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Korea-China Digital Cooperation: Preparing for the Next Step
- Author Won Seok Choi
- Series241
- Date2022-07-06
The accelerating growth of the digital economy in China can be a huge opportunity for Korea, given that content is mainly traded in digital form. However, the Chinese government is tightening regulations on the digital economy as social problems arise in hand with the fast-growing digital economy in China. This strengthening of regulations in the digital field in China can not only lead to exports of Korean content to China, but also to contract the operations of Korean companies in China, increase management costs due to rapid system changes, and deteriorate business conditions by imposing heavy legal responsibility. Amid these concerns, some suggestions should be made for digital cooperation between Korea and China in the future. The first is to establish a communication channel on digital trade norms between the two countries. Second, Korea needs to seek ways to revitalize e-commerce and digital services between the two countries by utilizing China's external opening policy. Third, when negotiating FTA services between Korea and China, it is necessary to argue for the same level of digital service market opening as the Comprehensive Agreement on Investment (CAI) between the EU and China.
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