WT/REG339/1/Rev.1  
22 April 2014  
(14-2432)  Page: 1/22  
Committee on Regional Trade Agreements   
 
FACTUAL PRESENTATION 
FREE TRADE AGREEMENT BETWEEN  
THE REPUBLIC OF KOREA AND TURKEY (GOODS) 
Report by the Secretariat 
Revision 
This report, prepared for the considerat ion of the Free Trade Agreement between 
the Republic of Korea and Turkey, G oods has been drawn up by the WTO 
Secretariat on its own responsibility and in full consultation with the Parties. The report has been drawn up in accordance with the rules and procedures contained in the Decision for a Transparency Mechanism for Regional Trade Agreements 
(WT/L/671). 
Any technical questions arising from this report may be addressed to 
Ms. Jo-Ann Crawford (tel: +41 22 739 5422). Any statistical questions arising 
from this report may be addressed to Ms. Rowena Cabos (tel: +41 22 739 5185). 
 
 WT/REG339/1/Rev.1 
 
- 2 - 
 
   
TABLE OF CONTENTS 
 
Page 
1   TRADE ENVIRONMENT ................................................................................................. 3  
2   CHARACTERISTIC ELEMEN TS OF THE AG REEMENT ...................................................... 5  
2.1   Background  informat ion ............................................................................................. 5  
3   PROVISIONS ON TRADE IN GOODS ............................................................................. 6  
3.1   Import duties and charges, and quantitative restrictions ................................................. 6  
3.1.1   Liberalization of  trade and ta riff lines ......................................................................... 6  
3.1.2   Liberalization schedule by product ............................................................................. 7  
3.1.2.1   Korea ............................................................................................................... .. 7 
3.1.2.2   Turkey .............................................................................................................. . 9 
3.1.3   Tariff rate quotas ................................................................................................... 10 
3.2   Rules of origin .......................................................................................................... 10 
3.3   Export duties and charges,  and quantitative  restrictions ................................................. 11 
3.4   Regulatory provis ions of the agreement ....................................................................... 11 
3.4.1   Customs-re lated procedures .................................................................................... 11 
3.4.2   Standards ............................................................................................................. 12 
3.4.2.1   Sanitary and phytosanitary measures .................................................................... 12 
3.4.2.2   Technical barriers to trade .................................................................................... 12 
3.4.3   Safeguard mechanisms ........................................................................................... 12 
3.4.4   Anti-dumping and countervailing measures ............................................................... 13 
3.4.5   Subsidie s and State-aid .......................................................................................... 13 
3.4.6   Other regulations ................................................................................................... 13 
3.4.6.1   Competition ....................................................................................................... 13 
4   GENERAL PROVISIONS  OF THE AGREEMENT ............................................................. 14  
4.1   Tran sparency ........................................................................................................... 14 
4.2   Current payments and capital movements .................................................................... 14 
4.3   Exceptions ............................................................................................................... 14 
4.4   Accession and withdrawal .......................................................................................... 14 
4.5   Institutio nal framework ............................................................................................. 14 
4.6   Disput e settlement ................................................................................................... 15 
4.7   Relationship with other agr eements concluded by the parties .......................................... 16 
4.8   Government  procurement .......................................................................................... 17 
4.9   Intellectual property rights ......................................................................................... 17 
4.10   Labour ................................................................................................................. . 18 
4.11   Envi ronmen t .......................................................................................................... 18 
ANNEX 1 ....................................................................................................................... . 19 
 
 WT/REG339/1/Rev.1 
 
- 3 - 
 
   
Key Facts 
 
Parties to the Agreement:  Republic of Korea and Turkey 
 
Date of Signature:   1 August 2012  
 
Date of Entry into Force:  1 May 2013  
 
Date of Notification:   30 April 2013  
 
Full implementation:   2023 
 
 
 
1  TRADE ENVIRONMENT 
1.1.  The Free Trade Agreement between Turk ey and Korea, composed of The Framework 
Agreement between the Republic of Turkey and the Republic of  Korea and The Agreement on 
Trade in Goods between the Republic of Tu rkey and the Republic of Korea is the 12th RTA notified 
by Korea to the WTO (and its third RTA with a Eu ropean partner after those with EFTA and the EU) 
and the 20th notified by Turkey (and its first bilateral RTA with an Asian partner). 
1.2.  In 2012, Turkey's GDP was US$789.3 billion, while that of Korea was US$1,129.6 billion.1 In 
the same year, Turkey's merchandise exports amounted to US$152.5 billion (0.83% of global exports), while imports amounted to US$236.6 billion (representing 1.27% of global imports). In 
the same year, Korea's merchandise exports amounted to US$547.9 billion, representing 2.98% of 
global exports, while imports amounted to US $519.6 billion and represented 2.79% of global 
imports. The structure of their merchandise export s and imports are similar, with both countries 
exporting and importing mainly manufactures. Turk ey exports more agricultural products than 
does Korea (10.3% compared to 2.3%), while fuels and mining products account for a larger proportion of Korea's imports (43.7%) compared to Turkey (28.8%). 
1.3.  Charts 1.1A and 1.1B show global and bila teral trends in merchandise trade for the Parties 
for the period 2000-2012. Korea's merchandise trade has expanded at a steady rate, with imports 
rising from US$152 billion in 2002 to US$520 billion in 2012, and exports from US$162 billion to US$548 billion. After falling in 2009, trade recovered sharply, though figures for 2012 are down 
slightly compared to the previous year. From 2000 to 2007, Korea ran a slight trade surplus which 
became a small deficit in 2008. Since then, Korea has run a small trade surplus. Turkey's total 
imports and exports rose steadily from 2000 to 2008 with the trade deficit widening over the 
period as the growth in imports outpaced that in exports. Imports and exports fell sharply in 2009, 
but picked up in 2010 to reach US$237 billion and US$153 billion in 2012. Bilateral trade expanded during this period but at a much slower  rate. Turkey's exports to Korea increased from 
$130 million in 2000 to $528 million in 2012, while Korea's exports to Turkey increased from 
$1.2 billion to $4.6 billion over the same period. Korea has run a consistent and growing trade 
surplus with Turkey over the period 2000 to 2012. 
1.4.  The commodity structure of trade among the Parties, as well as of their imports and exports 
to the world in the period 2010-2012, is shown in Chart 1.2 on the basis of Harmonized System 
(HS) sections. Over the period 2010-2012, Turkey 's four largest export product categories – 
textiles, base metals, machinery and vehicles – made up 60.1% of its total exports and accounted 
for 38.7% of Korea's imports from Turkey. Over the same period, Korea's four largest export 
product categories – machinery, vehicles, minerals and base metals – made up 72.7% of its total exports and accounted for 72.2% of Turkey's imports from Korea. 
                                               
1 WTO Trade Profiles. WT/REG339/1/Rev.1 
 
- 4 - 
 
  Chart 1.1 Korea and Turkey: Merchand ise bilateral trade and with world2 
051015202000
2001
20022003
2004
2005
2006
20072008
2009
20102011
20120100200300400500600A. Korea 2000-2012
(US$ billions)
Imports from Turkey (Right Axis)
Exports to Turkey (Right Axis)
Total Imports
Total Exports
051015202000
2001
2002
2003
20042005
2006
20072008
2009
20102011
20120100200300400500600B. Turkey 2000-2012 
(US$ billions)
Imports from Korea (Right Axis)
Exports to Korea (Right Axis)
Total Imports
Total Exports
 
 
Source: UNSD, Comtrade database  
 
Chart 1.2 Korea and Turkey: product compositi on of merchandise trade, annual average 
(2010-2012)  
39
2385444328Korea imports from Turkey (%)
37
23108433228Korea's global imports (%)
18
15
15
1286554427Turkey's global exports (%)
35
2414854323Turkey's imports from Korea (%)
24
18
1498763228Turkey's global imports(%)
33
219977634Korea's global exports(%)Total: US$ 664 million Total: US$ 490 billion
Total: US$ 221 billionTotal: US$ 523 billionTotal:  US$ 134 billion
Total: US$ 5.6 billion
Vegetables
Raw hides 
and skinsPlasticsPrecious stones
Base metalsVehiclesOptical
OtherPrepared foodsMachineryTextiles
MineralsChemicals
Articles of stone, plaster, cement
 
Source: UNSD, Comtrade database. 
                                               
2 Discrepancies in bilateral trade figures may be due to different reporting cycles. WT/REG339/1/Rev.1 
 
- 5 - 
 
  2  CHARACTERISTIC ELEMENTS OF THE AGREEMENT 
2.1  Background information 2.1.  The Framework Agreement Establishing a Fr ee Trade Area between the Republic of Turkey 
and the Republic of Korea (hereafter "the Fram ework Agreement") and the Agreement on Trade in 
Goods between the Republic of Turkey and the Re public of Korea (hereafter "the Agreement") 
were signed on 1 August 2012 and entered into force on 1 May 2013. The Parties notified the goods aspects of the Agreement to the WTO as an agreement forming a free trade area under 
GATT Article XXIV:7(a) and the Understanding on the Interpretation of GATT Article XXIV.
3  
2.2.  The Free Trade Agreement is composed of separate legal instruments as follows: the 
Framework Agreement (which establishes the free trade area between the Parties); the Agreement 
on Trade in Goods; agreements on trade in services and investment that may be concluded; and 
any other agreements such as government procurement that the Parties may conclude. The 
Framework Agreement is composed of eight chapters and contains provisions relating to intellectual property rights, competition policy,  transparency, trade and sustainable development 
and dispute settlement. (Table 2.1). 
Table 2.1 Chapters of the Framework Agreement 
Chapter Title/Description 
Chapter 1 Initial Provisions  and General Definitions 
Chapter 2 Intellectual Property Rights 
Chapter 3 Competition 
Chapter 4 Transparency 
Chapter 5 Trade and Sustainable Development 
Chapter 6 Dispute Settlement 
Annex 6-A Rules of Procedure for Arbitration 
Annex 6-B Code of Conduct for Member s of Arbitration Panels 
Chapter 7 Institutional Provisions 
Chapter 8 Exceptions and Final Provisions 
 
Source: Framework Agreement establishing a Free Trade Area between Korea and Turkey. 
 
2.3.  The Agreement on Trade in Goods is composed of six Chapters, an Annex, the Tariff 
Schedules of the Parties and a Protocol on rules of origin and origin procedures (Table 2.2).  
Table 2.2 Chapters of the Agreement on Trade in Goods 
Chapter Title/Description 
Chapter 1 Genera l Definitions 
Chapter 2 National Treatment and Market Access for Goods 
Annex 2 Reduction or Elimination of Customs Duties  
 Tariff Schedule of Korea 
 Tariff Schedule of Turkey 
Chapter 3 Customs and Trade Facilitation 
Chapter 4 Trade Remedies 
Chapter 5 Technical Barriers to Trade 
Chapter 6 Final Provisions 
 Protocol on Rules of Origin and Origin Procedures 
 
Source: Agreement on Trade in Goods between Korea and Turkey.  
2.4.  Tariff elimination commitments are spread out over a ten year period (2013-2023).  
2.5.  The Parties agree to gradually liberalize trade in services and investment between them and 
to begin negotiations to that effect immediately after entry into force of the Agreement on Trade in 
Goods (Article 1.5 of the Framework Agreement). Th ey aim to conclude negotiations no later than 
one year after entry into force of the Agreement on  Trade in Goods. According to the Parties, two 
rounds of negotiations have been held, the latest one in the period 18-21 November 2013. Any 
                                               
3 WTO document WT/REG339/N/1 dated 1 May 2013. The te xt of the Agreement is available, together 
with its Annexes, on the Parties' official Websites (URL addresses): 
http://www.fta.go.kr/new2/ftakorea/kor_turkey.asp?country_idx=29 and http://www.ekonomi.gov.tr/sta/index.cfm?sayfa=31997105-FAA9-9F8BF2CF7E9DCF6A75D5. WT/REG339/1/Rev.1 
 
- 6 - 
 
  disputes arising from the timing of negotiations on services and investment may not be subject to 
the Agreement's dispute settlement procedures. 
3  PROVISIONS ON TRADE IN GOODS  3.1  Import duties and charges,  and quantitative restrictions 
3.1.  The Parties agree to reduce or eliminate customs duties on originating goods of the other 
Party in accordance with its Schedule included in Annex 2 of the Agreement (Article 2.4). If a Party 
reduces its applied MFN duty after entry into force of the Agreement, that duty rate shall apply for 
as long as it is lower than the customs duty calculated in accordance with its Schedule in Annex 2.  
3.2.  The Parties agree not to increase any existing customs duty or adopt any new customs duty 
on an originating good of the other Party ex cept as otherwise provided in the Agreement 
(Article 2.5). This does not preclude either Party from raising a customs duty to the level 
established in its Schedule in Annex 2 following a unilateral reduction on an MFN basis.  
3.3.  The Parties agree to accord national treatmen t to goods of the other Party in accordance with 
GATT Article III which is included, including its interpretative notes, into the Agreement, 
mutatis mutandis  (Article 2.6).  
3.4.  Neither Party shall adopt or maintain any prohibition or restriction other than duties, taxes or 
other charges on the importation of any good of  the other Party except in accordance with 
GATT Article XIX (Article 2.7). 
3.5.  The Parties establish a Committee on Trade in Goods to consider any matter arising under 
Chapter 2 - National Treatment and Market Access  for Goods (Article 2.13). The functions of the 
Committee on Trade in Goods include promoting trade in goods between the Parties (including 
consultations on accelerating and broadening the scope of tariff elimination), addressing tariff and 
non-tariff measures affecting trade in goods between the Parties, and providing a forum for discussion or the exchange of information on matters relating to SPS measures which may, 
directly or indirectly, affect trade between the Parties. 
3.1.1  Liberalization of trade and tariff lines  3.6.  Trade liberalization covers Chapters 1- 97 of the Harmonized System (HS). Article 2.4 
provides for the progressive elimination or reduction of customs duties in accordance with various 
staging categories listed in each Party's schedule in  Annex 2. For both Parties, the base rates to 
which reductions apply are the rates contained in their respective MFN schedules on 1 January 2010.  Tariff elimination started on 1 May 2013, and subsequent reductions will take place on 
1 January of each year. Tariff liberalization commitments are spread out over a ten year period 
(2013-2023); customs duties on bilateral imports not fully liberalized at entry into force are to be 
reduced or eliminated according to a different timetable for each staging category. Article 2.4.3 
foresees the possibility of accelerated tariff elimination and for broadening the scope of duty 
reduction or elimination, which (as of December 2013) the Parties have not yet employed.  
3.7.  Table 3.1 shows tariff and trade libera lization offered by Korea to Turkey under the 
Agreement. In 2013, 16.4% of Korea's schedule was duty free on an MFN basis, corresponding to 
11.9% of its imports from Turkey in 2010-2012.
4 Upon the entry into force of the Agreement, 
Korea liberalized  another 62.3% of lines which accounted for an additional 75.4% of its imports 
from Turkey. Further tariff eliminations will take place between 2016 and the end of the 
implementation period in 2023. At the end of the liberalization period, 91.3% of tariff lines will be 
liberalized with 8.7% remaining subject to duties . A total of 1,065 lines will remain subject to 
duties.  
                                               
4 Of the 12,233 tariff lines in Korea's schedule, 12,137 lines (99.22%) are subject to ad valorem  duties 
and 96 lines (0.78%) to mixed rates. For tariff lines with mixed rates, the Secretariat has used the ad valorem  
part of the line in its calculations. WT/REG339/1/Rev.1 
 
- 7 - 
 
  Table 3.1 Korea: Tariff elimination commitments under the Agreement and 
corresponding average trade 
Duty phase-out 
period Number of 
lines % of total lines 
in Korea's tariff 
schedule Value of Korea's 
imports from Turkey 
(2010-2012) 
in million US$ % of Korea's 
total imports 
from  
Turkey 
2010-2012 
MFN duty free (2013)  2,001 16.4 78.9 11.9 
2013 7,616 62.3 500.8 75.4 
2016 207 1.7 21.2 3.2 
2018 476 3.9 37.2 5.6 
2020 163 1.3 4.3 0.6 
2023 705 5.8 17.2 2.6 
Remain dutiable 1,065 8.7 4.8 0.7 
Total 12,233 100.0 664.4 100.0 
Note: Based on the HS 2012 nomenclature. 
 Source:  WTO estimates based on data provided by the Korean authorities. 
 
3.8.  As shown in Table 3.2, 23% of Turkey's ta riff lines were duty free on an MFN basis in 2013, 
corresponding to 26.8% of its total imports from Korea in 2010-2012.5 Following the Agreement's 
entry into force, Turkey liberalized an additional  44.6% of lines, representing 31.3% of its imports 
from Korea between 2010 and 2012. Liberalization continues until 2023 at which point 91.7% of 
tariff lines, corresponding to 97.5% of imports from Korea will be duty free. A total of 1,533 lines (9.3%) will remain subject to duties.  
Table 3.2 Turkey: Tariff elimination commitments under the Agreement and 
corresponding average trade 
Duty phase-out 
period Number of 
lines % of total lines 
in Turkey's tariff 
schedule Value of Turkey's 
imports from Korea 
(2010-2012) 
in million US$ % of Turkey's 
total imports 
from  
Korea 
2010-2012 
MFN duty free (2013)  3,800 23.0 1,479.1 26.8 
2013 7,367 44.6 1,728.5 31.3 
2016 433 2.6 421.0 7.6 
2018 1,189 7.2 575.7 10.4 
2020 1,151 7.0 1,312.3 23.8 
2023 1,047 6.3 0.4 0.0 
Remain dutiable 1,533 9.3 2.5 0.0 
Total 16,520 100.0 5,519.4 a 100.0 
a Import coverage is fro m HS chapters 1-97 only. 
Note: Based on the HS 2012 nomenclature. 
 
Source:  WTO estimates based on data provid ed by the Turkish authorities and WTO-IDB. 
 
3.1.2  Liberalization schedule by product 
3.1.2.1  Korea 3.9.  Table 3.3 shows Korea's tariff liberalization by HS section. The lines not subject to 
liberalization ten years after the Agreement's entry in to force fall in HS Sections I, II, III, IV, VI 
and XI. 
                                               
5 Of the 16,520 tariff lines in Turkey's schedule, 16.242 (98.3%) are subject to ad valorem  duties, 
27 lines are subject to specific duties, 196 to compound duties, and 55 to mixed duties.    WT/REG339/1/Rev.1 
 
- 8 - 
 
  Table 3.3 Korea: Tariff elimination und er the Agreement, by HS Section  
HS 
Section MFN average 
% No. of lines MFN 
2013 Number of duty-free lines Remain 
dutiable Avg. Final 
Tariff 
(Dutiable)  2013 2016 2018  2020  2023 
I 20.9 761 21 18  34 13 273 402 26.7 
II 99.8 676 31 9  63 15 179 379 167.5 
III 13.4 108  18  30  42 18 53.7 
IV 24.0 539 3 22  87 6 182 239 36.0 
V 3.8 392 53 307 14 13 5    
VI 7.5 2,298 175 2,021 31 21  28 22 189.2 
VII 6.6 381 10 371       
VIII 7.7 242 28 210  4     
IX 5.6 314 43 36 4 147 84    
X 0.0 288 288        
XI 9.6 1,302 44 1,213  2 37 1 5 51.6 
XII 10.1 100  100       
XIII 7.8 343 1 329 3 10     
XIV 5.2 118 5 113       
XV 4.2 1,035 410 609 7 6 3    
XVI 5.7 2,044 557 1,335 109 43     
XVII 5.8 333 80 221 17 15     
XVIII 6.6 586 98 467 21      
XIX 3.4 81 47 34       
XX 5.4 277 92 183 1 1     
XXI 0.0 15 15        
Total 13.3 12,233 2,001 7,616 207 476 163 705 1,065 82.8 
Note: For the calculation of averages, specific rates are excluded and the ad valorem  parts of alternate 
rates are included. Based on the HS 2012 nomenclature.  
Source:  WTO estimates based on data provided by the Korean authorities. 
 
3.10.  Chart 3.1 presents a disaggregated view of Korea's tariff liberalization by HS Chapter. 
Tariffs will continue to apply in 28 chapters. Chapters with the highest tariffs are 11 (products of 
the milling industry), 12 (oil seeds), and 10 (cerea ls) with preferential tariffs of 344%, 297% and 
294%, respectively. In Chapters 3 and 28 the prefer ential tariff is noticeably lower than the MFN 
rate. In other chapters, the preferential rate is the same as the MFN rate or has been very slightly 
reduced. 
Chart 3.1 Korea: Average of du tiable rates, by HS Chapter  
0 50 100 150 200 250 300 350 40012345678910111213141516171819202122232428333550
Average rate of duty (%)HS Chapter
MFN Preferential 
Source: WTO Secretariat estimates based on the data provided by the Korean authorities. WT/REG339/1/Rev.1 
 
- 9 - 
 
  3.1.2.2  Turkey 
3.11.  Table 3.4 shows Turkey's tariff liberaliza tion by HS section. The lines not subject to 
liberalization ten years after the Agreement's entry into force fall in HS Sections I -IV. 
Table 3.4 Turkey: Tariff elimination under the Agreement, by HS Section  HS Section 
MFN 
average% 
No. of lines 
MFN 2013 Number of duty-free lines  
Remain 
dutiable 
Avg. Final 
Tariff 
(Dutiable) 2013 2016 2018 2020 2023 
I 68.2 1,032 98 5   1 12 533 383 115.0  
II 29.1 790 96 15  22 19 234 404 40.9 
III 22.5 209 34 19   10  38 108 32.7  
IV 47.1 1,080 75 102  39  226 638 65.3 
V 1.3 413 218 195        
VI 4.7 3,024 616 2,382    10 16   
VII 4.2 494 115 360  11 8     
VIII 3.1 202 55 141  6     
IX 1.9 320 174 146        
X 0.0 427 427        
XI 7.9 2,321 91 1,212   623 395    
XII 7.3 153 3 103  3 44    
XIII 4.0 443 48 395        
XIV 1.1 96 65 31       
XV 4.3 1,802 629 604  123 83 363    
XVI 2.0 2,332 709 1,010  240 261 112    
XVII 5.2 435 53 166   27 189    
XVIII 2.2 569 206 336 21 6     
XIX 2.3 27 4 23        
XX 2.7 337 70 122 38 100 7    
XXI 0.0 14 14        
Total 12.4 16,520 3,800 7,367  433 1,189  1,151  1,046 1,533 68.6 
Note: For the calculation of averages, specific rates are excluded and the ad valorem  parts of alternate 
rates are included. Based on the HS 2012 nomenclature.  
Source:  WTO estimates based on data provided by the Turkish authorities. 
 
3.12.  Chart 3.2 presents a disaggregated view of  Turkey's tariff liberalization by HS Chapter. 
Tariffs will continue to apply in 22 chapters. Chapters with the highest tariffs are 2 (meat and 
edible meat offal), 4 (dairy produce), 17 (sugar ) and 16 (preparations of meat and fish) with 
preferential tariffs of 124%, 123%, 120% and 119%, respectively.6 In Chapters 11, 14, 18 and 24 
the preferential tariff is lower than the MFN rate. 
                                               
6 In some cases, the preferential duties shown in Chart 3.2 are greater than the MFN duties because the 
ad valorem component is eliminated in the preferential duties leaving only the specific duty for certain sub-lines (which was not included in the calculation). WT/REG339/1/Rev.1 
 
- 10 - 
 
  Chart 3.2 Turkey: Average of dutiable rates, by HS Chapter 
0 2 04 06 08 0 1 0 0 1 2 0 1 4 012345678910111215161718192021222324
Average rate of duty (%)HS Chapter
MFN Preferential
 
Source: WTO Secretariat estimates based on the data provided by the Turkish authorities. 
 
3.1.3  Tariff rate quotas 
3.13.  No tariff rate quotas are established under the Agreement. 3.2  Rules of origin 3.14.  Disciplines regarding rules of origin are set out in the Protocol on Rules of Origin and Origin 
Procedures (hereafter "the Protocol"). A good is considered as originating, and therefore eligible 
for preferential treatment (Article 2) when it is (a) wholly obtained in a Party; (b) obtained in a Party incorporating materials which have not been wholly obtained there, provided that such 
materials have undergone sufficient working or processing in the Party concerned; or (c) obtained 
in a Party exclusively from materials that qualify as originating in accordance with the Protocol.  
3.15.  Detailed product-specific rules are found in Annex II of the Protocol mostly at the 
HS heading level (4-digit), or occasionally at the HS Chapter or subheading level (6-digit), 
depending on the product. In addition, Annex II(a) contains alternate rules for three products (at the HS heading (4-digit) level), limited by an annual quota. These are cotton yarn, containing 85% or more by weight of cotton, not put up for retail sale (HS 5205); woven fabrics of man-made 
filament yarn (HS 5408); and yarn of artificial st aple fibres, not put up for retail sale (HS 5510). 
Each of these benefits from an annual quota of  200 metric tons, if the products satisfy certain 
conditions. 
3.16.  Products are considered as originating in a Party if such products are obtained there, 
incorporating materials originating in the other Party, provided that sufficient working or processing has taken place, and that the working or processing carried out goes beyond the 
operations referred in Article 6 (Insufficient Working or Processing) (Article 3).  WT/REG339/1/Rev.1 
 
- 11 - 
 
  3.17.  De minimis provisions (which do not apply to products in HS Chapters 50 to 63) are 
provided for in Article 5.2. Additional rules in Articles 8-10 clarify how certain materials (accessories, spare parts and tools; sets of goods; neutral elements are to be treated/valued when determining whether a good is originating. Article 13 (Direct Transport) allows originating goods 
constituting a single consignment to transit through the territory of a non-Party provided that they 
are not released for free circulation in the country of transit or warehousing and do not undergo operations other than unloading, reloading or any operation designed to preserve them in good 
condition.  
3.18.  Preferential treatment may be claimed on im portation into the other Party on the basis of a 
proof of origin in the form of a origin declaratio n (which appears in Annex III of the Protocol). The 
exporter making out an origin declaration shall be prepared to submit at any time, on request of 
the customs authorities of the exporting Party, a co py of the origin declaration and all appropriate 
documents proving the originating status of the products concerned. Customs authorities of the 
exporting Party have the right to carry out inspec tions of the exporter's or producer's account 
records or any other controls considered approp riate (Article 17 of the Protocol). An origin 
declaration is valid for 12 months from the date of issue in the exporting Party.
7 Procedures for the 
verification of origin declarations through the Parties' customs authorities are contained in 
Article 25 of the Protocol. 
3.19.  Under Annex IV of the Protocol, the Parties establish a Committee on Outward Processing 
Zones on the Korean Peninsula. The Committee sh all identify geographic areas that may be 
designated outward processing zones and shall es tablish a maximum threshold for the value of the 
total input of the originating final good that may be added within the geographic area of the 
outward processing zone. 
3.3  Export duties and charges,  and quantitative restrictions 
3.20.  The Parties may not adopt or maintain any prohibition or restriction on the export of any 
good from the other Party, except in accordance with Article XI of the GATT (Article 2.7). In accordance with Article 2.9, the Parties may not adopt or maintain any duties, taxes, or other fees 
and charges on the export of any good to the othe r Party, or any internal taxes, fees and charges 
on goods exported to the other Party that are in  excess of those imposed on like goods destined 
for internal sale.  
3.4  Regulatory provisions of the agreement 
3.4.1  Customs-related procedures 
3.21.  Chapter 3 - Customs and Trade Facilitation - contains disciplines relating to customs 
procedures. In particular, the Parties commit to ensure that import, export and transit 
requirements and procedures for goods are efficient and proportionate through inter alia  adopting 
or maintaining expedited customs procedures, prov iding for clearance of goods with a minimum of 
documentation, using information technology that expedites procedures for the release of goods, 
ensuring that customs authorities and agencies involved in border controls cooperate and 
coordinate their activities, and provide that the use of customs brokers is optional. Each Party shall adopt and apply simplified and efficient customs and other trade related requirements and procedures to facilitate trade between them (Article 3.2). Other provisions dealing with simplified 
customs procedure, automation, authorized economic operator and risk management are dealt 
with in Articles 3.3, 3.4, 3.5, and 3.6, respectively. The Parties agree to ensure the transparency of their customs and other trade-related laws, regulations and general administrative procedures 
and other requirements (Article 3.7) and provide for advance rulings and appeal procedures 
(Articles 3.8 and 3.9, respectively). Neither Party shall require the use of pre-shipment inspections or their equivalent (Article 3.11). The Customs Valuation Agreement is incorporated into and made 
part of the Agreement, mutatis mutandis.  
                                               
7 Exemptions from origin declaratio n are made for occasional imports of products for personal use as 
long as the total value of these products does not exce ed for importation into Turkey, €500 in small packages 
or €1,200 in traveller's personal luggage; for importation into Korea, US$1,000. WT/REG339/1/Rev.1 
 
- 12 - 
 
  3.22.  The Parties establish a Customs Committee to  ensure the proper functioning of the Chapter 
on Customs and Trade Facilitation and the Protocol on Rules of Origin and Origin Procedures and to examine all issues arising from their application. 
3.4.2  Standards 
3.4.2.1  Sanitary and phytosanitary measures 
3.23.  Under Article 2.10, the Parties affirm their existing rights and obligations with respect to 
each other under the SPS Agreement. Neither Party shall apply its sanitary and phytosanitary 
measures as an arbitrary or unjustifiable discrimination or a disguised restriction on trade between 
them. 
3.24.  The Committee on Trade in Goods is endo wed with the task of providing a forum for 
discussion or the exchange of information on matters relating to SPS measures which may, 
directly or indirectly, affect trade between the Parties (Article 2.13).  
3.25.  Neither Party shall have recourse to the Agreement's dispute settlement provisions for any 
matter arising under Article 2.10. 
3.4.2.2  Technical barriers to trade 
3.26.  Chapter 5 - Technical Barriers to Trade - applies to the preparation, adoption and 
application of standards, technical regulations, and conformity assessment procedures as defined 
in the WTO Agreement on Technical Barriers to Trade (TBT) that may affect the Parties' mutual 
trade in goods. It does not apply to purchasing specifications prepared by governmental bodies for production or consumption requirements of such bodies, or to sanitary and phytosanitary measures as defined in Annex A of the SPS Agreement. The Parties affirm their existing rights and 
obligations with respect to each other under the TBT Agreement. The Parties agree to strengthen 
their co-operation in the field of standards, technical regulations and conformity assessment 
procedures. They agree to give positive consideration to the request by the other Party to 
negotiate agreements for the recognition of the results of its conformity assessment procedures 
conducted by bodies in the other Party's territory in areas, inter alia  pharmaceutical products, 
medical devices, electronics, motor vehicles and parts, and chemicals (Article 5.3.4).  
3.27.  For technical regulations, the Parties agree to fulfil the transparency obligations in the 
TBT Agreement and to use relevant international standards as a basis for technical regulations, including conformity assessment procedures, where possible. For standards, the Parties reconfirm 
their obligations under the TBT Agreement and to principles set out in various decisions of the 
WTO Committee on TBT. The Parties recognize that a broad range of mechanisms exist to facilitate 
the acceptance of the results of conformity assessment procedures and agree to a range of measures to exchange information. The Parties further agree to put in place a coordination 
mechanism, to exchange information, and to ensure transparency of relevant laws and 
regulations.  
3.4.3  Safeguard mechanisms 
3.28.  Chapter 4 - Trade Remedies – specifies the rules and procedures for administering 
safeguard measures. For global safeguards, the Parties retain their rights and obligations under Article XIX of GATT 1994 and the WTO Agreement on Safeguards. Upon request, a Party intending to take a global safeguard measure shall provide immediately ad hoc written notification of all 
pertinent information on the initiation of a safeguard investigation, and the provisional and final 
findings of the investigation. Neither Party may apply with respect to the same good, at the same time, a bilateral and global safeguard measure. Neither Party has recourse to dispute settlement 
procedures in the case of a global safeguard measure. 
3.29.  In the case of bilateral trade, the Agr eement provides for the imposition of safeguard 
measures during a ten-year transition period; measures taken beyond the expiration of the 
transition period can only be taken with the consent of the other Party. Safeguard measures may 
be introduced only if, as a result of the reduction or elimination of a tariff under the Agreement, an originating good is imported in such increased quantities, either in absolute terms or relative to WT/REG339/1/Rev.1 
 
- 13 - 
 
  domestic production, and under such conditions to cause or threaten to cause serious injury to a 
domestic industry of the importing Party producing a like or directly competitive good.  
3.30.  The safeguard measure may consist either of the suspension of the tariff reduction; or of an 
increase of the rate of duty on the product back to a level that does not exceed the lesser of the 
MFN applied rate of duty in effect at the time th e measure is applied, or the base rate of customs 
duty specified in the Schedules included in Annex 2 of the Agreement. Safeguard measures can be applied for a maximum period of two years, wh ich can be extended by one year if deemed 
necessary. A safeguard measure may not be applied more than once to the same good. The 
safeguard can be applied only following an investigation by the Party's competent authorities in accordance with the WTO Safeguards Agreement. In critical circumstances where delay would cause damage that would be difficult to repair, a Party may apply a safeguard measure on a 
provisional basis not exceeding 200 days.  
3.31.  A Party applying a bilateral safeguards measure shall consult with the other Party to 
mutually agree on appropriate trade liberalizing compensation. If no agreement is reached, the 
Party whose goods are subject to the bilateral safeguard measure may suspend the application of 
substantially equivalent concessions to the Party applying the safeguard measures. Such right of suspension shall not be exercised for the first two years during which the measure is in effect 
(three years under the Safeguards Agreement). A Committee on Trade Remedies is established 
under the Agreement.  
3.32.  The Parties may impose measures for balance-of-payments purposes only in accordance 
with its rights and obligations under GATT 1994. Any restrictive measure adopted or maintained in 
this context shall be non-discriminatory (Article 8.2 of the Framework Agreement). 
3.4.4  Anti-dumping and countervailing measures 3.33.  The Parties maintain their WTO rights and obligations with regards to anti-dumping (AD) 
and countervailing measures (CVM) (Article 4.7). In order to enhance transparency in the 
implementation of the WTO Anti-Dumping Agreem ent and the SCM Agreement, the Parties agree 
that when AD margins are established on the weighted-to-weighted basis or 
transaction-to-transaction basis, or weighted-to-transaction basis, all individual margins, whether 
positive or negative, should be counted towards th e average; on condition that the level of anti-
dumping or countervailing duty is sufficient to remove the injury, the investigating Party is expected to systematically impose a duty less than the dumping margin or amount of subsidy; and 
the investigating Party shall request an exporter or producer in the territory of the other Party for 
a timely response to its questionnaires. The Agreement provides for written notification and consultations before the imposition of anti-dumping or countervailing duties. Provisions on 
investigation after termination resulting from a review, cumulative assessment, and de minimis  
standards applicable to review are contained in Articles 4.9-4.11, respectively. The Agreement's dispute settlement provisions do not apply to anti-dumping and countervailing measures.  
3.4.5  Subsidies and State-aid 
3.34.  The Agreement contains no provisions on subsidies and state-aid.  3.4.6  Other regulations 3.4.6.1  Competition 
3.35.  Chapter 3 of the Framework Agreement deal s with competition policy. The Parties recognize 
the importance of free and undistorted competition and undertake to apply their respective competition laws so that the benefits of the trade liberalization process are not eroded by 
anti-competitive practices. They agree to mainta in in their respective territories comprehensive 
competition laws which effectively address restrictive agreements, concerted practices and abuse of dominant position, and which provide effective control of concentrations between undertakings.  
3.36.  The Parties agree to maintain an auth ority responsible for the implementation of 
competition laws and to apply their respective competition laws in a transparent, timely and non-discriminatory manner, respecting the principles  of procedural fairness and rights of defence. WT/REG339/1/Rev.1 
 
- 14 - 
 
  The Parties shall cooperate in relation to th eir respective enforcement policies and in the 
enforcement of their respective competition laws, including through notification, consultation and exchange of non-confidential information. The Part ies agree to notify the competition authority of 
the other Party of an enforcement activity regardin g anti-competitive practices if it considers that 
such enforcement activity may substantially affect important interests of the other Party. The 
Parties shall ensure that state enterprises are subject to their respective competition laws and do not adopt or maintain any anti-competitive practices that affect trade between the Parties. The 
Parties do not have recourse to the Agreement's dispute settlement provisions for any matter 
arising under the competition Chapter. 
4  GENERAL PROVISIONS OF THE AGREEMENT 4.1  Transparency 
4.1.  Chapter 4 of the Framework Agreement deals with transparency. The Parties agree to 
promptly provide information and reply to any question from the requesting Party relating to an actual or proposed measure to the extent possibl e under their domestic legislation. The Parties 
agree to endeavour to ensure that their laws, re gulations and administrative rulings of general 
application relating to trade matters covered by the Agreement are promptly published or made publicly available. To the extent possible under domestic legislation, the Parties shall provide 
reasonable prior notice to implement their laws, regulations and administrative rulings of general 
application relating to trade matters covered by the Agreement, and a reasonable opportunity to comment on such measures upon request. 
4.2.  Without prejudice to domestic legislation, the Parties agree to establish or maintain judicial, 
quasi-judicial or administrative tribunals or procedures for the prompt review and, where 
warranted, correction of administrative action relating to matters covered by the Agreement. In such tribunals or procedures, the parties to the proceeding are entitled to reasonable opportunity 
to support or defend their respective positions and to a decision based on the evidence and 
submissions on record, or where required by its domestic legislation, the record compiled by the 
administrative authority. The Parties shall ensure that such decisions shall be implemented by, and 
shall govern the practice of, the office or authority with respect to the administrative action at 
issue, subject to appeal or fu rther review as provided for in their domestic legislation. 
4.2  Current payments and capital movements 4.3.  There are no provisions dealing with current payments and capital movements in the 
Agreement (safeguard measures for balance of paym ents provisions exist under Article 8.2 of the 
Framework Agreement and are described in Section 3.4.3 above). 
4.3  Exceptions 
4.4.  The Agreement does not apply to taxation measures except as follows: rights granted or 
obligations imposed with respect to taxation measures where corresponding rights or obligations are also granted or imposed under Article III of GATT 1994; duties, taxes or other fees and 
charges on exports; and tax conventions in force between the Parties (Article 8.1 of the 
Framework Agreement).  
4.5.  Article 8.3 of the Framework Agreement provid es for the Parties to take security exceptions 
along the lines of GATT Article XXI and Article 2.12  of the Trade in Goods Agreement provides for 
the Parties to take general exceptions related to trade in goods along the lines of GATT Article XX. 
4.4  Accession and withdrawal 4.6.  There is no provision in the Agreement governing accession by third parties. A Party may 
withdraw from the Agreement by providing six months written notice (Article 6.2). 
4.5  Institutional framework 4.7.  The Parties establish a Joint Committee charged inter alia  with ensuring the operation of the 
FTA, facilitating its implementation, supervising the work of all committees, working groups and WT/REG339/1/Rev.1 
 
- 15 - 
 
  other bodies established under the FTA and considering ways of further enhancing trade relations 
between the Parties (Article 7.1 of the Framew ork Agreement). Committees, working groups or 
any other bodies may be established under the auspices of the Joint Committee.  
4.8.  In order to ensure the transparency of non-tariff measures, the Agreement provides that the 
coordination mechanism, committee or working group, if any, which is most closely related to a 
specific non-tariff measure, shall review such a measure when a Party identifies that measure for consideration. In addition, the coordination mechanism shall consider approaches to facilitate trade 
between the Parties (Article 2.11). 
4.6  Dispute settlement 4.9.  Chapter 6 of the Framework Agreement and Annexes 6-A (Rules of Procedure for Arbitration) 
and 6-B (Code of Conduct for Members of Arbitration Panels) concern Dispute Settlement. The 
Chapter applies to any dispute concerning the interpretation and application of the Korea-Turkey 
FTA, unless otherwise provided. Where a Party has initiated a dispute settlement proceeding, either under Chapter 6 or under the WTO Agreement, it shall not institute a dispute settlement 
proceeding regarding the same measure in the other forum until the first proceeding has been 
concluded. Unless the forum selected fails for procedural or jurisdictional reasons, a Party shall not subsequently initiate dispute settlement proceedings in the other forum, if an obligation is identical 
under the Korea-Turkey FTA and under the WTO Agreement (Article 6.3.2).  
4.10.  Either Party may request consultations with respect to any matter relating to the 
interpretation and application of the FTA, upon wr itten notification. If the Parties do not reach a 
mutually satisfactory solution within 30 days of th e date of receipt of the request for consultations, 
the complaining Party may request the establishment of an arbitration panel. The establishment of 
an arbitration panel shall not be requested on any matter relating to a proposed measure.  
4.11.  The arbitration panel consists of three arbi trators. Each Party shall appoint one arbitrator, 
who may be its national. The Parties agr ee on and appoint the third arbitrator,
8 who shall be the 
Chairperson of the arbitration panel, within 45 days  of the date of receipt of the request for the 
arbitration panel. Failing that, the third arbitrator shall be chosen within seven days by lot from a 
list of ten individuals established by the Joint Committee. 
4.12.  The arbitration panel shall meet in closed session, unless the Parties decide otherwise. The 
deliberations of the panel and the documents submitted to it shall be kept confidential. Upon request from the other Party, a non-confidential summary of information or written submissions 
which may be disclosed publicly will be provided. Each Party bears the cost of the arbitrator it 
appoints, while the cost of the chairperson and other expenses are to be equally shared. 
4.13.  An interim report of the arbitration panel shall be issued within 90 days
9 of the date of 
establishment of the arbitration panel (45 days in case of perishable goods). The interim report 
may also contain recommendations, if the Parties agree. After considering any written comments by the Parties on the interim report, the arbitration panel may modify its report and make any 
further examination it considers appropriate. The final report shall be issued within 120 days
10 of 
the date of the establishment of the arbitration pa nel (60 days in case of perishable goods). The 
report of the arbitration panel shall be final and binding on the Parties. 
4.14.  Unless the Parties agree otherwise, the Party complained against shall eliminate the non-
conformity as determined in the report of the arbitration panel immediately, or if this is not 
practicable, within a mutually determined reasonable period of time. If the non-conformity has not been eliminated within the reasonable period of  time, either Party may refer the matter to an 
arbitration panel.  
4.15.  In case of failure to notify implemen ting measures or non-implementation the Party 
complained against shall, if requested by the complaining Party, enter into negotiations with the 
complaining Party with a view to reaching mutually satisfactory compensation. In the absence of 
                                               
8 The third arbitrator may not be a national, resident of employee of the Parties, nor have dealt with the 
dispute in any capacity. 
9 Or 120 days maximum, if the 90 day deadline cannot be met. 
10 Or 150 days maximum, if the 120 day deadline cannot be met. WT/REG339/1/Rev.1 
 
- 16 - 
 
  an agreement on satisfactory compensation within 20 days, the complaining Party may suspend 
application of concessions or other obligations under the FTA, after giving notification of such suspension 30 days in advance. 
4.16.  The rules of procedure for arbitration are laid out in detail in Annex 6-A and cover inter alia , 
notifications, first submissions, operation of arbitration panels, hearings, and amicus curiae 
submissions. Annex 6-B lays out the code of cond uct for members of arbitration panels including 
disclosure obligations, duties, independence and impartiality of members of arbitration panels, 
obligations of former arbitrators and confidentiality. 
4.7  Relationship with other agreements concluded by the parties 4.17.  In Article 6.5, the Parties confirm their rights and obligations under the WTO Agreement and 
other international agreements to which they are party. The Agreement does not prevent the 
maintenance or establishment of customs unions, free trade areas or other arrangements between 
either of the Parties and non-parties, insofar as they do not alter the rights and obligations provided for in the Agreement (Article 6.6 of the Agreement and Article 8.7 of the Framework 
Agreement). In case of accession of Turkey to the European Union, the Parties shall enter into 
consultations on the consequences of the accession.  
4.18.  Table 4.1 shows the Parties' participation in  RTAs, notified and non-notified, other than the 
Agreement. 
Table 4.1: Turkey and Korea: Participation in  other RTAs (notified and non-notified, in 
force), as of 16 December 2013 
RTA Name Date of 
entry into 
force Coverage Year of 
notification  WTO Legal Cover 
TURKEY 
Turkey - Mauritius 01-Jun-13 Goods 2013 GATT Art. XXIV 
Turkey - Jordan 01-Mar-11 Goods 2011 GATT Art. XXIV 
Turkey - Chile 01-Mar-11 Goods 2011 GATT Art. XXIV 
Turkey - Serbia 01-Sep-10 Goods 2010 GATT Art. XXIV 
Turkey - Montenegro 01-Mar-10 Goods 2010 GATT Art. XXIV 
Turkey - Georgia 01-Nov-08 Goods 2009 GATT Art. XXIV 
Turkey - Albania 01-May-08 Goods 2008 GATT Art. XXIV 
Egypt - Turkey 01-Mar-07 Goods 2007 Enabling Clause 
Turkey - Syria 01-Jan-07 Goods 2007 GATT Art. XXIV 
Turkey - Morocco 01-Jan-06 Goods 2006 GATT Art. XXIV 
Turkey - Tunisia 01-Jul-05 Goods 2005 GATT Art. XXIV 
Turkey - Palestinian Authority 01-Jun-05 Goods 2005 GATT Art. XXIV 
Turkey - Bosnia and Herzegovina 01-Jul-03 Goods 2003 GATT Art. XXIV 
Turkey - Former Yugoslav Republic of 
Macedonia 01-Sep-00 Goods 2001 GATT Art. XXIV 
Turkey - Israel 01-May-97 Goods 1998 GATT Art. XXIV 
European Union - Turkey 01-Jan-96 Goods 1995 GATT Art. XXIV 
EFTA - Turkey 01-Apr-92 Goods 1992 GATT Art. XXIV 
Economic Cooperation Organization 
(ECO) 17-Feb-92 Goods 1992 Enabling Clause 
Protocol on Trade Negotiations (PTN) 11-Feb-73 Goods 1971 Enabling Clause 
REPUBLIC  OF KOREA 
Republic of Korea - United States 15-Mar-12 Goods & 
Services 2012 GATT Art. XXIV & GATS Art. V 
Peru - Republic of Korea 01-Aug-11 Goods & 
Services 2011 GATT Art. XXIV & GATS Art. V 
European Union - Republic of Korea 01-Jul-11 Goods & 
Services 2011 GATT Art. XXIV & GATS Art. V 
ASEAN - Republic of Korea 01-Jan-10 
01-May-09 Goods 
Services 2010 Enabling Clause, GATT Art. 
XXIV & GATS Art. V 
Republic of Korea - India 01-Jan-10 Goods & 
Services 2010 Enabling Clause, GATT Art. 
XXIV & GATS Art. V 
EFTA - Republic of Korea 01-Sep-06 Goods & 
Services 2006 GATT Art. XXIV & GATS Art. V WT/REG339/1/Rev.1 
 
- 17 - 
 
  RTA Name Date of 
entry into 
force Coverage Year of 
notification  WTO Legal Cover 
Republic of Korea - Singapore 02-Mar-06 Goods & 
Services 2006 GATT Art. XXIV & GATS Art. V 
Republic of Korea - Chile 01-Apr-04 Goods & 
Services 2004 GATT Art. XXIV & GATS Art. V 
Asia Pacific Trade Agreement (APTA) - 
Accession of China 01-Jan-02 Goods 2004 Enabling Clause 
Global System of Trade Preferences 
among Developing Countries (GSTP) 19-Apr-89 Goods 1989 Enabling Clause 
Asia Pacific Trade Agreement (APTA) 17-Jun-76 Goods 1976 Enabling Clause 
Protocol on Trade Negotiations (PTN ) 11-Feb-73 Goods 1971 Enabling Clause 
 
Source: WTO Secretariat.  
4.8  Government procurement 
4.19.  There are no provisions in the Agreement on government procurement.  
4.9  Intellectual property rights 4.20.  Chapter 2 of the Framework Agreement contains provisions on intellectual property rights 
which for the purposes of the Agreement encompas s: copyrights, including copyright in computer 
programmes and in databases and related rights; patents and utility models; trademarks; service 
marks; designs; layout-designs (topographies) of integrated circuits; geographical indications; plant varieties; and protection of undisclosed information. The Parties agree to exchange views 
and information on their practices and policies affecting transfer of technology, both within their 
respective territories and with non-parties.  
4.21.  On copyright and related rights, the Parties agree to comply with Articles 1 through 22 of 
the International Convention for the Protection of Performers, Producers of Phonograms and 
Broadcasting Organizations  (1961); Articles 1 through 18 of the Berne Convention for the 
Protection of Literary and Artistic Works  (1971); Articles 1 through 14 of the World Intellectual 
Property Organization Copyright Treaty (1996) ; and Articles 1 through 23 of the WIPO 
Performances and Phonograms Treaty  (1996). The Parties agree to protect technological measures 
and rights management information. 
4.22.   On trademarks, the Parties may provide that trademarks include certification marks or 
guarantee marks. They reaffirm the obligations under the Paris Convention of the Protection of 
Industrial Property  (1967) and the TRIPS Agreement with respect to protection of well-known 
marks. Initial registration and renewal of registration shall be for a term of no less than ten years 
(seven in the TRIPS Agreement). 
4.23.  On protection of geographical indications, the Parties have listed in Annex 2 of the 
Framework Agreement the geographical indications which have been registered and are protected 
by the Parties. For Turkey these are two types of carpet ("Hereke carpet" and Bünyan carpet"). For 
Korea these are Korean Red Ginseng and Korean Wh ite Ginseng. The Parties agree to enter into 
consultations to protect additional geographical indications after the entry into force of the Framework Agreement. As of December 2013, the Parties have not had any such consultations. 
4.24.  The Parties agree to regularly monitor the implementation of the Chapter on IPR and to 
undertake consultations in the Joint Committee should problems occur. They agree to review the overall implementation of the Chapter and achieve a higher level of IPR protection, upon request 
of a Party, after three years from the date of entry into force of the Framework Agreement. WT/REG339/1/Rev.1 
 
- 18 - 
 
  4.10  Labour 
4.25.  Chapter 5 of the Framework Agreement contains provisions relating to measures adopted or 
maintained by the Parties affecting trade-related aspects of labour.11 The Parties agree that labour 
standards should not be used for protectionist trade purposes. The Parties recognize their right to 
establish their own level of labour protection, and to adopt or modify accordingly their relevant 
laws and policies to ensure that those laws and policies provide for and encourage high levels of 
labour protection. The Parties reaffirm their commi tment, under the 2006 Ministerial Declaration of 
the UN Economic and Social Council on Full Empl oyment and Decent Work, to recognizing full and 
productive employment and decent work for all. Th e Parties agree not to weaken or reduce labour 
protections afforded in their laws to encourage trade or investment. The Parties, in accordance with their respective domestic laws, agree to develop, introduce and implement any measures 
aimed at protecting labour conditions that affect trade between them in a transparent manner and 
list a number of areas of co-operation. Upon re quest, the Joint Committee may decide to establish 
a committee or working group to deal with any matter of mutual interest arising under the 
Chapter. Neither Party has recourse to the Agreement's dispute settlement provisions for any 
matter arising under the Chapter. 
4.11  Environment 
4.26.  Chapter 5 of the Framework Agreement contains provisions relating to measures adopted or 
maintained by the Parties affecting trade-related aspects of environmental issues. The Parties agree that environmental standards should not be used for protectionist trade purposes. The Parties recognize their right to establish their ow n level of environmental protection, and to adopt 
or modify accordingly their relevant laws and policies to ensure that those laws and policies 
provide for and encourage high level of environmental protection. The Parties reaffirm their commitment to the effective implementation in their laws and practices of the multilateral 
environmental agreements to which they are party, and to reaching the ultimate objective of the 
United Nations Convention on Climate Change and its Kyoto Protocol  and commit to cooperating 
on the development of the future international c limate change framework in accordance with the 
Bali Action Plan . The Parties agree not to weaken or reduce environmental protections afforded in 
their laws to encourage trade or investment. The Parties, in accordance with their respective domestic laws, agree to develop, introduce and implement any measures aimed at protecting the 
environment that affect trade between them in a transparent manner. Upon request, the Joint 
Committee may decide to establish a committee or working group to deal with any matter of 
mutual interest arising under the Chapter. Neithe r Party has recourse to the Agreement's dispute 
settlement provisions for any matter arising under the Chapter. 
                                               
11 According to Article 5.2 of the Framework Agreement,  the reference to labour includes issues relevant 
to the Decent Work Agenda  as agreed on in the Internationa l Labour Organization and in the 2006 Ministerial 
Declaration of the UN Econom ic and Social Council on Full Employment and Decent Work . WT/REG339/1/Rev.1 
 
- 19 - 
 
  ANNEX 1 
1. Tables A1.1 (Korea) and A1.2 (Turkey) present the Parties' tariff elimination schedule overall 
and by type of product. In the case of Korea, th e share of the number of duty-free tariff lines went 
from 16.4% to 78.6% upon the Agreement's entry into force and the overall average tariff fell 
from 13.3% to 8.5%. For agricultural goods, Turk ey's exporters faced in Korea an average tariff 
rate of 53.6% instead 54.6%, and 1.1% instead of 6.6% for non-agricultural goods. At the end of the implementation period in 2023, 91.3% of all tariffs lines are to become duty-free, 97.8% for 
non-agricultural goods and 51.2% for agricultural products. 
Table A1.1 Korea: Indicators of MFN tariff rates and preferential rates for imports from 
Turkey
 
Origin of 
goods Year ALL PRODUCTS Agricultural products a Non-agricultural products 
Average applied 
tariff Share of 
duty-
free 
tariff 
lines 
(%) Average applied 
tariff Share of 
duty-free 
tariff 
lines (%)  Average applied 
tariff Share of 
duty-
free 
tariff 
lines 
(%) Overall 
(%) On 
dutiable 
(%) Overall 
(%) On 
dutiable 
(%) Overall 
(%) On dutiable 
(%) 
MFN 2013 13.3 15.9 16.4 54.6 57.8 5.7 6.6 8.0 18.1 
Turkey 2013 8.5 39.6 78.6 53.6 60.4 11.2 1.1 10.6 89.6 
 2014 8.3 38.8 78.6 53.1 59.8 11.2 1.0 9.4 89.6 
 2015 8.1 38.0 78.6 52.6 59.3 11.2 0.9 8.3 89.6 
 2016 7.9 40.3 80.3 52.1 58.7 11.2 0.7 8.7 91.6 
 2017 7.8 39.6 80.3 51.7 58.2 11.2 0.6 7.7 91.6 
 2018 7.7 48.4 84.2 51.2 66.5 23.1 0.6 9.6 94.2 
 2019 7.6 47.8 84.2 50.8 66.1 23.1 0.5 8.7 94.2 
 2020 7.5 51.5 85.5 50.4 66.7 24.4 0.5 10.1 95.5 
 2021 7.4 51.0 85.5 50.1 66.2 24.4 0.4 9.3 95.5 
 2022 7.3 50.4 85.5 49.7 65.7 24.4 0.4 8.4 95.5 
 2023 7.2 82.8 91.3 49.4 101.2 51.2 0.3 15.7 97.8 
a WTO Definition. 
 
Note: For the calculation of averages, specific rates are excluded and the ad valorem  parts of alternate 
rates are included. Based on the HS 2012 nomenclature.  
Source:  WTO estimates based on data provided by the Korean authorities. 
 
2. In the case of Turkey, the share of duty-free tariff lines went from 23% to 67.6% upon the 
Agreement's entry into force and the overall average tariff fell from 12.4% to 9.6%. For 
agricultural goods, Korea's exporters faced in Turkey an average tariff rate of 47.4% instead 
47.1%1, and 2.4% instead of 5.4% for non-agricultur al goods. At the end of the implementation 
period in 2023, 90.7% of all tariffs lines are to become duty-free, 99.9% for non-agricultural 
goods and 45.7% for agricultural products.  
                                               
1 The higher preferential rate is explained by the elimination of the ad valorem  component in the 
preferential duty compared to the MFN duty. WT/REG339/1/Rev.1 
 
- 20 - 
 
  Table A1.2 Turkey: Indicators of MFN tariff rates and preferential rates for imports from 
Korea 
Origin 
of 
goods Year ALL PRODUCTS Agricultural products a Non-agricultural products  
Average applied 
tariff Share 
of duty-
free 
tariff 
lines 
(%) Average applied 
tariff Share 
of duty-
free 
tariff 
lines 
(%) Average applied 
tariff Share 
of duty-
free 
tariff 
lines 
(%) Overall 
(%) On 
dutiable 
(%) Overall 
(%) On 
dutiable 
(%) Overall 
(%) On 
dutiable 
(%) 
MFN 2013 12.4 16.1 23.0 47.1 54.9 14.0 5.4 7.1 24.8 
Korea 2013 9.6 30.4 67.6 47.4 60.7 20.5 2.4 10.7 77.2 
 2014 9.2 29.2 67.6 46.2 59.1 20.5 2.2 9.7 77.2 
 2015 8.8 27.9 67.6 45.0 57.6 20.5 2.0 8.6 77.2 
 2016 8.4 29.0 70.2 43.7 56.0 20.5 1.7 8.6 80.3 
 2017 7.9 27.4 70.2 42.5 54.4 20.5 1.4 7.0 80.3 
 2018 7.5 34.3 77.4 41.2 54.7 23.0 1.0 9.0 88.5 
 2019 7.0 32.4 77.4 40.0 53.1 23.0 0.8 6.7 88.5 
 2020 6.6 45.1 84.4 38.8 52.6 24.5 0.5 14.7 96.6 
 2021 6.3 43.0 84.4 37.7 51.0 24.5 0.4 10.2 96.6 
 2022 6.0 40.8 84.4 36.5 49.5 24.5 0.2 5.6 96.6 
 2023 5.7 68.6 90.7 35.3 69.2 45.7 0.0 28.0 99.9 
a WTO Definition. 
 Note: For the calculation of averages, specific rates are excluded and the ad valorem  parts of alternate 
rates are included. Based on the HS 2012 nomenclature.  
Source:  WTO estimates based on data provided by the Turkish authorities. 
 
3. Table A1.3 shows market access opportunities for Turkey's top 25 exported goods in Korea. 
These exports accounted for 32% of Turkey's gl obal exports during 2010-2012 and involved 
182 tariff lines. Of these lines, 13 were already duty-free on a MFN basis and 149 were liberalized when the Agreement entered into force. The rema ining lines will become duty-free in 2016, 2018, 
2020 and 2023. No lines will remain dutiable.
 
Table A1.3 Korea: Market access opportunities  under the agreement for Turkey's top 25 
exports to the world  
Turkey's top export products in 2010-2012 Access Conditions to Korea's import markets 
MFN (2013)
Duty-free in 
HS number and description of the product 
Share in 
global exports 
(%) 
Average MFN 
applied rate 
(%) No. of 
lines Duty-free 
Dutiable 
2013 
2016 
2018 
2020 
2023 
710812 -- other unwrought forms 4.2 3.0  2 2     
721420 - containing indentations, ribs, 
grooves or othe r deformations 
produced during the rolling process or 
twisted after rolling 3.3 0.0 2       
870421 -- g.v.w. not > 5 tonnes 2.4 10.0  5 5     
271019 Petroleum oils and oils obtained from 
bituminous minerals (other than 
crude)  1.6 6.3  41 36  5   
711319 -- of other precious metal, whether or 
not plated or clad with precious metal 1.5 8.0  3 3     
610910 T-shirts, singlets and other vests, 
knitted or crocheted, of cotton 1.4 13.0  2 2     
852872 -- other, colour 1.4 8.0  9 9     
870323 -- of a cylinder capacity > 1,500 cc 
but not > 3,000 cc 1.3 8.0  4 4     
870322 -- of a cylinder capacity > 1,000 cc 
but not > 1,500 cc 1.3 8.0  2   2   
271012 -- light oils and preparations 1.3 2.7 2 4 4     WT/REG339/1/Rev.1 
 
- 21 - 
 
  Turkey's top export products in 2010-2012 Access Conditions to Korea's import markets 
MFN (2013)
Duty-free in 
HS number and description of the product 
Share in 
global exports 
(%) 
Average MFN 
applied rate 
(%) No. of 
lines Duty-free 
Dutiable 
2013 
2016 
2018 
2020 
2023 
870331 -- of a cylinder capacity not exceeding 
1,500 cc 1.3 8.0  2   2   
271020 - petroleum oils and oils obtained 
from bituminous minerals (other than 
crude)  1.2 6.2 2 45 40  5   
854449 Other electric conductors, for a 
voltage not > 1,000 V, not fitted with connectors 1.0 5.3 3 6 6     
570242 -- of man-made textile materials 0.9 10.0  1 1     
720711 -- of rectangular (including square) 
cross-section, the width measuring less than twice the thickness 0.9 0.0 2       
620462 Women's or girls', trousers, bib and 
brace overalls, breeches & shorts 
(excluding swimwear; excluding 
knitted or crocheted), of cotton 0.9 13.0  2 2     
610990 T-shirts, singlets and other vests, 
knitted or crocheted, other than of cotton 0.8 13.0  8 8     
620342 Men's or boys' trousers, bib and brace 
overalls, breeches and shorts 
(excluding swimwear; excluding 
knitted or crocheted), of cotton 0.8 13.0  2 2     
080222 Hazelnuts or filberts (Corylus spp.), 
shelled 0.7 8.0  1    1  
870210 -with compression-ignition internal 
combustion piston engine (diesel or 
semi-diesel) 0.7 10.0  6 6     
870332 -- of a cylinder capacity > 1,500 cc 
but not > 2,500 cc 0.7 8.0  4 4     
840999 Parts suitable for use solely or 
principally with the engines of 
84.07/84.08 (excl. of 8409.10 and 
8409.91) 0.7 7.6  7 4 3    
870899 Other parts and accessories for the 
motor vehicles of 87.01-87.05, excluding 8708.91/92/93/94/95. 0.7 8.0  6 6     
961900 Sanitary towels (pads) and tampons, 
napkins and napkin liners for babies 
and similar articles, of any material. 0.6 7.2 2 5 5     
110100 Wheat or meslin flour. 0.6 4.0  2   1  1 
Total of above 32.0  13 169 149 3 15 1 1 
Note: Based on the HS 2012 nomenclature. 
 Source: WTO estimates based on data provided by th e Korean authorities and UNSD, Comtrade database.  
 
4. Table A1.4 shows market access opportunities for Korea's top 25 exported goods in Turkey. 
These exports accounted for 50.8% of Korea's global exports during 2010-2012 and involved 
244 tariff lines. Of these lines, 54 were already duty-free on a MFN basis and 130 were liberalized when the Agreement entered into force. The remain ing lines will become duty-free in 2016, 2018 
and 2020. No lines will remain dutiable.
 WT/REG339/1/Rev.1 
 
- 22 - 
 
  Table A1.4 Turkey: Market access opportuniti es under the agreement for Korea's top 25 
exports to the world  
Korea's top export products in 2010-2012 Access Conditions to Turkey's import 
markets 
MFN (2013) 
Duty-free in 
HS number and description of the product 
Share in 
global exports 
(%) 
Average MFN 
applied rate 
(%) No. of 
lines Duty-free 
Dutiable 
2013 
2016 
2018 
2020 
271019 Petroleum oils & oils obtained from 
bituminous minerals (other than crude)  6.9 3.6  81 81    
901380 - other devices, appliances and instruments 5.4 1.2 3 1 1    
870323 -- of a cylinder capacity exceeding 1,500 cc 
but not exceeding 3,000 cc 4.7 10.0  11   1 10 
890190 - other vessels for the transport of goods 
and other vessels for the transport of both 
persons and goods 3.8 0.3 4 1 1    
854232 -- memories 3.7 0.0 9      
854231 -- processors and controllers, whether or 
not combined with memories, converters, 
logic circuits, amplifiers, clock and timing 
circuits, or other circuits 3.4 0.0 2      
890120 -tankers 2.9 0.3 4 1 1    
870899 Other parts and accessories for the motor 
vehicles of 87.01-87.05, excluding 8708.91 
or 8708.92 or 8708.93 or 8708.94 or 
8708.95. 2.8 3.8  21 8   13 
851712 -- telephones for cellular networks or for 
other wireless networks 2.7 0.0 4      
890590 Light-vessels, fire-floats, floating cranes & 
other vessels the navigability of which is 
subsidiary to their main function; floating 
docks 2.0 0.9 1 1 1    
851770 Parts of telephone sets, including 
telephones for cellular networks or for other 
wireless networks 1.6 1.1 8 3 1   2 
852990 Other parts suitable for use solely or 
principally with the apparatus of headings 
85.25 to 85.28., other than aerials and 
aerial reflectors of all kinds 1.5 2.5 2 8 5 1 2  
271012 -- light oils and preparations 1.2 4.7  17 17    
847330 - parts and accessories of the machines of 
heading 84.71 1.0 0.0 2      
870332 -- of a cylinder capacity exceeding 1,500 cc 
but not exceeding 2,500 cc 1.0 10.0  11   1 10 
870322 -- of a cylinder capacity exceeding 1,000 cc 
but not exceeding 1,500 cc 0.8 10.0  8    8 
854140 - photosensitive semiconductor devices, 
including photovoltaic cells whether or not assembled in modules or made up into panels; light emitting diodes 0.7 0.0 5      
291736 -- terephthalic acid and its salts 0.7 6.5  3 3    
842952 -- machinery with a 360? revolving 
superstructure 0.7 0.0 3      
853400 Printed circuits. 0.7 0.0 6      
870324 -- of a cylinder capacity exceeding 3,000 cc 0.6 10.0  6   1 5 
390330 - acrylonitrile-butadiene-styrene (abs) 
copolymers 0.5 6.5  1 1    
853190 Parts of the apparatus of 85.31 0.5 1.1 1 1 1    
271020 - petroleum oils and oils obtained from 
bituminous minerals (other than crude)  0.5 3.5  9 9    
847989 Other machines and mechanical appliances 0.5 1.7  6  6   
Total of above 50.8  54 190 130 7 5 48 
Note: Based on the HS 2012 nomenclature. 
 Source: WTO estimates based on data provided by th e Turkish authorities and UNSD, Comtrade database.  
 
__________