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S. Korea grants China market status
(Reuters)
Updated: 2005-11-16 21:40

North Korea talks

The two leaders also issued a joint statement in which they urged everyone involved in negotiations to end North Korea's nuclear programs to show flexibility.

The leaders of all countries in the negotiations except North Korea -- China, the United States, Japan, South Korea and Russia -- will be in the southern port city of Pusan for a summit of the 21 leaders of the Asia-Pacific Economic Cooperation forum.

"Both sides shared the view that each of the parties must continue to show flexibility with sincerity and should implement the (agreement) and continue to make progress in the process," the joint statement said.

The six agreed at talks in September that North Korea would dismantle its nuclear weapons in return for economic and energy aid and better ties with Washington and Tokyo.

Argentina and Brazil have both recognised China, now one of the world's top trading nations, as a market economy last year but the European Union said this month that it was not yet in a position to give a target date for awarding the label.

Treating China like a non-market economy allows trading partners to use production costs in third countries to evaluate whether Chinese imports are "dumped," or unfairly priced.

Beijing says this means it receives higher anti-dumping duties than if Chinese costs were used in the evaluation.

"Both sides are happy to see that trade between the two countries will reach $100 billion in 2005, three years ahead of goal, and agreed to continue efforts to accomplish $200 billion in bilateral trade by 2012 on the 20th anniversary of diplomatic ties," the statement said.

Diplomatic ties between the South and China began in 1992.


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