RESTRICTED  WORLD TRADE ORGANIZATION  
ORGANISATION MONDIALE DU COMMERCE  
ORGANIZACIÓN MUNDIAL DEL COMERCIO  GPA/O/KOR/2 
31 January 2006 
 (06-0432) 
Committee on Government Procurement Original: English/ 
               anglais/                inglés 
 
 
 
NEGOTIATIONS ON EXTENSION OF COVERAGE AND ELIMINATION OF  
DISCRIMINATORY MEASURES AND PRACTICES PURSUANT TO  
ARTICLE XXIV:7(b) AND (c) OF THE AGREEMENT  
ON GOVERNMENT PROCUREMENT 
 
Communication from the Republic of Korea
1 
 
 The following communication, dated 30 January 2 006, is being circulated at the request of the 
Delegation of the Republic of Korea. 
 
 
Comité des marchés publics  
 
 
NÉGOCIATIONS SUR L'EXTENSION DE LA PORTÉE DE L'ACCORD ET 
L'ÉLIMINATION DES MESURES ET PRATIQUES DISCRIMINATOIRES  
AU TITRE DE L'ARTICLE XXIV: 7 b) ET c) DE L'ACCORD  
SUR LES MARCHÉS PUBLICS 
 
Communication de la République de Corée1 
 
 La communication ci-après, datée du 30 janvier  2006, est distribuée à la demande de la 
délégation de la République de Corée. 
 
 
Comité de Contratación Pública 
 
  
AMPLIACIÓN DEL ÁMBITO DE APLICACIÓN Y LA ELIMINACIÓN DE  
LAS MEDIDAS Y PRÁCTICAS DISCRIMINATORIAS EN CONFORMIDAD  
CON EL PÁRRAFO 7(b) Y (c) DEL ARTÍCULO XXIV DEL ACUERDO  
SOBRE CONTRATACIÓN PÚBLICA 
 
Comunicación de la República de Corea
1 
  La siguiente comunicación, de fecha 30 de enero de 2006, se distribuye a petición de la 
delegación de la República de Corea.  
                                                     
 
1 In English only./En anglais seulement./En inglés solamente. GPA/O/KOR/2 
Page 2  
 
 
KOREA'S INITIAL OFFER 
 
  
 Korea submits this initial offer, in accord ance with Article XXIV:7 of the Agreement on 
Government Procurement.  Korea reserves the right to  withdraw, amend, restrict, restructure or extend 
this offer, in light of the offer from other Par ties and the further progress made in the expansion 
negotiation.  
 Korea wishes to draw the attention of other Pa rties to the overall expansion of coverage in all 
the Annexes (Annex 1, 2, 3, 4, 5) including signi ficant improvement in Annex 1 that demonstrates 
Korea's commitment to include every central government entity in principle.   This initial offer incorporates Korea's pr oposed modifications (GPA/MOD/KOR/9) pursuant 
to the current GPA Article XXIV:6(a) which does not  imbalance rights and ob ligations nor the level 
of mutually agreed coverage provided in the GPA.  
(N.B.:  In this offer:  (i) expansion in coverage is underlined and in bold;  and (ii) modifications 
pursuant to the current GPA are underlined/struck out.) 
  GPA/O/KOR/2 
 Page 3 
 
 
 
ANNEX 1  
 
Central Government Entities wh ich Procure in Accordance 
with the Provisions of this Agreement 
 
 
Supplies  
 
Threshold : 130,000 SDR 
 
List of Entities : 
 - Board of Audit and Inspection - Office of the Prime Minister 
- Office for Government Policy Coordination 
- Ministry of Gender Equality and Family
 
- Ministry of Finance and Economy - Ministry of Planning and Budget - Financial Supervisory Commission - Ministry of Unification 
- Ministry of Government Ad ministration and Home Affairs 
- Civil Service Commission - Ministry of Science and Technology - Government Information Agency - Ministry of 
Government Legislation Agency  
- Ministry of Patriots and Veterans Affairs  Administration Agency  
- Ministry of Foreign Affairs and Trade - Ministry of Justice - Ministry of National Defense - Ministry of Education and Human Resources Development 
- Ministry of Culture and Tourism 
- Cultural Propert
ies Heritage  Administration 
- Ministry of Agriculture and Forestry - Ministry of Commerce, Industry and Energy - Ministry of Health and Welfare - Korea 
Food and Drug Administration 
- Ministry of Labor 
- Ministry of Construction and Transportation - Ministry of Maritime Affairs and Fisheries - Ministry of Information and Communications - Ministry of Environment - Public Procurement Service (limited to purchases for entities in this list only. Regarding 
procurement for entities in Annex 2 and Annex 3 in  this list, the coverages and thresholds for 
such entities thereunde r shall be applied.) 
- National Tax Service - Customs Service - National Statistical Office 
- Korea Meteorological Administration 
- National Police Agency (except purchases fo r the purpose of maintaining public order, as 
provided in Article XXIII of the Code.) 
- Supreme Public 
Prosecutors' Office 
- Military Manpower Administration 
- Rural Development Administration GPA/O/KOR/2 
Page 4  
 
- Forest Service - Korean Intellectual Property Office - Small and Medium Bu siness Administration 
-
 Korea  National Railroad Administration (The Kore an Government plans to change the NRA 
into a public corporation in 1996, in which case th e Korean Government has the right to transfer 
the NRA from Annex 1 to Annex 3 without any consultation and/or compensatory m easures.)   
- National Maritime Police Agency  Korea Coast Guard (except purchases for the purpose of 
maintaining public order, as provided in Article XXIII of the Agreement.) 
- National Emergency Management Agency  
- Defense Acquisition Program Administration  
- National Youth Commission  
- National Human Rights Commission of Korea  
- Korean Broadcasting Commission  
- Korea Independent Commission Against Corruption  
- Presidential Commission on Small and Medium Enterprises  
- Fair Trade Commission  
- The Ombudsman of Korea  
  
Services  
 Threshold : 130,000 SDR 
 List of Entities which Procure Services Specified in Annex 4 : 
 Same as "Supplies" section 
 
Construction Services  
 
Threshold : 5,000,000 SDR 
 List of Entities which Procure Services Specified in Annex 5 : 
 
Same as "Supplies" section 
 
 Notes to Annex 1  
 
1. The above central government entities include their subordina te linear organizations, special 
local administrative organs, and attached organs as prescribed in the Government Organization 
Act of the Republic of Korea. 
 2. This Agreement does not apply to the products and services procured with a view to resale or to 
use in the production of goods or provision of services for sale. 
 (N.B.:  Korea is willing to remove this note under the condition that it is included in the 
revised GPA text.)  
 
3. This Agreement does not apply to the single tendering procurement including and set-asides for 
small- and medium-sized busine sses according to the Act Relating to Contracts to which the 
State is a Party and its Presidential Decree, and the procurement of agricultural, fishery and livestock products according to the Foodgrai n Management Law, the Law Concerning 
Marketing and Price Stabilizati on of Agricultural and Fishery Pr oducts, and the Livestock Law. 
  GPA/O/KOR/2 
 Page 5 
 
 
4. This Agreement does no t apply to the procurement of satellites according to the Aviation and 
Space Industry Development Promotion Law for five years from its entry into force for Kore a. 
 5.
4. The Defense Logistics Agency shall be consid ered as part of the Ministry of National D efense.   
Subject to the decision of the Korean Gove rnment under the provisi ons of paragraph 1, 
Article XXIII, for the purchases of  MND  the Ministry of National Defense and the Defense 
Acquisition Program Administration  purchases , this Agreement will generally apply to the 
following FSC categories only, and for services and construction services listed in Annex 4 and 
Annex 5, it will apply only to those areas which ar e not related to national security and defense. 
 
 
 
FSC Description  
 
2510 Vehicular cab, body, and fr ame structural components 
2520 Vehicular power transmission components 
2540 Vehicular furniture and accessories 2590 Miscellaneous vehicular components 2610 Tires and tubes, pneumatic, nonaircraft 
2910 Engine fuel system components, nonaircraft 2920 Engine electrical system  components, nonaircraft 
2930 Engine cooling system components, nonaircraft 
2940 Engine air and oil filters, st rainers and cleaners, nonaircraft 
2990 Miscellaneous engine accessories, nonaircraft 3020 Gears, pulleys, sprockets and transmission chain 3416 Lathes 
3417 Milling machines 
3510 Laundry and dry cleaning equipment 4110 Refrigeration equipment 4230 Decontaminating and impregnating equipment 
4520 Space heating equipment an d domestic water heaters 
4940 Miscellaneous maintenance and re pair shop specialized equipment 
5120 Hand tools, nonedged, nonpowered 
5410 Prefabricated and portable buildings 5530 Plywood and veneer 5660 Fencing, fences and gates 5945 Relays and solenoids 
5965 Headsets, handsets, microphones and speakers 
5985 Antennae, waveguide, and related equipment 
5995 Cable, cord, and wire assemb lies:  communication equipment 
6505 Drugs and biologicals 6220 Electric vehicular lights and fixtures 
6840 Pest control agents disinfectants 
6850 Miscellaneous chemical, specialties 
7310 Food cooking, baking, and serving equipment 7320 Kitchen equipmen t and appliances 
7330 Kitchen hand tools and utensils 7350 Table ware 
7360 Sets, kits, outfits, and module s food preparation and serving 
7530 Stationery and record forms GPA/O/KOR/2 
Page 6  
 
7920 Brooms, brushes, mops, and sponges 7930 Cleaning and polishing compounds and preparations 8110 Drums and cans 9150 Oils and greases:  cutting, lubricating, and hydraulic 
9310 Paper and paperboard 
  GPA/O/KOR/2 
 Page 7 
 
 
ANNEX 2 
 
Sub-Central Government Entities which Procure in Accordance 
with the Provisions of this Agreement  
  
Supplies  
 
Threshold : 200,000 SDR 
 
List of Entities : 
 - Seoul Metropolitan Government - City of 
Pusan Metropolitan City  
- City of Taegu Metropolitan City  
- City of Inchon Metropolitan City  
- City of Kwangju Metropolitan City  
- City of Taejon Metropolitan City  
- Ulsan Metropolitan City  
(N.B.:  Korea adds the Ulsan Metropolitan City  which has been upgraded to Metropolitan 
City since July 1997.)  
- Kyonggi-do 
- Kang-won-do - Chungchongbuk-do - Chungchongnam-do - Kyongsangbuk-do 
- Kyongsangnam-do 
- Chollabuk-do - Chollanam-do - Cheju-do   Services  
 
Threshold : 200,000 SDR 
 List of Entities which Procure Services Specified in Annex 4 :   
 
Same as "Supplies" section  
Construction Services  
 
Threshold : SDR 15,000,000 
 
List of Entities which Procure Services Specified in Annex 5 :   
 Same as "Supplies" section  GPA/O/KOR/2 
Page 8  
 
 
Notes to Annex 2  
 
1. The above sub-central admi nistrative government entities include their subordinate 
organizations under direct control and offices as prescribed in the Local Autonomy Law of the 
Republic of Korea. 
 2. This Agreement does not apply to the products and services procured with a view to resale or to 
use in the production of goods or provision of services for sale. 
(N.B.:  Korea is willing to remove this note under the condition that it will be included in the 
revised GPA text. ) 
 
3. This Agreement does not apply to single tendering procurement including  and set-asides for 
small- and medium-sized busine sses according to the Local Finance Law and its Presidential 
Decree. 
 
4. This Agreement does not apply to the procuremen t of satellites according to the Aviation and 
Space Industry Development Promotion Law for five years from its entry into force for Korea.   GPA/O/KOR/2 
 Page 9 
 
 
ANNEX 3 
 
All Other Entities which Procure in Accordance 
with the Provisions of this Agreement  
  
Supplies  
 
Threshold : 450,000
 400,000  SDR 
(N.B.:  The Korean Government brings  down the above threshold to 400,000 SDR  
in order to extend the coverage.)  
 
 List of Entities : 
 
- Korea Development Bank 
- Industrial Bank of Korea - Korea Minting and Security Printing Corporation - Korea Electric Power Corporation (except pur chases of products in the categories of 
HS Nos. 8504, 8535, 8537 and 8544) 
- Korea Coal Corporation 
- Korea Resources Corporation 
- Korea National Oil Corporation -
 Korea General Chemical Corporation  
- Korea Trade-Investment Promotion Agency - Korea Highway Corporation 
- Korea National Housing Corporation 
- Korea Water Resources Corporation - Korea Land Corporation - Korea Rural Community and Agricultural 
Agriculture and Rural Infrastructure Corporation 
- Agricultural and Fishery Marketing  Korea Agro-Fisheries Trade  Corporation 
- Korea National Tourism Organization 
- Korea Labor Welfare Corporation 
- Korea Gas Corporation - Korea Railroad Corporation
 
  Construction Services  
 
Threshold : 15,000,000 SDR 
 List of Entities which Procure Services Specified in Annex 5 : 
 
Same as "Supplies" section 
 
 GPA/O/KOR/2 
Page 10  
 
Notes to Annex 3  
 
1. This Agreement does not apply to the products and services procured with a view to resale or to 
use in the production of goods or provision of services for sale. 
(N.B.:  Korea is willing to remove this note under the condition that it will be included in the 
revised GPA text. ) 
 
2. This Agreement does not apply to th e single tendering procurement inc luding  and set-asides for 
small- and medium-sized businesses accordi ng to the Government Invested Enterprise 
Management Law and Accounting Regulations  on Government Invested Enterprise. 
 
3. This Agreement does not apply to the procurement of satellites acc ording to the Aviation and 
Space Industry Development Promotion Law for five years from its entry into force for Korea.   GPA/O/KOR/2 
 Page 11 
 
 
ANNEX 4 
 
Services  
 
 
 Of the Universal List of Services, as contained in document MTN.GNS/W/120, the following 
services are included (others being excluded):  
GNS/W/120  CPC  Description  
1.A.b. 862 Accounting, auditing and bookkeeping services 1.A.c. 863 Taxation services 
1.A.d. 8671 Architectural services 1.A.e. 8672 Engineering services 1.A.f. 8673 Integrated engineering services 1.A.g. 8674 Urban planning and land scape architectural services 
1.B.a. 841 Consultancy services related to the installation of 
computer hardware 
1.B.b. 842 Software implementation services 1.B.c. 843 Data processing services 1.B.d. 844 Data base services 1.B.e. 845 Maintenance and repair services of office machinery 
and equipment (including computers) 
1.E.a. 83013 Rental/leasing services  without operato rs relating to 
ships 
1.E.b. 83104 Rental/leasing services  without operato rs relating to 
aircraft 
1.E.c. 83101, 83105* Rental/leasing servic es without operato rs relating to 
other transport equipment ( only passenger vehicles for 
less than fifteen passengers) 
1.E.d. 83106, 83108, 
83109 Rental/leasing services w ithout operators relating to 
other machinery and equipment 
 87107 Rental/leasing services without operator relating to 
construction machinery and equipment 
1.F.a. 8711, 8719 Advertising agency services 1.F.b. 864 Market research a nd public opinion polling services 
1.F.c. 865 Management consulting services 1.F.d. 86601 Project management services 
1.F.e. 86761* Composition and purity testing and analysis services 
(only inspection, testing and analysis services of air, water, noise level and vibration level) 
 86764 Technical inspection services GPA/O/KOR/2 
Page 12  
 
GNS/W/120  CPC  Description  
1.F.f. 8811*, 8812* Consulting services re lating to agriculture and animal 
husbandry 
 8814* Services incidental to fo restry (excluding aerial fire 
fighting and disinfection) 
1.F.g. 882* Consulting servi ces relating to fishing  
1.F.h. 883* Consulting serv ices relating to mining 
1.F.m. 86751, 86752 Related scientific and technical consulting services 
1.F.n. 633, 8861 
8862, 8863 8864, 8865 
8866 Maintenance and repair of equipment 
1.F.p. 875 Photographic services 
1.F.q. 876 Packaging services 1.F.r. 88442* Printing (screen printing,  gravure printing, and services 
relating to printing) 
1.F.s. 87909* - Stenography services 
  - Convention agency services 1.F.t. 87905 Translation and interpretation services 
2.C.j. 7523* On-line information and data-base retrieval 2.C.k. 7523* Electronic data interchange 
2.C.l. 7523* Enhanced/value-added facsimile services including 
store and forward, store and retrieve 
2.C.m. - Code and protocol conversion 2.C.n. 843* On-line information a nd/or data processing (including 
transaction processing) 
2.D.a. 96112*, 96113* Motion picture a nd video tape production and 
distribution services (excludi ng those services for cable 
TV broadcasting) 
2.D.e. - Record production a nd distribution services (sound 
recording) 
6.A. 9401* Refuse water disposal services (only collection and 
treatment services of industrial waste water) 
6.B. 9402* Industrial refuse dispos al services (only collection, 
transport, and disposal serv ices of industrial refuse) 
6.D. 9404*, 9405* Cleaning services of exhaust gases and noise abatement 
services (services other than construction work services) 
 9406*, 9409* Environmental testing and assessment services (only 
environmental impact assessment services)  GPA/O/KOR/2 
 Page 13 
 
 
GNS/W/120  CPC  Description  
9.A 6411  Hotel lodging services  
9.B 7471  Travel agency and tour operator services  
(N.B.:  Korea makes this commitment with the 
understanding that the current GTR (Government 
Transport Request) contract  awarded by the Korean 
Government with domestic airline companies does not belong to this service sector. ) 
11.A.b. 7212* International transport, excluding cabotage 
11.A.d. 8868* Maintenance a nd repair of vessels 
11.F.b. 71233* Transportation of co ntainerized freight, excluding 
cabotage 
11.H.c 748* Freight transport agency services 
 - Maritime agency services 
 - Maritime freight forwarding services  - Shipping brokerage services  - Air cargo transport agency services  - Customs clearance services 
11.I. - Freight forwarding for rail transport 
 
 Note to Annex 4  
1. Asterisks (*) designate "part of" as described in detail in the Revised Conditional Offer of the 
Republic of Korea Concerning Initial Commitments on Trade in Services. 
 GPA/O/KOR/2 
Page 14  
 
ANNEX 5 
 
Construction Services  
 
 
Definition : 
  A construction services contract is a contract  which has as its objective the realization by 
whatever means of civil or building works, in the sense of Division 51 of the Central Product 
Classification. 
 
Threshold :  5,000,000 SDR for entities set out in Annex 1 
   15,000,000 SDR for entities set out in Annex 2    15,000,000 SDR for entities set out in Annex 3  
 
List of constructi on services offered : 
 
CPC Description  
 
511 Pre-erection work at construction sites 
512 Construction work for buildings 
513 Construction work for civil engineering  514 Assembly and erection of prefabricated construction 
515 Special trade construction work 516 Installation work 
517 Building completion and finishing work 
518 Renting services related to  equipment for construction
 
  GPA/O/KOR/2 
 Page 15 
 
 
GENERAL NOTES 
 
(N.B.:  The Korean Government is prepared to rem ove the country-specific derogations it maintains 
against some GPA Parties provided that the Pa rties concerned give a comparable and effective 
access to Korea's undertakings to  their relevant markets.)  
 
1. Korea will not extend the benefits of this Agreement:   (a) as regards the award of contracts by the National Railroad Administration
 Korea 
Railway Corporation , 
 
 (b) as regards procurement for airports  by the entities listed in Annex 1, 
  (c) as regards procurement for urban trans portation (including subways) by the entities 
listed in Annexes 1 and 2, 
 
 to the suppliers and service providers of member  States of the European  Communities, Austria, 
Norway, Sweden, Finland and Switzerland, until su ch time as Korea has accepted that those 
countries give comparable and effective acces s for Korean undertaking s to their relevant 
markets. 
 
2. For goods and services (including construction services) of Canada and suppliers of such goods 
and services, this Agreement does not apply to pr ocurement by the entities listed in Annexes 2 
and 3.  Korea is prepared to am end this note at such time as coverage with respect to these 
Annexes can be resolved with Canada. 
 
3. A service listed in Annex 4 is covered with resp ect to a particular party only to the extent that 
such party has included that service in its Annex 4. 
 4. This Agreement shall not apply to procurem ent in furtherance of human feeding programmes.
 
(N.B.:  Korea adds this note mainly for the school lunch programme which can be considered 
government procurement.  It should be noted th at most GPA Parties have the same note as an 
exclusion of GPA.)  
__________