVC), ▲digitalization of trade, and ▲value-centered trade.

In particular, he emphasized the need to build a smart trade breakwater through a trade risk alert system and smart trade organization in line with GVC restructuring. To establish a platform country where data is safely and freely gathered, he called for the preparation of a ‘Digital Trade Strategy Promotion Roadmap’ and stressed the necessity of establishing a consistent strategy reflecting Korea’s values, rather than simply following advanced countries, in responding to new trade issues such as labor and environment.

Professor Heo Yoon of Sogang University’s Graduate School of International Studies, who presented on ‘New Trade Promotion System and Trade Policy Direction,’ analyzed that recently, Korea’s major competitors have recognized trade policy as an important pillar of ‘global industrial policy.’ He noted that the tendency to maximize national interests by linking technology, resources, and environment has become very strong. He pointed out, “If trade policy is emphasized only as a means of diplomacy and security, there is a risk of overlooking another industrial aspect of trade policy as a ‘foundation for national wealth creation.’”

He explained that an analysis of the characteristics of major countries’ trade organizations shows that manufacturing powerhouses adopt industry-trade type organizations, while resource and agricultural-rich countries adopt diplomacy-trade type organizations. He also noted that as recent trade policies are closely linked with non-traditional trade issues (such as supply chains, technology alliances, and digital transformation), the advantages of industry-trade type organizations are becoming more prominent from an organizational perspective.

Accordingly, he saw the need for the new government to operate an organization capable of efficiently responding to a complex trade system involving industry, security, technology, and energy. He stated, “It is important to prepare ▲value-oriented trade policy, ▲Pacific-focused trade policy, and ▲a comprehensive foreign economic vision to achieve the status of a global core middle power (G10).”

Shin Seung-kwan, Executive Director of the Korea International Trade Association, said, “As the COVID-19 pandemic and the US-China hegemonic competition prolong, and the Ukraine crisis directly links trade issues to national security, the new government launching in May must flexibly respond to the volatile international situation and demonstrate leadership in new trade areas to reduce management risks for our companies and maximize national interests through trade policy.”

This content was produced with the assistance of AI translation services.