Maggie Lu
Tel: Mob + (86) 18030062886
No. 617,Surabaya Road,Huli District, Xiamen, Fujian, China
The ecnomoist
A trade dispute between Japan and South Korea has Trumpian echoes
The global tech industry could be hostage to Asian history
Take just about any trade fight today, and President Donald Trump’s America is at the centre of it: with Europe over cars and aeroplanes; with foreign producers of steel; with China over, well, everything. But a brawl now under way in Asia, between Japan and South Korea, has the potential to be as damaging as much of what Mr Trump has stirred up. It is also a sign that his model of abusing economic partners is spreading.
Tensions between Japan and South Korea go back centuries. Japan’s colonisation of Korea between 1910 and 1945 is still resented. Japan believes a 1965 agreement resolved claims by South Korea over forced labour. It is incensed that South Korea’s supreme court last year ordered Japanese firms to compensate victims (see Banyan). Amid a widening rift, Japan took its most serious action on July 4th when it began restricting exports to South Korea of three specialised chemicals used to make semiconductors and smartphones.
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