South Korean President Lee Jae-Myung has become a focal point in the escalating China-Japan conflict.
Last week he met Xi Jinping in Beijing and took selfies on a Xiaomi smartphone. This week he played the drums with Japan’s Prime Minister Sanae Takaichi to K-pop hits in Nara.
Details
🇯🇵 Takaichi’s predicament: Japan needs Seoul in its conflict with China—especially after Beijing's export restrictions on rare earths. Takaichi hopes for support, but Lee is keeping a low profile:
❝"That is a matter between China and Japan; we don't need to interfere."
💰 Seoul collects from both sides: Chinese tourists avoiding Japan are flocking to South Korea. Since November, Chinese tourism has been booming. Investors are betting on South Korean retail and consumer stocks.
🎯 The 400-delegate message: While Japanese managers had to cancel their Beijing trips, Lee traveled to China with a 400-member business delegation.
🔴 Trump’s unpredictable factor: With his visit to China in April, Trump becomes a wildcard. Mediation in the China-Japan dispute is questionable. According to Bloomberg, Seoul faces its "toughest test": balancing the US alliance with proximity to China.
A reminder: Why the China-Japan conflict escalated
In November, Takaichi said a Beijing attack on Taiwan could be an "existence-threatening situation" for Japan, allowing for military action.
Beijing's reaction:
- Travel warnings for Japan
- Unofficial ban on Japanese entertainment
- Renewed ban on Japanese seafood imports
- Export restrictions for 800+ dual-use goods (including rare earths). Japan is now desperately searching for alternatives.
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