Stock Markets June 4, 2026 06:05 AM

China Encourages SK Group to Strengthen Ties with Local Firms, Minister Says

Vice industry minister urges Seoul conglomerate to pursue stable supply partnerships and join industrial modernization efforts

By Leila Farooq

China’s vice industry minister met with SK China leadership and urged the South Korean conglomerate to develop stable supply partnerships with Chinese companies and to participate in China’s industrial modernization, stressing that the ministry values the development needs of foreign firms operating in the country.

China Encourages SK Group to Strengthen Ties with Local Firms, Minister Says

Key Points

  • China’s vice industry minister and SK China leadership met to discuss the conglomerate’s operations in China.
  • The minister urged SK Group to forge stable supply partnerships with Chinese companies and to participate in industrial modernization efforts.
  • The ministry stated it values the development needs of foreign companies operating in China, explicitly including South Korean firms.

China’s vice industry minister held a meeting on Thursday with senior leadership from SK China in which he called on the South Korean conglomerate to deepen its collaboration with Chinese companies, according to a statement issued by the Chinese ministry.

The official, identified in the ministry statement as Xiong Jijun, encouraged SK Group to build steady supply partnerships with Chinese firms and to engage in the country’s ongoing industrial modernization programs. The discussion focused on SK Group’s operations within China and the ministerial view of foreign business development in the market.

In the ministry’s account of the meeting, Xiong emphasized that the ministry values the development needs of foreign companies operating in China, explicitly naming South Korean firms among those considerations. No further operational details, commitments, or timelines were provided in the ministry statement.


What happened

The vice industry minister met with SK China’s chairperson to discuss the conglomerate’s activities in China. During the conversation, the minister urged the company to establish stable supply partnerships with Chinese partners and to take part in industrial modernization efforts.

Official position

The ministry conveyed that it recognizes and values the development needs of foreign companies operating in China, calling out South Korean businesses as part of that group. The comments were reported in the ministry’s statement summarizing the meeting.


Analysis limitations

The official statement released by the ministry provides the key points of the exchange but does not include specific plans, targets, or any commitments from either party. The available information does not detail what form deeper partnerships might take or any follow-up actions.

Risks

  • The ministry statement does not specify any concrete steps or timelines, leaving uncertainty about how and when SK Group might deepen local partnerships - impacts supply chain and manufacturing sectors.
  • Limited detail in the public statement creates uncertainty about the scope of 'industrial modernization' participation requested of foreign firms - impacts industrial and corporate planning.

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