Negotiations on economic partnership with South Korea begin

Thailand and South Korea have launched the first round of negotiations seeking an Economic Partnership Agreement (EPA), aimed at bolstering bilateral trade and investment.

The three-day meeting, held this week in Bangkok, was co-chaired by Chotima Iemsawasdikul, director general of Thailand’s Trade Negotiations Department, and Deputy Minister for FTA Negotiations, Roh Keon-ki.

The South Korea EPA intends to establish a mutually beneficial trade network with partner nations, beyond simple market opening, though it covers a smaller scope of areas compared with a traditional free trade agreement (FTA).

Seoul and Bangkok declared the launch of negotiations in March.

According to Yonhap news agency, Roh said that, although Seoul already has trade agreements with Bangkok under the South Korea-ASEAN FTA and the RCEP, there is still room for improvement in terms of bilateral trade and economic cooperation.

He was referring to the Regional Comprehensive Economic Partnership (RCEP), one of the world’s largest FTAs, with its 15-member nations accounting for around 30% of global GDP.

“The EPA between South Korea and Thailand, tailored specifically for the two countries, will build policy grounds to advance bilateral economic cooperation to another level,” Roh said.

The two countries will discuss promoting exchanges in a wide array of areas, including goods, services and investment, as well as the digital and government procurement sectors, the ministry said.

“Thailand is the second-largest economy in Southeast Asia and the manufacturing hub of the region. An EPA between South Korea and Thailand will bolster the competitiveness of South Korean goods and service exports, compared to those from other rivals, such as Japan and China.”

Meanwhile, Deputy Commerce Minister Suchart Chomklin said the agreement would help upgrade and increase the mutual trade relationship.

Through the cooperation, it is expected that South Korea will invest more in Thailand, Suchart said, adding that products expected to see increased exports to South Korea include meat and fishery products, tropical fruits (such as mango, guava and mangosteen), as well as wood products.

The second meeting will be held in Seoul in September, the deputy minister said.

Last year, South Korea was the 12th largest trade partner of Thailand, with mutual trade valued at US$14.736 billion and Thai exports worth US$6.07 billion.

by Thai PBS World//Photo : MOTIE-Korea