Chinese High Technology Industry As Well Threatens Korea

‘Made in Korea’ is challenged from Chinese products in Asian market as well. Experts forecast pessimistically that even competing products at the moment will lose their competitiveness in near future.

According to the survey of KOTRA on competition between Korea and China in Asian market; Singapore, Indonesia, Malaysia and Thailand, Korea is superior to China in 45 items, inferior to China in 51 items and competing in 29 items.

Electrical & electronic, IT and textiles are very severe competing items, but have been deprived the market portion. Even in high technological products and high technological equipment-intensive products such as HD television, air-condition, etc, China challenges severely.

In case of Singapore, a symbol of free market, Korea is on dominant position in 16 items, inferior position in 16 items and competing in 12 items. 81% of competing products are electrical & electronic and mechanical products that require high technology and the competition in items become severe between the two countries.

Song Yu Hwang, Senior manager for Overseas Research Team of KOTRA says, “ the foreign investment in China transfers from light industries such as textiles & cloths, foot, etc into high technological products such as electrical & electronic, IT etc. So the competition between Korea and China will become severe.”

Kang-Woon Lee kwoon90@donga.com