Prime Minister Yasuo Fukuda and visiting South Korean President Lee Myung Bak agreed Monday to open a “new era” in bilateral relations by resuming working-level discussions in June toward a resumption of negotiations for an economic partnership agreement.

In that vein, Fukuda will visit South Korea later this year as part of a past agreement between Fukuda and Lee to visit each other's country at least once a year.

Lee arrived in Tokyo on Sunday. His trip is the first to Japan by a South Korean president since Roh Moo-hyun visited in December 2004.

At a joint news conference after their summit, Fukuda said, "The two nations are important neighbors. I want to develop a new era in Japan-South Korea relations by upgrading ties to a more mature partnership."

For his part, Lee said, "The two nations must construct a relationship like a tree that has sunk deep roots, making it unshakable even amid adverse conditions."

The two leaders agreed that an economic partnership agreement would help strengthen the economies of the two nations. Negotiations for such an agreement had been on hold since November 2004.

Fukuda and Lee expressed their respective hope for greater business investment in each other's country.

Lee said his administration was considering establishing an industrial park for the production of parts and materials as a way of encouraging Japanese companies to expand their investment in South Korea.

Turning to North Korea, Fukuda said efforts would be made to realize early normalization of relations between Tokyo and Pyongyang. This, he said, would involve comprehensively resolving the issues of Japanese citizens abducted by North Korea and Pyongyang's nuclear weapons and missile development programs.

Lee expressed his understanding and support for Japanese held by North Korea, saying, "I want to make every possible effort toward resolution of the abduction issue."

The two leaders agreed on the need to create a framework for dialogue on a wide range of issues by Japan, the United States and South Korea.

Lee said he would attend a meeting on the sidelines of the Group of Eight summit scheduled for July in Hokkaido's Lake Toyako region involving leaders of nations not included in the G-8.

The two leaders agreed to strengthen cooperation in dealing with environmental and energy issues at regional and global levels.

They agreed to cooperate in extending assistance to developing nations, including joint assistance programs for African nations.

Fukuda and Lee agreed to greatly expand the opportunities for exchange between residents of the two nations.

Specifically, the bilateral working holiday program will be expanded to an annual maximum of 7,200 people in 2009, double the upper limit currently in place. The two leaders agreed to expand that limit further to 10,000 by 2012.

Fukuda touched upon the need for a meeting of the leaders of Japan, China and South Korea and proposed hosting such a gathering later this year. Lee agreed to that proposal.

The two leaders confirmed that work was progressing smoothly in a joint research program on historical issues.

Lee said, "We cannot forget past history. However, we must not create barriers to the future by becoming consumed by that history."

He also asked Fukuda to make further efforts to allow Korean nationals residing in Japan to vote in local elections.