"Made in Korea" Products to Help Improve Japan's Trade Deficit
A trade show was recently held in downtown Tokyo showcasing the latest in Korean products.
For many Korean companies, there have been serious challenges to breaking into the Japanese domestic market.
But Japanese consumers and companies are starting to re-evaluate their opinion of Korean products.
[Interview : Asakawa Tsutomu, Public Relations Representative
Skylark Corporation] "It's increasingly becoming an era where people and companies are buying products with the 'Made in Korea' label. Products like Samsung mobile phones and TVs have increased in value in the public's eye."
Korean semiconductor and consumer electronics companies have been dominating world markets, but they now have their sights on increasing trade with Japan.
Armed with key technologies, many Korean small-and medium-sized companies are looking to help decrease the trade deficit with Japan.
In 2010, Korea's exports to Japan totaled around 28 billion U.S. dollars, but just one year later that figure rose to nearly 40 billion.
In contrast, imports from Japan rose from approximately 64 billion dollars to 68 billion. As a result, the Korea-Japan trade deficit continues to reduce by 20 percent annually.
[Interview : Shin Hwan-seob, Head of Japanese Branch
Korea Trade-Investment Promotion Agency] "After the earthquake, there's been a significant reduction in the trade deficit with Japan, but it hasn't been merely a temporary phenomenon. Compared to last year, the trade deficit with Japan has been significantly reduced in the last three months."
Since Korea has now signed free trade agreements with the U.S. and Europe, many experts predict it will stimulate investments and further reduce the trade-deficit with Japan.
Despite rapid progress, recent negotiations of a tri-lateral free trade agreement between China, Japan, and Korea are at a standstill.
Paul Yi, Arirang News
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