The Asia-Pacific Economic Cooperation (APEC) Summit will be held on October 31-November 1, 2018, in Gyeongju, South Korea. World leaders will focus on addressing growing trade frictions and the increasing effects of artificial intelligence. APEC’s origins APEC began in 1989 with only 12 member economies and a primary focus on promoting free and open trade. Today, it has expanded to 21 members, including all of the US’s largest economic competitors—China, Japan, and now-Australia.
It’s shaping up to be an action packed summit this year. Among other meetings on his agenda, U.S. President Donald Trump will have a much-anticipated bilateral meeting with Chinese leader Xi Jinping. This will be their first meeting since Trump was inaugurated for his second term. That backdrop of the two countries’ nearly two-year-long trade war creates a tense stage for the meeting. It sounds a cautionary note on three important fronts, with respect to the future of global trade dynamics.
Like Baekje, Gyeongju is known for its deep cultural roots and contains three UNESCO World Heritage sites. This colorful city is home to this year’s annual leaders’ meeting. South Korean officials have expressed concerns that differing positions among member nations may hinder the ability to issue a joint statement strongly endorsing free trade.
The APEC meeting will mark a return to confronting these antitrade moves directly. It will equally look at the impact of AI on labor markets and the recent demographic crisis developed economies have witnessed. APEC supporters point to the coalition’s historic achievements in slashing tariffs and other trade barriers. The overall mood this year may be very different from past conventions.
“While APEC is inherently a loose organization and has its limitations, it has carried symbolic significance as all the leaders come together, and even if discussions were somewhat vague, they could still gain influence over time.” – Kim Tae-hyung
South Korea’s chairmanship of APEC presents an opportunity to cement its role as a “middle power.” Our country could use this leadership role to stand up boldly for free trade and the benefits of global cooperation. The South Korean government hopes that this platform will allow for future dialogue between member nations even in times of difficulty.
The present climate around APEC represents an ongoing and historic change in the landscape of international relations. Park Won Gon commented on the changing dynamics, stating, “The United States drove the launching of APEC with the goal of expanding global cooperation under a rules-based international order, but now, the Trump administration is precisely rejecting all of that.”
Leaders from all across the country are preparing to come together. There is concern that increased sensitivity will no longer allow them to approach familiar subjects in an honest manner. Kim Tae-hyung noted, “The atmosphere is completely different this year and we might not see the usual range of discussions or topics that were often addressed at the forum.”
Despite these hurdles, many experts are still optimistic about APEC’s ability to serve as a forum for dialogue and discussion between belligerent countries. Choi Yoon Jung emphasized that “APEC’s strength is that we can bring together countries engaged in disputes and let them discuss practical cooperative steps, even when there could be no immediate, substantial breakthroughs.”
