Korean FTAs in Effect
The Korea-China Free Trade Agreement (FTA) went into effect on
December 20, 2015
China, as the second largest economy in the world, is Korea’s largest market for exports with the total trade volume of USD 3.6 trillion. Economically, the Korea-China FTA will be as effective as Korea’s FTAs with the United States and EU.
Significance of the Agreement
To secure the future growth engine of our economy
The Korea-China FTA will secure the future growth engine of our economy by preoccupying the Chinese market than our competitors, Japan and Taiwan.
To protect Korean companies and nationals in China
The Korea-China FTA will effectively protect 20,000 Korean companies (accumulated investment: USD 49 billion) and 400,000 Korean nationals in China.
To create jobs through investment promotion activities
The Korea-China FTA will not only attract more investment from China, but also from foreign companies trying to enter the Chinese market via Korea.
Importance of the Chinese Market
- By strengthening the strategic cooperative partnership with China, we can encourage North Korea to open its market and promote peace and stability on the Korean Peninsula.
- The Korea-China FTA will not only establish a global FTA network connecting North America, Europe and Asia, but also secure our standing in integrating the economies of East Asia.