New East Asian Attitude Between China, Japan & South Korea

Geoeconomics is reshaping Geopolitics

South Korean President Lee Jae-myung

The recent election of Lee Jae-myung as South Korean President combined with the changing attitude in Japan toward the Outlaw US Empire has produced a new dimension into East Asian affairs that got a shove with Trump’s Trade War even before Lee was elected. The Japanese are tired of being a vassal and the Koreans need economic revitalization as the Samsung issue demonstrates. I didn’t cover the South Korean political turmoil very closely here at the Gym, which was likely instigated by Imperial forces before Trump arrived. One point was made clear—South Koreans will not tolerate another dictatorship. And to help describe the new RoK president is the following short Global Times report, “South Korean President pledges early improvement of relations with China; China ties crucial for Seoul amid trade uncertainties: expert:”

South Korean President Lee Jae-myung, speaking on Thursday in a press conference after taking office last month, vowed to "protect peace and people's lives through practical diplomacy centered on national interests," based on South Korea's alliance with the US, close cooperation with South Korea, the US and Japan and the early improvement of its relations with China and Russia, according to the full text of Lee's speech published by the Maeil Business Newspaper on Thursday.

Improving ties with China under the Lee administration is a necessary matter, and it is crucial for Seoul to sustain economic growth amid uncertainties in trade talks with the US, according to analysts from China and South Korea reached by the Global Times.

According to South Korea's Yonhap News Agency on Thursday, at the press conference held at the former presidential compound of Cheong Wa Dae, known as the Blue House in Seoul, Lee elaborated on his foreign policy.

The Straits Times report noted that Lee pledged a pragmatic approach as the basis for accelerating efforts to improve ties with China and Russia, while saying the alliance with the US was the cornerstone of his foreign policy.

On Japan, Lee pledged to pursue a two-track approach in which past history issues, rooted in Japan's 1910-45 colonial rule of Korea, should be dealt with separately from future cooperation in security and economic areas, Yonhap reported.

Lee's latest statement reflects the consistency and stability of his long-advocated pragmatic foreign policy, which has been welcomed by the South Korean public as the rising approval ratings showed, Dong Xiangrong, a senior research fellow at the National Institute of International Strategy, Chinese Academy of Social Sciences, told the Global Times on Thursday.

In a recent Gallup Korea survey, 64 percent of 1,004 adult respondents said Lee was doing a good job, Yonhap reported on June 27, about three weeks into his term in office.

Another survey by Realmeter and commissioned by a local news outlet showed on Monday that Lee's approval rating rose for the second consecutive week to 59.7 percent, the Korea Herald reported.

On Thursday, Lee also reiterated his pledge to revive the country's faltering economy and outlined plans to boost growth. However, Lee said that the uncertainty remains for Seoul if its trade talks with Washington can result in a deal before next week's deadline to avert sweeping US tariffs, according to the Bloomberg.

Lee vowed to make his best efforts to produce "mutually beneficial and sustainable outcomes" in the trade negotiations, according to Yonhap.

Lee's economic policies and diplomatic strategies are closely linked. He is committed to improving relations with China while facing obstacles in tariff negotiations with the US, which are closely tied to South Korea's current economic difficulties, Dong said.

According to a May assessment by the Bank of Korea, the central bank of the country, economic growth this year is projected to be only 0.8 percent.

After Lee took office, South Korea's stock market has witnessed significant rise, but such growth is largely interpreted as a boost in market confidence driven by recovering political stability and the elimination of uncertainty, rather than a substantial improvement in economic fundamentals, Dong said. "To achieve sustained economic improvement, tangible progress is still needed in areas such as domestic investment, consumption, and foreign trade."

Improving relations with China is also one of the key and feasible directions of Lee's economic policy, aimed at promoting South Korea's economic recovery through strengthened international trade cooperation, Dong explained.

Woo Su-keun, head of the Institute of East Asian Studies of Korea and president of the Korea-China Global Association, told the Global Times in a recent interview that improving South Korea-China relations under the Lee administration is a necessary matter.

In fact, South Koreans with sound and reasonable judgment are well aware of the importance of South Korea-China relations, regardless of their political orientation, whether they are conservative or liberal, as well as the need for improved South Korea-China relations, Woo said.

Currently, the global economic environment is being distorted by the excessive greed of certain countries. However, South Korea and China, the central core countries of the global society, need to work closely together to maintain the banner of free trade and fair competition, which are essential for the sustainable shared prosperity of the global community, Woo urged. {My Emphasis]

Pragmatic and he will be helped given his proper personality which is very important in East Asian relations. That’s why keeping Japan-RoK relations on a track where past grievances are kept to themselves so proper face-saving can be allowed while issues still get resolved. That way current relations can grow without being hindered by poor etiquette. In fact, all East Asian nations need to adjust their personalities so harmony can emerge. There’s motion pushing progress—the 2025 China-Japan-ROK Cooperation International Forum where Wu Hailong, President of the China Public Diplomacy Association and former ambassador to the European Union, delivered a keynote speech whose translated text is about to follow. First, we have an introduction by the Beijing Club who supplied the speech transcript via The Beijing Dialogue:

Against the backdrop of in-depth adjustment of the international landscape and rising regional risks, China-Japan-ROK cooperation is facing a strategic opportunity to reconstruct a new pattern. At the opening ceremony of the 2025 China-Japan-ROK Cooperation International Forum, Wu Hailong, President of the China Public Diplomacy Association and former ambassador to the European Union, delivered a keynote speech, pointing out that China, Japan and the ROK should assess the situation and take advantage of the situation, restart negotiations on high-level economic and trade agreements, strengthen linkage and cooperation with Asian countries, consolidate the foundation of bilateral relations, effectively manage geopolitical interference, and strive to enhance mutual trust between the people. Only by reconstructing the mind can we create a new situation in China-Japan-ROK cooperation.

(The Trilateral International Cooperation Forum is the annual flagship event of the Trilateral Cooperation Secretariat, which aims to provide a platform for dialogue among the governments, academics, enterprises, and media of the three countries to discuss in depth the issues of political relations, economic cooperation, and socio-cultural exchanges among the three countries.) The 2025 Trilateral Cooperation International Forum was held in Tokyo, Japan, on July 1, with the theme of "Shaping the Future Together: Trilateral Cooperation in a Changing Global Situation", with more than 200 on-site guests and hundreds of online audiences.）

Wu Hailong

And now for Mr. Wu’s speech:

I have just participated in the Trilateral Outlook Group Dialogue organized by the Trilateral Cooperation Secretariat. The meeting put forward many valuable opinions and suggestions on the current challenges and opportunities faced by China, Japan and the ROK, as well as the cooperation between the three countries in the political, economic, social and cultural fields. This is one of the best atmospheres, the most in-depth discussions, and the most consensus among the many trilateral cooperation meetings I have attended in recent years. The dialogue boosted the confidence and determination of the participants of the three countries in trilateral cooperation.

Today, I would like to focus on the following aspects to share my views on China-Japan-ROK cooperation.

1. The three countries should reconstruct new cooperative relations in response to the new changes. What's new? That is, the international political pattern and the international economic pattern have undergone profound changes. The power of the Global South is rising rapidly, the rift between the United States and its allies is deepening, and the contradictions and differences with other countries are intensifying. Unilateralism and protectionism are rampant, the multilateral trading system has been severely impacted, and economic and trade frictions and discriminatory trade barriers have surged. The law of the jungle is in full swing, the process of globalization has suffered serious setbacks, and the politicization and security of economic and trade issues have seriously constrained global economic and trade cooperation, resulting in more and more restrictive trade and investment policies. The international division of labor has been forced to adjust, and there is a risk of fragmentation of the global production and supply chain. The economic and trade system has become more diversified and regionalized.

In the face of this new change, the cooperation between China, Japan and the ROK is more urgent and necessary than ever. The three countries can no longer simply repeat yesterday's story of cooperation but should take advantage of the situation and find new ways and breakthroughs for cooperation. The three countries should jointly oppose unilateralism and protectionism, uphold multilateralism and actively promote the reshaping of international trade rules and order. The three countries should restart negotiations on a free trade agreement as soon as possible and negotiate a high-level and more open free trade agreement. The investment treaties of China, Japan and South Korea should also consider upgrading and raising standards. China, Japan, and South Korea could also consider strengthening cooperation in the monetary field. Some people say that China's rapid development has reduced the complementarity of the economies of China, Japan, and the ROK and increased their competitiveness. In fact, there is still a lot of room for cooperation among the three countries, and many new areas of cooperation can be explored. China, Japan and South Korea can cooperate in high-tech industries such as digital economy and artificial intelligence, and expand the "China-Japan-South Korea+" cooperation model.

2. The three countries should strengthen their linkage with regional countries. Trilateral cooperation should be based on the three countries, and at the same time, it should transcend the three countries. China, Japan and the ROK are countries with important influence in Asia, and they share a common destiny and interests with Asia. If Asia is good, the three countries will benefit, and if the three countries are good, Asia will benefit, and safeguarding the common interests of Asia is to safeguard its own interests. Therefore, China, Japan, and South Korea need to strengthen their ties with Asia.

The three countries should strengthen cooperation with ASEAN and make more effective use of cooperation under the RCEP framework. The three countries should coordinate and optimize resources, markets and manufacturing capabilities in their respective regions. It is necessary to form a reasonable industrial layout and division of labor in the region, and build a relatively stable production and supply chain in the region. The three countries should become the leaders, promoters and builders of regional economic integration in Asia. This can not only reduce dependence on the U.S. market, but also cope with the pressure of U.S. tariffs, share development opportunities with regional countries on the basis of mutual benefit and win-win results, and jointly respond to various external challenges and risks.

3. Bilateral relations have always been the foundation of trilateral cooperation between China, Japan and the ROK. Bilateral stability leads to trilateral prosperity. If there is no stable, sustained, and healthy development in China-Japan, China-ROK, and Japan-ROK relations, there will be no way to talk about cooperation among China, Japan, and the ROK. As the saying goes, "if the skin does not exist, the hair will not be attached". Therefore, rationalizing and consolidating the bilateral relations between the three countries is crucial to trilateral cooperation. As close neighbors, bumps and jolts are inevitable among the three countries, and problems left over from history and contradictions of practical interests need to be properly handled.

At present, the improvement and development of bilateral relations between the three countries are facing a new historical opportunity. South Korea's new leader has just taken office. Japan's new leader has not long been in office. The leaders of the three countries have the will to improve and strengthen the relations between the three countries, and the three countries should grasp this historical opportunity, focusing on drawing lessons from history, respecting each other's core interests and concerns, managing differences and contradictions, enhancing the level of cooperation among the three countries in various fields, reshaping a new bilateral relationship under a new and changing situation, and laying a solid foundation for trilateral cooperation, so as to form a bilateral and trilateral bilateral and trilateral relations that promote each other.

Fourth, the three countries should properly handle the impact of geopolitics on their relations. Under the current international situation, which is chaotic and intertwined, international relations and the international pattern are undergoing profound changes. The three countries must soberly, rationally and prudently handle the impact of geopolitics on trilateral relations. China-Japan relations are China-Japan relations, and China-South Korea relations are China-South Korea relations, which should be refreshing and refreshing, and should not be affected by the US policy toward China or the fluctuations of Sino-US relations. As far as China and the United States are concerned, the relationship between these two major powers, which will determine the direction of the world pattern in the 21 st century, is complex and important, and there are many troubles, but they can always find an appropriate way to get along. It would be wisest for Japan and South Korea to formulate China policies based on their own national interests.

5. Another prominent problem that currently exists in the three countries is the problem of people's perception of each other. Whether the trilateral relations can have a solid foundation and whether the trilateral cooperation can be carried out steadily and in the long term depends on cultivating friendly relations between the people of the three countries. At present, the goodwill between the people of China and Japan and between China and the ROK is not high, and this seriously affects and restricts the improvement of bilateral relations and cooperation among the three countries. There are many reasons for the low favorability of the people in China, Japan and South Korea, including the entanglement of historical reasons and differences in cultural identity, the impact of the ups and downs of bilateral relations, the imbalance of psychological cognition caused by economic, scientific and technological developments, and the problem of the guidance of media reports and the lack of official guidance.

When there is a problem in people's cognition, it is necessary to start with the people, and make great efforts to increase people-to-people exchanges and exchanges among the three countries. In recent years, the number of people-to-people exchanges between the three countries has been rising, but the increase in the number of people-to-people exchanges alone cannot solve the misunderstandings, prejudices and differences between the people, and it is necessary for relevant departments and institutions to organize various activities in a planned manner, especially youth exchanges and dialogue activities, with the focus on enhancing understanding, accumulating mutual trust and bringing in feelings. This is a long-term work that requires long-term and unremitting efforts. The trilateral secretariats should play their unique role in this regard, and the governments, media, think tanks, and sectors of the three countries should play an active role and form a joint force. Only when the people's favorability is increased and the emotional distance is shortened can the foundation of the trilateral relations be solidified.

In the face of great changes in the international situation, as long as China, Japan and the ROK assess the situation and be good at adjusting and changing their minds in a timely manner, and reshape and reconstruct the trilateral cooperative relationship, the content and mode of cooperation, the trilateral cooperation will be able to achieve breakthrough development and reach a new level. [My Emphasis]

Clearly, there’s a great deal of work to be done by governments and their publics. China’s been advocating a rational return to acting on interests for many years but its message is often distorted by the huffing and puffing of the Outlaw US Empire whose decline is now quite obvious and detrimental to its vassals. It appears that both Japan and South Korea understand that with the Trade/Tariff Wars being a rude wake-uo call. Not mentioned are the demographic crises both Japan and South Korea face which is impacting their economies. Both must take a hard look and determine how to interact with the rapidly rising economies of Indonesia and Malaysia, the rest of ASEAN and China. As suggested, the RCEP should be used more than it has so far. I expect more diplomatic action to continue at a high level after the BRICS Summit that begins tomorrow as on July 10-11, the regular meetings of the foreign ministers of the Association of Southeast Asian Nations in Kuala Lumpur and the Russia-ASEAN Summit occur, which will be followed by the East Asia Summit and the ASEAN Regional Forum on Security. Then on July 14-15 in Tianjin, China, the SCO Council of Foreign Ministers will meet. And on 9 July, Trump is to announce the new tariff schedule—or not. I expect news about changes in the New Development or BRICS Bank besides the news it now has Colombia and Uzbekistan as members. And just reported today:

South Korean President Lee Jae-myung is mulling sending special envoys to key nations this month, including China, the US, and Japan, announced the presidential office, Yonhap News Agency reported.

Musing that’s promising and very much in-line with what’s reported above.

In an update to a recent Gym item:

A new report from energy think tank Ember finds that 10 BRICS countries accounted for more than half - 51 percent - of global solar electricity generation in 2024, up from just 15 percent a decade earlier.

And a closing note on the Trade/Tariff War:

In May, both US imports and exports contracted, with the trade deficit widening further. Analysts said that the latest data indicated that the US tariff policies continued to disrupt supply chains, while impacting the US economy.

The US recorded a trade deficit of $71.5 billion, up by 18.7 percent year-on-year, according to data released by the US Commerce Department's Bureau of Economic Analysis (BEA) on Thursday.

US May exports were $279.0 billion, $11.6 billion less than April exports. May imports were $350.5 billion, $0.3 billion less than April imports.

This also means an expansion from the $60.3 billion goods and services deficit in April, according to BEA statistics.

IMO, the global Big Picture situation improved over the last month, unless you’re a Zionist, US Imperialist, or a Palestinian (although they cheered Iran’s victory). Missing from the above is India. I’ll try to increase Gym reporting on its happenings.

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