Voice from Seoul

JoongAng Daily: Appreciation of yuan would benefit steel, IT 10/03

Local industries competing aggressively with China in the overseas export market will receive the biggest boost from the yuan’s appreciation, Meritz Securities said yesterday. A stronger yuan would make products manufactured in China more expensive in the global market, benefiting Korean exporters. Based on 2009 data, companies in the electronic devices, machinery and steel industries have a large overlap in the export market with their peers in China.

The IT and auto sectors, which are considered closely related to Chinese consumption, should see some positive impact as well.

Chosun llbo: Chinese FM Optimistic About Six-Party Talks 07/03

Chinese Foreign Minister Yang Jiechi on Sunday expressed optimism that six-party talks about North Korea's nuclear programs will resume since the parties involved "are committed to the objective of denuclearizing the Korean Peninsula." Yang made the remarks on the sidelines of the opening of the People's Congress. He did not say when he expects the talks to resume.

Turning to the G20 summit conference in Seoul this year, Yang said the G20 plays an important role in coping with the global financial crisis and is very pleased to see South Korea host the G20 summit. As major agenda points for the summit, he cited the reformation of international bank, recovery and development of the world economy, elimination of imbalance, international cooperation on exit strategies and opposition to various forms of protectionism.

Referring to the rift in U.S.-China relation since early this year, Yang said "the responsibility does not lie with China." "China has always attached importance to its relationship with the United States," he said. "Resolutely adhering to one's principled stance is not the same thing as being hardline." The United States "must respect China's core interests" on Taiwan and Tibet, Yang added.

Donga Daily: China Targets This Year's Growth at 8 Pct. 06/03

China yesterday said it aims for growth of eight percent this year by maintaining measures to expand domestic demand, such as proactive fiscal and flexible monetary policies.

Chinese Premier Wen Jiabao announced this at the National People's Congress in Beijing. "As the global economy has not completely gotten out of the financial crisis, it is too early for China and other nations to introduce exit strategies. The Chinese government also needs to introduce policies to expand domestic demand because it lacks economic growth engines."

Premier Wen also said Beijing will keep the urban unemployment rate under 4.6 percent by creating more than nine million jobs in cities. He pledged all-out efforts to ward off inflation resulting from overheating of the economy and the provision of more houses for the low-income bracket to prevent real estate speculation.

On the request by other countries for Beijing to appreciate its currency yuan, he said, "We'll maintain the stability of our currency within reasonable and fair grounds."