South Korea and China made some progress in their latest round of negotiations for a bilateral free trade agreement (FTA) but remain divided over the thorniest issue of how soon and how much they will open their markets for sensitive industries, the Seoul government said Friday.
“In the area of products, the two sides somewhat narrowed their difference over China’s early elimination of tariffs on manufactured goods and our opening of the market for agricultural products, which have become the most challenging issue in the FTA negotiations between the two countries,” the Ministry of Trade, Industry and Energy said in a press release.
“However, the negotiations are currently moving slowly as the gap between the two sides continues to remain wide with many other issues also remaining,” it added.
South Korean Trade Minister Yoon Sang-jick had said he expected this week’s round, held in Beijing, could be the last of its kind before the pact is concluded within this year as pledged by the presidents of the two countries.
China, too, expressed hopes for an early conclusion of the FTA negotiations that began in May 2012. It is pushing for the signing of the agreement when the leaders meet at the Asia Pacific Economic Cooperation summit, scheduled in Beijing in November.
The South Korean ministry said there was minor progress on customs issues, with an agreement to exempt shipments of less than $700 from having to submit a document proving the country of origin.
The countries also agreed on the principle of 48-hour clearance of cargo, under which they must complete their customs procedures on shipments from each other within 48 hours of arrival.
The ministry said the next round of talks will be held at a date to be decided later.
China is South Korea’s largest trading partner and also the world’s largest single importer of South Korean products. (Yonhap)
