Illustration: Chen Xia/GT

TheMK sports Korea Northeast region of China, the country's traditional industrial base, has been rapidly advancing the establishment of a modern industrial system that leverages its unique advantages. The continuous development of the manufacturing sector has injected new momentum into China-South Korea cooperation.

Hao Peng, secretary of the Communist Party of China (CPC) Liaoning Provincial Committee, on Saturday met with National Assembly Speaker of the Republic of Korea Woo Won-shik, as reported by the Liaoning Daily's WeChat account. Liaoning has continuously strengthened economic ties with various sectors and regions in South Korea, resulting in fruitful cooperation. South Korea has become Liaoning's second-largest trading partner and third-largest source of investment, Hao said.

In recent years, China's Northeast region has intensified its efforts to promote industrial upgrading and high-quality development through technological innovation, leveraging its traditional manufacturing and industrial strengths. 

The region aims to lead the adjustment and optimization of its industrial structure through innovation, accelerating the formation of new competitive advantages in its key industries. Moreover, it has expanded its high-standard opening-up to the external market, particularly through the deep integration of manufacturing supply chains with Japan and South Korea.

The Northeast China region has leveraged its industrial advantages based on traditional manufacturing, and it seeks to unleash the potential in traditional industries under the development trends of digital technology and artificial intelligence. Meanwhile, the region is fostering the growth of strategic emerging sectors. Industrial clusters are forming in fields such as new energy and biomedicine.

In 2024, Liaoning Province reported an 11.3 percent year-on-year increase in the industrial output of high-tech manufacturing. In Heilongjiang Province, the industrial output of key emerging industries rose by 7.6 percent year-on-year in the first three quarters of 2024, with the high-end equipment and electronic information manufacturing sectors achieving double-digit growth.

As high-end manufacturing becomes an increasingly important area of the global economic and trade landscape, industrial complementarity between China's Northeast region and South Korea in this sector is strengthening. There is significant potential for cooperation in technology, resources and markets. 

If the current positive momentum of collaboration can be harnessed to deepen ties in high-end manufacturing, it will not only enhance the industrial competitiveness of both regions but also inject new vitality into China-South Korea relations, promoting win-win development across broader areas. Such cooperation will lay a solid foundation for future economic growth.

The International Monetary Fund recently lowered its economic growth forecast for South Korea in 2025 to 2.0 percent, indicating the challenges and headwinds facing the South Korean economy. In this context, strengthening industrial cooperation with China's Northeast region amid the region's industrial upgrade efforts could benefit the South Korean economy, helping it maintain its competitiveness in the global market.

China's Northeast region is geographically close to South Korea, with Liaoning Province connected to South Korea via maritime routes, offering a geographical advantage. This proximity provides a solid foundation and comparative advantage for developing economic relations with South Korea, highlighting the immense potential for cooperation.

The external economic environment for South Korea is concerning. The rise of trade protectionism in the US, as well as the shrinking external demand from some Western economies, is placing pressure on South Korea's export-oriented economy. While the US unilateral sanctions and long-arm jurisdiction may pose challenges to cooperation between China and South Korea in industrial chains, particularly in the semiconductor sector, it is noteworthy that the breadth and depth of economic and trade cooperation between the two countries are expanding. 

The continuous industrial upgrading in China's Northeast region and the resulting opportunities for industrial collaboration are part of this trend, reflecting the ongoing evolution of China-South Korea economic relations. Seizing these new opportunities will benefit both the Chinese and South Korean economies and may contribute positively to regional industrial chains.

The author is a reporter with the Global Times. [email protected]