The Japan-South Korea trade war is a selfish political dispute and a lose-lose for small businesses
- As the dispute between Tokyo and Seoul drags on, a few factors have been overlooked: companies do not like becoming collateral damage in a trade war and, also, small businesses and ordinary people suffer when politicians fight
Clearly, the conflict between the two Asian powerhouses is serious enough to cause global concern and create a major headache for the Asian economy.
There are three critical, but often overlooked, factors in the dispute. First and foremost, it must be recognised that weaponising business to bolster domestic political positions is a common tactic for Asian governments.
Near the start of the trade war, Yong-maan Park, chairman of the Korea Chamber of Commerce & Industry, took to Facebook to plead with Seoul, asking it to let businesses do business.
In these times of political tension, companies do not expect the comfort of business as usual. But nor do they wish to be held hostage to political fights between governments. Even in Asia, it is no longer possible to count on companies to be unconditionally patriotic, when they find themselves becoming collateral damage in political battlefields.