On an island, trade ministers stress interconnectivity at APEC meeting

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On an island, trade ministers stress interconnectivity at APEC meeting

Published: 15 May. 2025, 19:04 Updated: 16 May. 2025, 12:46

Audio report: written by reporters, read by AI

Korean Minister for Trade Cheong In-kyo, right, and Jamieson Greer, U.S. trade representative (USTR), left, shake hands during the Asia-Pacific Economic Cooperation (APEC) trade ministers’ meeting in Jeju on May 15. [NEWS1]

The United States and China resumed tariff negotiations just days after reaching a temporary “Geneva Agreement,” meeting on the sidelines of the Asia-Pacific Economic Cooperation (APEC) trade ministers’ meeting in Jeju, as Korea also deepens its own trade talks with Washington amid growing global scrutiny of U.S. tariff policy.

Jamieson Greer, U.S. trade representative (USTR), and Li Chenggang, China’s vice minister of commerce and international trade negotiator, held a separate bilateral meeting during the APEC ministerial meeting in Seogwipo, Jeju Island, according to a Korean government official on Thursday.

The talks took place just four days after both sides reached an agreement in Geneva between Sunday to Monday to reduce their respective tariffs by 115 percentage points for 90 days and to continue discussions moving forward.

The specifics of the talks were not disclosed, but it is believed they continued along the lines of the Geneva discussions rather than producing a new breakthrough. Observers interpreted the fact that Washington and Beijing are keeping communication channels open as a signal that “tensions are easing.”

Although the APEC ministerial was a prescheduled event, it garnered significant attention amid the tariff wars escalation triggered by U.S. President Donald Trump.

With senior trade officials from 21 member economies, the World Trade Organization (WTO), and the Organization for Economic Co-operation and Development attending, the concurrent presence of Greer and Li — architects of the Geneva deal — drew particular interest.

U.S. Trade Representative Jamieson Greer attends the opening ceremony of Asia-Pacific Economic Cooperation Ministers Responsible for Trade Meeting at International Convention Center in Seogwipo, Jeju on May 15. [REUTERS/YONHAP]

Seizing the opportunity, Korea also stepped up efforts to negotiate tariffs with the United States.

On Wednesday, Chang Sung-gil, Director-General for Trade Policy Coordination at the Ministry of Trade, Industry and Energy, held working-level talks with Greer’s team. This was followed by a bilateral meeting between Korean Minister for Trade Cheong In-kyo and Greer that evening. On Friday, Industry Minister Ahn Duk-geun will hold bilateral talks with the United States.

This marked three consecutive days of Korea-U.S. discussions.

“We planned the talks sequentially and strategically to make the most of Greer’s presence in Korea,” Cheong explained.

They will further discuss the details of tariff and nontariff issues, economic security and investment cooperation, which were agreed upon during the “Korea-U.S. 2+2 Trade Dialogue” held last month.

Specific topics include mutual tariff reductions of 25 percent, exemptions for steel and automobile tariffs and cooperation in the shipbuilding sector.

Ministers and heads of international organizations, including Korean Minister for Trade Cheong In-kyo, Jamieson Greer, U.S. trade representative, and Li Chenggang, China’s vice minister of commerce and international trade negotiator, pose for photos during the Asia-Pacific Economic Cooperation trade ministers’ meeting in Jeju on May 15. [YONHAP]

During the APEC ministerial meeting, which began Wednesday and will take place until Friday, Korean trade officials are holding a series of bilateral meetings with 15 countries, including the United States and China.

Earlier Thursday, Cheong met with Li to discuss strengthening the Korea-China FTA and other pending issues.

“China emphasized the importance of multilateralism and said it’s trying to play a constructive role in maintaining global supply chains,” Cheong said. “I told them Korea values both China and the United States as key economic partners and hopes the U.S.-China issues will be resolved. We did not discuss economic security or U.S. sanctions on China.”

Korea also held bilateral talks with Vietnam, the Philippines, Malaysia and New Zealand and met with WTO Director-General Ngozi Okonjo-Iweala. A meeting with Japan is scheduled for Friday.

Japan is represented by State Minister for Foreign Affairs Takuma Miyaji and State Minister of Economy, Trade and Industry Masaki Ogushi.

Korea’s Minister for Trade Cheong In-kyo, second from left, speaks during a meeting with World Trade Organization Director-General Ngozi Okonjo-Iweala during the Asia-Pacific Economic Cooperation trade ministers’ meeting in Jeju on May 15. [NEWS1]

“This will be a forum for sharing information and strategy regarding negotiations with the U.S. with Japan,” said a Korean official.

Korea is chairing APEC this year for the first time in two decades, last welcoming the conference in 2005.

“The APEC Trade Ministers’ Meeting should serve as a platform for communication and cooperation to help resolve global political and economic conflicts and uncertainties,” Cheong emphasized.

APEC accounts for approximately 37 percent of the global population, 61 percent of global GDP and 49 percent of international trade.

In its regional economic outlook released on the same day, APEC projected the region’s export growth rate to drop to 0.4 percent this year from 5.7 percent the previous year.

Korea’s Minister for Trade Cheong In-kyo, right, and Li Chenggang, China’s vice minister of commerce and international trade negotiator, shake hands after a meeting on the sidelines of the Asia-Pacific Economic Cooperation trade ministers’ meeting in Jeju on May 15. [NEWS1]

“Weakened external demand due to decreased manufacturing and consumer goods demand, along with growing uncertainty in trade policies, is also affecting services trade,” APEC said.

“The lowered export outlook is largely due to U.S. tariffs,” said Carlos Kuriyama, APEC Policy Support Unit director, according to Reuters. “The ripple effects will likely be much more significant.”

Some speculate that a joint statement may not be issued on Friday. While the agenda of the APEC meeting is to promote multilateral trade, recent U.S. actions — raising tariff barriers and de facto denying multilateralism — run counter to that aim.

In particular, in recent international meetings on the economy, diplomacy and trade, China has led member countries in voicing criticism of U.S. tariff policies.

“The joint statement’s content is expected to be a key indicator to watch,” a senior Korean trade official said.

Translated from the JoongAng Ilbo using generative AI and edited by Korea JoongAng Daily staff.
BY KIM WON [[email protected]]