SEOUL: The Republic of Korea will push to expand free trade agreements (FTAs) with emerging markets in Asia and Africa to boost the export-driven economy and enhance supply chain resilience, Prime Minister Han Duck-soo said. Korean news agency Yonhap reported that prime minister Han unveiled the trade policy road map during a ministerial meeting to address challenges from the rapidly changing global trade environment and supply chain disruptions.
“We will expand the FTA network in major emerging markets, including Asia and Africa, to support local companies’ businesses in their global business efforts,” Han said. The government will explore ways to stabilise supply chains of key items through regional trade deals like the Indo-Pacific Economic Framework (IPEF) and bilateral pacts with key partner countries, the prime minister added.
“We will actively participate in discussions on new trade norms, particularly in areas such as digital and climate, to uncover business opportunities for our companies,” he said
. Korea has signed FTAs with 59 nations, covering 21 agreements, which represents about 85 percent of the world’s gross domestic product.
The government said that it aims to have its free trade portfolio encompass 90 percent of the global GDP by expanding ties with emerging and developing countries, primarily in the southern hemisphere. As part of the vision, the government will seek to complete the ongoing free trade deal with Mongolia and launch negotiations with Pakistan and Bangladesh to expand its presence in the West Asian market.
Korea will aim to secure such deals with Tanzania, Kenya and Morocco as well, the trade ministry added. The country also plans to pursue multilateral trade agreements in the Indo-Pacific region, including resuming talks for a trilateral FTA with China and Japan.
To address supply chain disruptions in the global market, South Korea will utilise multilateral platforms, such as the IPEF, to strengthen its ties with the United States and Japan, the trade ministry said. The IPEF
, a U.S.-led regional trade pact involving 14 nations in the Indo-Pacific, last month appointed South Korea as the chair of the body dedicated to addressing supply chain crises under the agreement.
Prime Minister Han also introduced measures to support e-commerce exporters in entering the global market, including simplifying the customs declaration procedures and expanding customs refunds to boost their price competitiveness.
Source: Emirates News Agency