Seoul: Seoul's trade ministry and the Office of U.S. Trade Representative (USTR) are set to hold a meeting next month to engage in follow-up discussions on non-tariff barrier issues outlined in the countries' joint trade agreement, the ministry announced on Monday. The meeting is part of the ongoing collaboration efforts between the two nations to address trade challenges and enhance bilateral cooperation in sectors such as automobile and digital services regulations.
According to Yonhap News Agency, the joint free trade agreement committee meeting aims to foster cooperation between South Korea and the United States, focusing on non-tariff trade barriers. The discussions will cover critical areas such as regulations affecting automobile trade and policies impacting digital services. A joint fact sheet released on Friday highlighted the commitment of both countries to increase mutually beneficial trade and investment by addressing these barriers.
As part of the agreement, South Korea has consented to eliminate the 50,000-unit cap on U.S.-made vehicles that meet safety standards, allowing them to enter the Korean market without additional modifications. This move is expected to facilitate a smoother entry of U.S. vehicles into South Korea, promoting a fairer trading environment.
Further, the two countries have agreed to work on resolving non-tariff barriers affecting the trade of food and agricultural products. A dedicated U.S. desk will be established within Korea's Animal and Plant Quarantine Agency to process requests for U.S. horticultural products, aiming to streamline trade in this sector.
The fact sheet also emphasized the commitment of both nations to prevent discrimination against U.S. companies in South Korea concerning laws and policies related to digital services. This includes regulations on network usage fees and online platform rules, ensuring a level playing field for U.S. businesses operating in South Korea.
The release of the fact sheet comes about two weeks after Seoul and Washington finalized an agreement on the details of Korea's $350 billion investment pledge, made as part of negotiations to lower U.S. tariffs. Trade Minister Yeo Han-koo highlighted the importance of implementing follow-up measures in the non-tariff sector to maintain a stable Korea-U.S. trade environment following the tariff agreement's finalization.