S. Korea strikes economic partnership deal with Georgia
Yonhap News Agency - 27 November 2024
S. Korea strikes economic partnership deal with Georgia
By Kang Yoon-seung
South Korea has struck an economic partnership agreement (EPA) with Georgia, marking the 26th free trade pact signed by Asia’s No. 4 economy, the trade ministry said Wednesday.
Under the agreement, South Korea and Georgia will respectively abolish tariffs on 93.3 percent and 91.6 percent of imports from each other within 10 years, according to the Ministry of Trade, Industry and Energy.
The announcement came about a year after South Korea and Georgia initiated the negotiations.
Once implemented, Georgia will immediately abolish tariffs on new and used automobiles, including environment-friendly models.
Other major products that will benefit from the agreement include food, cosmetics, pharmaceutical goods and electronics.
In return, South Korea will lift tariffs on wine, liquor and sparkling water, providing domestic consumers with a wider variety of products.
The EPA, however, excludes agricultural products such as rice and honey, considering potential protests from the agricultural industry.
"The latest EPA covers a wide array of areas, with the two countries seeking broader cooperation in supply chain, transportation, logistics and energy," Trade Minister Cheong In-kyo said in a statement, noting that the deal will contribute to expanding bilateral trade.
"As Georgia has been emerging as a new logistics hub, especially amid geopolitical factors including the war between Russia and Ukraine, the EPA will also serve as a pathway to the Caucasus region for South Korea," Cheong said.
The two countries will prepare the remaining procedures for the official signing of the deal, including the translation of documents and approvals from their respective parliaments.
The combined trade volume between South Korea and Georgia came to US$206 million in 2023, up nearly 60 percent from $130 million tallied in 2022.
