China-proposed initiatives bring S. Korea closer to economic vision

INJECTING IMPETUS INTO S. KOREAN ECONOMY

The lackluster recovery of the global economy has dampened the growing momentum of South Korea's economy and blunted its competitive advantages in fields like steel, fiber-making and electronic products, as it heavily relies on exports.

Joining China-proposed initiatives like the Belt and Road would help South Korea regain its advantages in infrastructure and machinery, expand its overseas projects and exports of machinery, and stimulate its economic growth, experts said.

By strengthening its ties with countries alongside the silk routes, South Korea can expand its overseas markets and boost its domestic market, said Yao Shumei, a researcher with the academic committee of China's National Development and Reform Commission.

"It can also seize the opportunities to map out industrial linkage and obtain long-term benefits from its foreign direct investment (to countries along the routes)," the researcher said.

Li Tianguo, a researcher with the National Institute of International Strategy at the Chinese Academy of Social Sciences, fully agreed, saying China's "Belt and Road" initiatives could help South Korea enhance its cooperation and exchanges with China and other neighboring countries.

South Korea has also adopted a strategy of "going global" for its enterprises. Therefore, it is hoped in South Korea that China's Belt and Road initiative could offer more opportunities for Korean enterprises, he said.

Moreover, experts believed that South Korea, faced with its own increasing debts, hopes to solve its financing problem both domestically and abroad, obtain important information to enter third markets, and enhance its ties with China and its neighboring countries - all through the AIIB.

South Korea's active participation in the Belt and Road initiative and the operation of the AIIB are very important for boosting its sluggish economy, Li said.

Within the framework of Chinese initiatives, China and South Korea could boost their cooperation in such industries as green energy, environmental protection, new generation of information technology, bio-tech, high-end engineering machinery, renewable energy and green cars, Yao said.

Having embarked on a fast track of development, China and South Korea's relationship would be further strengthened by Premier Li's visit, his first official visit to China's neighbor since becoming premier in 2013.

With their increased overall cooperation, the two sides can expect China-proposed initiatives to play a bigger role in boosting South Korea's economy and realizing the country's economic vision.