93.7% comes from my country. After graphite exports to South Korea were resumed, an investigation was launched against China?
On the 11th of this month, South Korea's Ministry of Industry and Trade announced that it would launch a patent infringement investigation into secondary batteries and cathode materials produced in China. Three Chinese companies and one South Korean importer were involved. In addition, South Korea also launched an anti-dumping investigation into China's ethylene glycol phthalate on the grounds that "the low-price import of this product has harmed the interests of South Korea's TK Chemical." Although it will take some time for the final results of this investigation to be revealed, such signs will cast a shadow on the industrial cooperation between China and South Korea.
China expresses goodwill towards South Korea
As the world's largest graphite producer, China accounts for two-thirds of global supply. And not only does it have an absolute advantage in terms of mining volume, China is also in a leading position in graphite deep processing and related technologies. It can be said that it occupies a dominant position at every stage of the supply chain.
South Korea is an important participant in the electric vehicle industry, and Chinese raw materials are the best choice for related industries in South Korea. Therefore, the supply of graphite from China will directly affect the healthy development and competitiveness of South Korea's battery manufacturing industry.
China's resumption of graphite exports to individual Korean companies is undoubtedly a major respite for Korean companies that rely on China's graphite supply. China's move is actually to express to South Korea China's sincerity in hoping to develop friendly relations with South Korea.
From a common sense perspective, as long as the two countries have friendly relations and maintain economic and trade relations with each other, the flow of goods can be guaranteed. The most important prerequisite for a friendly relationship is to "work toward each other halfway."
China and South Korea are close neighbors and have had economic cooperation for decades. Although the two countries have differences on some issues, they have basically not affected industries such as electric vehicles and semiconductors where the two sides have relatively deep cooperation. But what is different from China's goodwill move is South Korea's approach.
Why does South Korea “repay kindness with hatred”?
South Korea launched three investigations into Chinese companies this time. The first is to investigate whether smartphones with built-in secondary batteries produced in China infringe patent rights; the second is to investigate whether the cathode materials produced by Chinese companies infringe patent rights; the third is to investigate whether the cathode materials produced by Chinese companies infringe patent rights; South Korea believed that PET resin produced by Chinese companies was being dumped in South Korea, causing heavy losses to South Korean-related companies, and submitted an anti-dumping investigation to the Korea Trade Commission. These three investigations were carried out together, and a conspiracy against Chinese companies was gradually unfolding.
South Korea needs to show sincerity
In recent years, facing the complex and severe external environment, China is willing to work with all parties to promote inclusive development through service opening, jointly safeguard free trade and the multilateral trading system, provide the world with more and better Chinese services, and show China's goodwill to other countries. . But in the final analysis, China's goodwill is not without limits. We also hope that other countries will respond in the same way. Only when the two sides hit it off can business continue to be successful.
If South Korea wants to maintain smooth economic ties with China in the future and continue to be able to obtain raw material supplies without hindrance, it may have to use some practical actions to prove its sincerity. If we wait for China to show goodwill first and then follow suit every time, or if we are not willing to show the same goodwill at all, then the worries of the Korean media and industry may really become a reality.