South Korean media: China ranks first in 57 out of 64 core technologies globally, while the US only leads in 7

¬ "10 years later, South Korean manufacturing will be eliminated" shocking warning

Recently, the chairman of the Korea Chamber of Commerce, Choi Tae-yong, warned that the "lost 10 years" of South Korean manufacturing have already begun. He mentioned China's rapid qualitative growth in manufacturing, saying, "If we cannot revitalize manufacturing through AI (artificial intelligence), it may all be eliminated 10 years from now." This diagnosis from the president of SK Group, the second largest conglomerate in South Korea leading the chip and petrochemical industries, is even more heartbreaking. He said, "Now, petrochemicals are no longer a competitor of the Middle East, India, or China."

The diagnosis that South Korean manufacturing is being overtaken by China is no longer new. Ten years ago, China launched the "Made in China 2025" project to concentrate on cultivating 10 major advanced industries to become a manufacturing power, and achieved remarkable results. According to the Korea Institute for Industrial Economics, in 13 main manufacturing industries, except for chips, the other 12 industries are behind China. In areas such as automobiles, shipbuilding, machinery, steel, secondary batteries, communication equipment, and displays, China has surpassed Japan, the US, and become the world's first. In 64 key core technologies globally, China ranks first in 57, while the US leads in only 7.

Over the past 20 years, China has made rapid progress, but South Korea has failed to discover new sources of growth, and its economy has gradually lost vitality. Every 5 years, the government changes, and the economic growth rate decreases by 1 percentage point. We don't have a magic stick to reverse the unfavorable situation in one go. Only through structural reforms in education and labor to enhance competitiveness, to remove the shackles of outdated regulations, and allow companies to focus solely on development. President Lee Jae-myung, when meeting with top executives of large corporations, said, "The core of the economy is enterprises," and "actively supporting and assisting enterprises is the most important job of the government."

However, the Democratic Party contradicts the president's statements, and is still pushing forward anti-enterprise legislation such as the "Yellow Envelope Law," mandatory cancellation of company stock, and increasing the corporate tax rate. The president's statements and the Democratic Party's actions are contradictory, instead strengthening regulatory provisions that restrict enterprise development. Entrepreneurs fighting on the front lines of industry are worried about "the elimination of manufacturing 10 years from now," does the Democratic Party have any sense of crisis? If the South Korean politics continues to drag the economy down like this, the day when South Korean manufacturing is eliminated in the global market may become a reality.

Source: Chosun Ilbo

Original article: https://www.toutiao.com/article/1838233906243594/

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