Japan and South Korea are often perceived as geographically close but psychologically distant countries, with people on both sides loving to hate each other.

Although former South Korean President Kim Dae Jung adopted an unusually pro-Japan posture, bilateral ties have not improved as much as was hoped. Cohosting the World Cup soccer finals last year also yielded fewer than expected positive developments.

This situation may not be drastically altered under the administration of new President Roh Moo Hyun, who was sworn in Tuesday. But some believe ties will improve if both countries embark on a joint project -- the creation of a bilateral free-trade agreement.