Korea–China FTA Services and Investment Talks Hold 17th Round in Seoul, Covering Audiovisual and Finance

Korea and China held the 17th round of follow-up talks on services and investment under their free trade agreement in Seoul from Oct. 12 to 16. Wider market access for audiovisual and financial services was the main agenda, against a backdrop in which services make up a smaller share of bilateral trade than goods.

By the Editorial Desk

Five days of talks in Seoul

The round ran from Oct. 12 to 16 in Seoul. Korea’s chief negotiator was Kwon Hye-jin, head of the Trade Negotiation Office at the Ministry of Trade, Industry and Resources; China’s was Chen Chao, director-general of the Commerce Ministry’s Department of International Affairs. About 30 officials from both sides took part, and the Korean ministry announced the round on Oct. 15. When the FTA took effect in 2015, the two sides agreed to raise the level of services and investment liberalization; follow-up talks began in March 2018, and this is the 17th round.

Audiovisual and finance in focus

Goods trade between the two countries is about $270 billion, but services account for 14.2% of Korea’s trade with China, below the world average of 23.8%. Kwon said Korea would seek concrete results in audiovisual, finance and other areas under the principle of reciprocal market opening, to improve conditions for Korean companies going abroad. The reports did not give the outcome of the round or the date of the next one.

Business Checkpoints

No agreed opening measures have been announced, so no rules change for now. Companies weighing a China entry or joint venture in audiovisual content or finance should wait for the published results and confirm the scope and timing of any opening before building it into their plans.

※ This article is based on an announcement by Korea’s trade ministry and on Korean media reports.