Monday

29th Aug 2016

EU to open markets to South Korea in July 2011

EU member states have clinched a compromise on the provisional application of a free trade agreement with South Korea, giving Italy an additional six months to prepare its auto industry for the opening-up of the EU market.

"It is a very big step in opening markets in Asia for our companies and this will create prosperity and jobs, of course in Korea, but also in Europe," Belgian foreign minister Steven Vanackere said on Thursday (16 September) during a press conference in Brussels.

Dear EUobserver reader

Subscribe now for unrestricted access to EUobserver.

Sign up for 30 days' free trial, no obligation. Full subscription only 15 € / month or 150 € / year.

  1. Unlimited access on desktop and mobile
  2. All premium articles, analysis, commentary and investigations
  3. EUobserver archives

EUobserver is the only independent news media covering EU affairs in Brussels and all 28 member states.

♡ We value your support.

If you already have an account click here to login.

EU foreign ministers agreed that the deal should enter into force on 1 July 2011, provided that the European Parliament gives its consent to the package, which includes a safeguard clause on protecting vulnerable European companies.

The deal, described by Mr Vanackere as the "first new generation style agreement" and "the most ambitious [EU trade] agreement ever," is to be signed during an EU-South Korea summit in Brussels on 6 October.

The Belgian diplomat added that the Korean side would have preferred an earlier date for entry into force and described the July 2011 outcome as a result of "intense negotiations" between member states.

Italy had in recent days threatened to veto the deal if it stuck its original terms of entry into force at the beginning of next year.

Under the agreement, both sides will have to eliminate 98.7 percent of duties in the industrial and agricultural within the next five years. Implementation of the deal will be overseen by a trade committee, which will report to a joint EU-Korean body.

The member states have to find a compromise with the European Parliament on a special bilateral safeguard clause before the EU-Korea summit.

The parliament, which in a new development under the Lisbon Treaty holds the role of co-legislator on trade pacts, at its September session in Strasbourg postponed its vote on the pact due to disagreement with member states.

Outstanding issues cover a so-called regional clause demanded by MEPs, enabling special protection for European firms in regions with high unemployment, for example, and the parliament's right to initiate an investigation into negative fallout from the trade deal.

Mr Vanackere said on Thursday that negotiations with the parliament should take place before the end of the month.

News in Brief

  1. Hungary plans to reinforce border fence against migrants
  2. France's highest court suspends burkini ban
  3. Greeks paid €1bn more in taxes in June
  4. Greek minister denounces EU letter on former statistics chief
  5. Turks seeking asylum in Greece may cause diplomatic row
  6. Merkel becomes digital resident of Estonia
  7. Report: VW will compensate US dealers with €1bln
  8. EU mulls making Google pay news media for content

Stakeholders' Highlights

  1. GoogleBrussels - home of beer, fries, chocolate and Google’s Public Policy Team - follow @GoogleBrussels
  2. HuaweiSeeds for the Future Programme to Bring Students from 50 countries to China for Much-Needed ICT Training
  3. EFASpain is not a democratic state. EFA expresses its solidarity to Arnaldo Otegi and EH Bildu
  4. UNICEFBoko Haram Violence in Lake Chad Region Leaves Children Displaced and Trapped
  5. HuaweiMaking Cities Smarter and Safer
  6. GoogleHow Google Makes Connections More Secure For Users
  7. EGBAThe EU Court of Justice Confirms the Application of Proportionality in Assessing Gambling Laws
  8. World VisionThe EU and Member States Must Not Use Overseas Aid for Promoting EU Interests
  9. Dialogue PlatformInterview: "There is a witch hunt against the Gulen Movement in Turkey"
  10. ACCAACCA Calls for ‘Future Looking’ Integrated Reporting Culture With IIRC and IAAER
  11. EURidNominate Your Favourite .eu or .ею Website for the .EU Web Awards 2016 Today!
  12. Dialogue PlatformAn Interview on Gulen Movement & Recent Coup Attempt in Turkey