On February 15, 2023, Director-General of the Department of Asian Affairs Liu Jinsong met with Chairman of POSCO (China) Investment Co., Ltd. Song Yong-sam.

Song Yong-sam said that Pohang Iron and Steel Co., Ltd. (hereinafter referred to as POSCO) started its cooperation with China in the 1980s, and set up a representative office in Beijing in 1991. While mainly engaging in the steel industry, it is actively expanding business in such fields as rechargeable batteries and hydrogen energy. Song Yong-sam said POSCO has full confidence in the prospect of China's economic development and is ready to continue expanding investment cooperation in China.

Liu Jinsong said that POSCO, a steelmaker well-known in the Republic of Korea (ROK) and beyond, has grown stronger and bigger through its close cooperation with Chinese businesses. At the same time, it has created jobs in China and contributed to the country's tax revenue. He noted that the steel industry, the centerpiece of POSCO business, provides not only the skeleton of traditional industries, but also the backbone of modern industries. The Chinese side has noted POSCO’s vigorous efforts to modernize and diversify its business, and the good economic and social benefits its leading projects have generated such as the HBIS-POSCO Automotive Steel Sheets and the Lithium-ion Battery Electric New Energy Materials Project in Tongxiang City, Zhejiang Province. After the outbreak of COVID-19, POSCO has maintained production and operation in China despite COVID-related difficulties. China applauds POSCO’s commitment, and will continue to provide services and convenience to POSCO and other foreign businesses investing and doing business in China.

Liu pointed out that currently there are multiple favorable factors for businesses from Asian countries to engage in cooperation with China. The 20th National Congress of the Communist Party of China made a series of important political, theoretical and practical achievements, laying out major policies and strategic plans for advancing the development of the cause of the Party and the country on the new journey in the new era. The Central Economic Work Conference held at the end of last year made an in-depth analysis of the domestic and international economic situations, and set out systematic plans for this year's economic work. The annual Two Sessions will be held in March. These important meetings and policy statements coming out of them show to the world the high degree of stability and continuity of China’s major principles and policies. China is considering hosting the third Belt and Road Forum for International Cooperation this year. The Boao Forum for Asia Annual Conference and the China-ASEAN Expo will also be held this year. These major events will provide important platforms for deepening exchanges and cooperation between China and other countries. The Regional Comprehensive Economic Partnership has come into force and the second-phase negotiations on the China-ROK free trade agreement are being advanced at a faster pace. These will also bring new opportunities for the ROK and other relevant countries to strengthen economic and trade cooperation.

Liu Jinsong stressed that joined by close economic ties and highly integrated industrial and supply chains, China and the ROK have long forged a close-knit cooperation pattern with interconnected interests. The latest report of the Korea International Trade Association shows that as China's economy picks up in the second quarter of this year, the ROK's real gross domestic product (GDP) will increase by an additional 0.16 percentage points, equivalent to one-tenth of the country's estimated growth rate of 1.6-1.7 percent for this year. The ROK's exports will increase by a further 0.55 percentage points, equivalent to 31 percent of the country's export growth last year. China hopes that all parties will respect market rules and principles of free trade, uphold the spirit of mutual benefit and win-win results, and work jointly to promote industrial and investment cooperation that features digitization, low-carbon development and intelligence technology and that adapts to local conditions. Joint efforts should be made to keep industrial and supply chains stable and unimpeded in the region and across the globe to achieve development and prosperity together.

Song Yong-sam said that the stability and continuity of China's economic and trade policies as well as other major principles and policies will bring huge benefits to other countries in the world. As a multinational, POSCO is keenly aware of the importance of keeping global industrial and supply chains stable and unimpeded, and is ready to continue playing a positive role in strengthening ROK-China economic and trade cooperation and enhancing friendship between the two peoples.