A major diplomatic victory was achieved at the Asia-Pacific Economic Cooperation (APEC) Summit, held last week in Gyeongju, South Korea. A possible joint declaration among the 21 member countries is being achieved, even amidst trade tensions directly provoked by the United States. The meeting, which brings together ministers and leaders from the region, aims to reach a consensus on issues such as trade, energy security, and digital transformation. Despite the high level of protectionism stemming from the rivalry between China and the United States, the negotiations have been both delicate and promising.
APEC attempts to preserve dialogue amid escalating dispute between the United States and China
Representatives from the 21 APEC members arrived in South Korea aware that every word of the so-called “Gyeongju Declaration” will be contested line by line. The document, which is expected to serve as the basis for the leaders’ meeting this weekend, faces obstacles regarding how the countries address trade and unilateral sanctions.
The United States is keen to include in the text criticism of what they call “economic coercion,” which is a reference to Chinese restrictions on the export of rare earth elements. Beijing, on the other hand, is asking that the declaration condemn protectionism and defend multilateralism as a path to a more stable economy. Each power is defending a vision that is favorable to its own interests.
Despite the clear differences, some signs of progress can be observed. South Korean Trade Minister Yeo Han-koo and Foreign Minister Cho Hyun, who are responsible for presiding over the meeting, emphasized that APEC remains one of the few platforms that allows the United States and China to still sit at the same table.
Tensions over tariffs and energy challenge leaders, but Korea is betting on a minimum consensus
This year’s summit takes place in a tense global trade context. While the US administration has once again threatened additional tariffs on Chinese products, Beijing has responded with export control measures on strategic minerals essential to the technology sector, mainly in the development of semiconductors and batteries. This clash, which is already affecting supply chains worldwide, has a direct effect on APEC discussions.
South Korea, the host of the event, aims to act as a mediator as much as possible. Gyeongju hopes to see a “flexible” version of the joint declaration approved, focusing on less controversial and conflict-ridden areas such as digitalization, food security, and clean energy. Despite avoiding trade issues, the goal of having a final, agreed-upon document is already considered a major progress given the current situation.
The expectation is that the final declaration will highlight multilateralism and digital innovation
APEC debates also address other relevant issues, such as the future of the digital economy, the regulation of artificial intelligence, and the energy transition —pertinent topics and of great interest to all countries. South Korea’s proposal for a “digital transformation roadmap” by 2030 gained general support, and the final text of the “Gyeongju Declaration” should reinforce the commitment to multilateral trade and the WTO.
Modest progress, meaningful symbolism
Even if the final document doesn’t bring major surprises or unexpected solutions to resolve contentious issues, whether commercial or geopolitical, the act of reaching a joint declaration among the various nations that have disagreements with each other would already be a political victory for South Korea and for the objective of APEC.
In a global context of polarization and trade conflicts, maintaining a spirit of cooperation as much as possible becomes a priority to guarantee stable diplomatic relations. Immediate solutions may not have emerged from the APEC summit, but the message that dialogue is the path to mutual growth was duly encouraged.