WT/REG287/M/2  
 
10 August  2020 
(20-5486) Page: 1/3 
Committee on Regional Trade Agreements  
Ninety -sixth  Session    
 
 
FREE TRADE AGREEMENT BETWEEN THE ASSOCIATION OF SOUTHEAST ASIAN NATIONS 
(ASEAN) AND THE REPUBLIC OF KOREA ( GOODS ) 
NOTE ON THE MEETING OF  27 JULY 2020 
Chairman: Ambassador H.E. Mr. Mārtiņš KREITUS (Latvia)  
1.1.  The 9 6th Session of the Committee on Regional Trade Agreements (hereinafter 'CRTA' or the 
'Committee') was convened in Airgram WTO/AIR/RTA/ 21/Rev.1  dated 6 July 2020. 
1.2.  Under Agenda Item D.II of the Session, the CRTA considered the  Free Trade Agreement 
between the A ssociation of Southeast Asian Nations (ASEAN) and the Republic of Korea, (goods ), 
(hereinafter "the Agreement").  
1.3.  The Chairman noted that the Agreement on trade in Goods  had entered into force on  1 January 
2010 for all the Parties . It had been notified to the WTO by the Republic of Korea on 15 June 2010 
under Article XXIV:7(a) of the GATT 1994 as forming part of the Framework Agreement on 
Comprehensive Economic Cooperation among the Governments of the Republic of Korea and the 
Memb er Countries of the ASEAN (document WT/REG287/N/1) , which also include d the Agreement 
on Trade in Services , that had been notified and considered by the CRTA two years ago ; the 
Agreement on Investment ; and the Agreement on Dispute Settlement Mechanism.  
1.4.   The Agreement on trade in goods had also been  notified under the Paragraph 4(a) of the 
Enabling Clause by ASEAN Member Countries . Accordingly, a consideration of the Agreement was 
also forthcoming  in the Committee on Trade and Development.  
1.5.   The Factual Presentation on the goods aspects (document WT/REG287/3 dated 14 January 
2020) and questions and replies on this Agreement (document WT/REG287/4 dated 19 May 2020) 
had been distributed.  
1.6.  The representative of the Republic of Korea  extended his  gratitude to the Secretariat for 
preparing th e Committee meeting and the factual presentation, as well as to the Members for their 
interests and insightful questions regarding the Agreement. He also  thank ed ASEAN Member States 
for their active cooperation in pr eparing for this session with Korea.   
1.7.  Korea saw great merit in th e Transparency Mechanism of the CRTA. Th e procedure kept 
Members informed of recent developments in other Members ' regional trade agreements and  
provid ed opportunities for deeper understandin g of them. He hoped that th e session would  help WTO 
Members to better understand the Agreement.  
1.8.  After the commencement of the Korea -ASEAN FTA negotiations in December 2004, Korea and 
ASEAN officially had signed the Agreement  in August 2006, had brought it into force in June 2007, 
and had been smoothly implementing it since then.  
1.9.  Under the Agreement , (a) Korea and the ASEAN -6 (Brunei  Darussalam , Indonesia, Malaysia, 
the Philippines, Singapore and Thailand) (b) Viet  Nam and (c) Cambodia, Lao PDR and Myanmar 
were, respectively, subject to different schedules of tariff elimination in trade in goods, reco gnizing 
their different stages of economic development s. The tariff elimination schedules the Parties had 
agreed to follow in principles were as follows: (a) by 2010, Korea should eliminate 90.8% of its WT/REG287/M/2  
 
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  tariffs, Brunei  Darussalam  99.24%, Indonesia 91.1%, M alaysia 91%, Philippines 93.3%, Singapore 
100%, and Thailand 88%; (b) by 2016, Viet  Nam should eliminate 90.1% of its tariff s; and (c) by 
2018, Cambodia should eliminate 91.1% of its tariff s, Myanmar 92.48% and Lao PDR 89.93%.  
1.10.   Since the entry into force of the Agreement  in June 2007, the bilateral trade volume between 
Korea and ASEAN had increased by 110% from USD72 billion in 2007 to USD151 billion in 2019. He 
was confident that this trend would  continue as a result  of close co operation between both parties. 
Korea and ASEAN were currently negotiating to improve market access of sensitive goods with a 
goal to maximize its effects so that both countries could  enjoy additional benefits.  
1.11.   He once again thank ed all the Members for their participation in th e meeting  and the 
Secretariat for its hard work. He especially appreciate d that concerned Members had sent their 
written questions to the Committee.  
1.12.   On behalf of ASEAN, the representative of Thailand  welcomed  and congratulate d the Chairman 
on his election . He welcome d the opportunity to present the Agreement  at the CRTA meeting.  
1.13.   ASEAN and Korea had signed the Framework Agreement on Comprehensive Economic 
Cooperation on 13 December 2005. They had concluded the A greement on Trade in Goods Under 
the Framework Agreement on Comprehensive Economic Cooperation on 24 August 2006. The 
Agreement on Trade in Goods had entered into force for all Parties in June 2007.  
1.14.   Building on existing WTO commitments, the Agreement prov ided for the progressive 
liberalization of trade between ASEAN and Korea through substantial sectoral coverage. The 
Agreement had improve d market access between ASEAN and Korea on a wide range of sectors and 
allowed 90% of products being traded between ASE AN and Korea to enjoy duty -free treatment.  
1.15.   The Agreement contain ed 21 Articles and could  be divided into four chapters. Chapter I 
provide d definitions and scope of the Agreement applicable to measures affecting trade in goods. 
Chapter II contain ed main ob ligations and disciplines imposed on the Parties, including national 
treatment on Internal Taxation and Regulation. Chapter III addresse d the Parties' specific 
commitments covering Transparency, Rules of Origin, Quantitative Restriction s and Non -Tariff 
Barriers and Sanitary and Phytosanitary Measures, as well as Safeguard Measures. Chapter IV dea lt 
with final and institutional provisions. The Agreement also contain ed an Annex on Rules of Origin. 
Modalities for Tariff Reduction and Elimina tion for Tariff Lines Placed in the Normal Track and in the 
Sensitive Track were also incorporated into this Agreement.  
1.16.   The Agreement ha d played a vital role in further strengthening ASEAN -Korea dialogue 
relations, especially in trade and investment. Sinc e the Agreement  had come into force in 2007, 
bilateral trade value ha d increased more than 178 % to USD156.48 billion in 2019, up from USD56.23 
billion in 2006. In addition, Korea's foreign direct investment (FDI) to ASEAN had  amounted to 
USD2.56 billion in  2019. Korea was currently the fifth largest trading partner of ASEAN and the tenth 
largest source of FDI into ASEAN.  
1.17.   ASEAN was fully committed to the rules -based multilateral trading system under the WTO. 
ASEAN  believe d that, through the collective effor t of liberalizing and expanding trade in goods in the 
region, the Agreement complement ed and strengthened  the multilateral framework towards 
progressive liberalization of trade in goods.  
1.18.   He thank ed all Members for the consideration of th e Agreement and th e Secretariat for its 
hard work in preparing the Factual Presentation. ASEAN also thank ed the  Korean delegation for the 
fruitful collaboration during the preparation for th e meeting. ASEAN  appreciat ed the interest shown 
by Members, including Brazil and the  United States wh ich had submitted written questions  and hoped 
that the answers  provided prior to th e meeting had helped clarify the various points that had been 
raised. The ASEAN delegation  would  be happy to forward any further questions from Members to 
their respective capitals to respond in due course.  
1.19.   The representative of the United States  thanked  the Parties and the Secretariat for the 
transparency on th e Agreement, which had been  long overdue. It was the view of the United States 
that the Agreement should have been notified only under GATT Article XXIV, and not the Enabling WT/REG287/M/2  
 
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  Clause. She also noted in particular the varying levels of tariff liberalization amongst the Parties on 
agricultural goods.  
1.20.   The r epresentative of Brazil  thanked the Secretariat for preparing the factual presentation 
and the ASEAN member states and Korea for their detail ed replies to Brazil's questions.  
1.21.   The Chairman  noted that the consideration of the Goods  Aspects of the Free Trade Agreement 
between the Association of Southeast Asian Nations (ASEAN) and the Republic of Korea  had allowed 
the Committee to clarify a number of questions and could now conclude oral discussion of the RTA 
in accordance with paragraph 11 of the Transparency Mechanism. If delegations wished to ask follow 
up questions they were invited to forward submissions in writing to the Secretariat by 3 August 
2020. Parties were asked to submit replie s in writing by no later than 17 August 2020. In accordance 
with paragra ph 13 of the Transparency Mechanism all written submissions, as well as minutes of th e 
meeting would be circulated promptly, in all WTO official languages, and would be made available 
on the WTO website.  
1.22.   The Committee took note  of the comments made.  
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