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How much impact can China’s industrial upgrading have on Japan and South Korea?

Look at how anti-China Yoon Suk-yeol is now, and you’ll understand. On Korean social media, Yoon Suk-yeol is being harshly criticized, and one of the most frequently mentioned accusations is: Why not pursue balanced diplomacy, but instead fully align with the U.S., leading to the loss of China, the largest market? Lee Jae-myung also questioned Yoon Suk-yeol on why he is provoking China.
Although I really dislike Yoon Suk-yeol, I can actually understand his mindset. Because he has no choice. Balanced diplomacy aims to gain benefits. However, in Yoon Suk-yeol’s view, China’s comprehensive industrial upgrade offers no profit for South Korea and could even uproot its industries. After all, China’s upgraded industries heavily overlap with South Korea’s. If China, with its massive scale, fully develops, South Korea’s overlapping industries could be severely impacted.
China has already surpassed South Korea in shipbuilding and automotive industries, and it’s only a matter of time before semiconductors are overtaken. What can South Korea do? It can’t win a confrontation, and persuading China not to develop these industries is unrealistic. Who would listen to that?
From Yoon Suk-yeol’s perspective, friendship is no longer an option. It would be better to fully side with the U.S.; if they can help the U.S. bring down China, South Korea might still enjoy its status as a developed country. Japan has similar reasons.
That’s why I don’t expect South Korea or Japan to be particularly friendly with China in the short term. After all, accepting reality and changing direction takes time.