Republic of Korea: Upgraded Free Trade Agreement
(Limited Text - Ministerial Extracts only)
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The Minister for Trade Policy and Economic Security (Mr Douglas Alexander)
The fourth round of negotiations on an upgraded free trade agreement (FTA) with the Republic of Korea (RoK) took place in London between 10 and 21 March 2025.
Total trade between the UK and RoK was worth £15.3 billion in the 12 months ending September 2024. An upgraded FTA is intended to support growth in this trade and strengthen our broader relationship with RoK.
Specifically, an upgraded UK-RoK FTA will help secure and future-proof current goods market access. Negotiators are also seeking to update the agreement in key areas where trade policy has progressed in recent years, including digital and services trade. Discussion is also progressing on a range of areas where increased co-operation will future-proof our UK-RoK strategic relationship, such as commitments on supply chains.
Negotiators made good progress on a number of areas, including but not limited to:
Rules of origin
Sides continue to make good progress on a new chapter, building on constructive discussions held virtually in February. Discussions covered both the chapter’s main text and product specific rules (PSRs) for a range of sectors, including automotives, textiles and apparel, and food and drink. Sides are seeking to ensure that the chapter accounts for current and future supply chains.
Digital trade
Further positive discussions were held on an ambitious digital chapter, including on commitments such as data, trade digitalisation and business safeguards. Additionally, the UK is seeking digital commitments that will help foster UK-RoK co-operation on a range of areas, such as emerging technologies.
Services and business mobility
The UK is seeking upgraded commitments to boost UK services exports to RoK. This round included discussions on commitments to provide improved certainty and access for the mobility of business persons. Further discussions were also held on professional and business services and domestic regulation.
Trade and Gender Equality (TGE)
Negotiators made significant progress before the round towards agreeing ambitious TGE commitments. Commitments being sought here will help foster UK-RoK co-operation on specific areas, including improving women’s access to global markets, financial resources and business networks, so that they can further benefit from trade.
Small and Medium-sized Enterprises (SMEs)
Notable progress was made towards agreeing a new SMEs chapter. The outcomes being sought here will help SMEs access important information on the UK-RoK trading arrangement online and encourage co-operation between parties to reduce trade barriers for SMEs.
Supply Chains and Customs and Trade Facilitation (CTF)
Good progress was made prior to the round to upgrade the existing CTF chapter. Good progress was made during the round towards agreeing new supply chains commitments. These will help cement ongoing UK-RoK co-operation on critical supply chains through mechanisms that facilitate Government-to-Government dialogue during supply chain disruptions.
Other Areas
Positive discussions were held across a range of further areas of the FTA, including anti-corruption and the environment.
The Government will only ever sign a trade agreement which aligns with the UK’s national interests, upholding our high standards across a range of sectors, including protections for the national health service.
The fifth round of negotiations is currently expected to take place in Seoul in the summer of 2025. The Government will continue to work towards delivering outcomes in the FTA that secure economic growth for the UK and will update Parliament on the progress of discussions with RoK as they continue to develop.
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