Proposal for a COUNCIL DECISION on the renewal of the entitlement for co-productions as provided for in Article 5 of the Protocol on Cultural Cooperation to the Free Trade Agreement between the European Union and its Member States, of the one part, and the Republic of Korea, of the other part
Date: 2026-01-23
Institutions: Directorate-General for Communications Networks, Content and Technology, European Commission
Subjects: South Korea, audiovisual co-production, cultural cooperation, free-trade agreement, protocol to an agreement, trade agreement (EU)

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   EUROPEAN COMMISSION  Brussels, 23.1.2026  COM(2026) 23 final 2026/0014 (NLE)  Proposal for a COUNCIL DECISION on  the  renewal of the entitlement for co-productions as provided for in Article 5 of the Protocol on Cultural Cooperation to the Free Trade Agreement between the European Union and its Member States, of the one part, and the Republic of Korea, of the other part  
 
EXPLANATORY MEMORANDUM 

1. 

• 

CONTEXT OF THE PROPOSAL 

Reasons for and objectives of the proposal 

On the 1 October 2015, the Council adopted Decision (EU) 2015/2169 on the conclusion of 
the  Free  Trade  Agreement  between  the  European  Union  and  its  Member  States,,  of  the  one 
part, and the Republic of Korea, of the other part. 

The  Protocol  on  Cultural  Cooperation annexed  to  the  Free  Trade  Agreement  between  the 
European Union and its Member States, of one part, and the Republic of Korea, of the other 
part ('the  Protocol')(1),  sets  up  in  Article  1  the  framework  within  which  the  Parties  are 
to cooperate for the facilitation of exchanges regarding cultural activities, goods and services, 
including in the audiovisual sector. 

Pursuant  to  Article  5(8)(b)  of  the  Protocol,  following  the  initial  period  of  three  years  the 
entitlement will be renewed for further successive periods of the same duration, unless a Party 
terminates the entitlement by giving notice in writing at least three months before the expiry 
of the initial or any subsequent period. 

In accordance with that provision, the entitlement was already renewed four times for another 
period of three years.  The first  renewal  ran until  30 June 2017, the second one ran until  30 
June  2020,  the  third  one  ran  until  30  June  2023  and  the  fourth  runs  until  30  June  2026,  no 
Party having terminated the entitlement. 

Considering  that  Korea  is  in  favour  of  the  renewal  and  the  generally  positive  feedback  of 
stakeholders, it is now proposed that the Council agrees to the continuation of the entitlement 
for  another  three  years.  EU-Korean  co-productions  are  potentially  mutually  beneficial  both 
economically  and  culturally.  In  the  context  of  a  dynamic  Korean  market,  the  audiovisual 
entitlement  can  create  additional  opportunities  for  all  Member  States,  including  those  who 
have so far been unable to develop co-productions bilaterally. 

• 

Consistency with existing policy provisions in the policy area 

The  Creative  Europe  MEDIA  sub-programme  supports  the  development  and  distribution  of 
European audiovisual works from participating European countries. Beneficiaries from third 
countries may participate under certain schemes if certain conditions are met. 

Certain  schemes  help  create  an  environment  conducive  to  co-productions,  notably  the 
Markets  and  networking  but  also  the  Skills  and  Talent  Development  schemes  which  fund 
markets, networking meetings and workshops, including with Korea. 

• 

Consistency with other Union policies 

The Protocol on Cultural Cooperation was concluded by the EU and Korea in 2015 as part of 
the Free Trade Agreement. Specifically, it was seen as an instrument to  promote the United 
Nations Educational, Scientific and Cultural Organization (UNESCO) Convention of 2005 on 
the Protection and Promotion of the Diversity of Cultural Expressions. 

The existing entitlement foresees co-productions supported by groupings of national schemes 
and funds for audio-visual productions. The entitlement also allows the co-produced works to 
qualify as European works under the definition of European works referred to in Article 1 (n) 
(iii) in the Audiovisual and Media Service Directive (AVMSD). 

(1) 

The Protocol on Cultural Cooperation, OJ 2011 L 127, p. 1418. 

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2. 

• 

LEGAL BASIS, SUBSIDIARITY AND PROPORTIONALITY 

Legal basis 

Following the Court of Justice's judgment of 1 March 2022 in Case C-275/20 - Commission v 
Council (Accord avec la République de Corée),  (2) the legal  basis for the  proposed decision 
should be Article 3(1) of Council Decision (EU) 2015/2169 as amended by Council Decision 
(EU) 2022/2335. 

• 

Subsidiarity (for non-exclusive competence) 

The  renewal  of  the  entitlement  will  represent  an  opportunity  for  the  European  audiovisual 
industry to maintain its presence and further gain market shares, experience and knowledge in 
the Korean market, which is growing fast. 

Whilst  some  Member  States  have  successfully  undertaken  audiovisual  co-productions  on  a 
bilateral basis, many others still have not and therefore the entitlement at EU level still has the 
potential to allow for participation by a wider number of countries.  

• 

Proportionality 

Studies and data from the European Audiovisual Observatory have shown that co-productions 
lead to higher audiences. In 2024 EU27 films in Korea made up 13% of the films on release, 
but  only  0.60%  of  cinema  admissions.  The  gap  between  the  cinema  releases  and  the 
admissions shows that there is a big unexploited potential, and better collaboration could help 
tap into this potential. The co-production entitlement could create more opportunities for the 
European audiovisual  industry in  terms  of export and promotion to  Korea and a gateway to 
Asia.  Therefore,  implementation  of  the  coproduction  entitlement  would  help  build  market 
share  in  one  of  the  top  10  markets  by  box  office  in  2023  (USD  966  million,  125  million 
admissions).  In comparison, the presence of Korean films in the EU is quite limited.  In 2024, 
Korean films accounted for 0.59% of films on release and 0.12% of admissions in the EU. 

The lack of implementation of the protocol so far seems due to a continued lack of concrete 
information  about  the  incentives  available  for  co-productions  at  national  level.  Therefore, 
targeted  measures  should  now  be  taken  (covering  access  to  funding,  training,  network 
building),  both  at  European  and  national  level.  The  European  Commission  is  planning  to 
introduce some accompanying measures in the 2027 Creative Europe work programme. 

• 

Choice of the instrument 

In  accordance  with  Article  3(1)  of  Council  Decision  (EU)  2015/2169,  the  appropriate 
instrument to agree to the renewal of the entitlement is a Council decision. 

3. 

• 

RESULTS 
CONSULTATIONS AND IMPACT ASSESSMENTS 

EX-POST 

EVALUATIONS, 

OF 

STAKEHOLDER 

Ex-post evaluations/fitness checks of existing legislation 

Not Applicable 

• 

Stakeholder consultations 

The  Protocol  foresees  that  each  Party  shall  establish  a  Domestic  Advisory  Group  (DAG), 
comprised  of  cultural  and  audiovisual  representatives  active  in  the  fields  covered  by  this 
Protocol.  The  DAG  met  in  November  2025  in  order  to  evaluate  the  results  of  the 
implementation of the entitlement in terms of enhancement of cultural diversity and mutually 

(2) 

Case C-275/20 - Commission v Council (Accord avec la République de Corée), EU:C:2022:142. 

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beneficial  cooperation  on  co-produced  works.  Other  stakeholders  not  formally  part  of  the 
DAG were also consulted and provided their views in writing. 

Overall, feedback was generally positive, with several stakeholders emphasising the need for 
accompanying  measures  to  better  promote  the  entitlement  in  order  to  generate  concrete  co-
productions. 

Stakeholders  from  the  non-audiovisual  sectors  expressed  broad  support  for  continued 
cooperation and strongly welcomed the existence and renewal of the entitlement, particularly 
in the current geopolitical context. 

Among  audiovisual  stakeholders,  several  provided  positive  or  neutral  assessments. 
Representative  from  the  animation  sector  supported  maintaining  the  entitlement  and 
underlined  its  growing  relevance  given  the  strength  of  Korea’s  content  industry.  They  also 
noted concrete opportunities for cooperation, including training initiatives with KOCCA and 
regular Korean participation in Cartoon events.  Some independent producers pointed to low 
awareness  of  the  entitlement  among  European  producers  -  one  factor  limiting  its  use  -  and 
highlighted the complexity of Korean financing structures. They emphasised that, should the 
entitlement  be  renewed,  increased  visibility  and  practical  guidance  would  be  essential,  and 
offered  their  support.  Organisations  active  in  Asia  also  expressed  support,  noting  that  the 
“Netflix effect” has increased production costs in Korea and encouraged producers to look for 
international  partnerships.  Stakeholders  involved  in  Europe–Asia  cultural  cooperation 
likewise  indicated  that  the  entitlement  should  be  renewed,  provided  it  is  accompanied  by 
concrete  measures 
incentives,  networking 
opportunities,  and  monitoring  -  to  ensure  that  it  effectively  supports  EU–Korea  co-
productions and reinforces links between the respective cultural and creative sectors. 

-  such  as  awareness-raising,  guidance, 

Other  audiovisual  organisations  including  certain  independent  producers  expressed  negative 
views  and  opposed  the  renewal.  They  questioned  the  effectiveness  of  the  entitlement  and 
argued  that  co-production  agreements  fall  under  Member  State  competence.  They  also 
stressed the lack of regulatory reciprocity, in particular the absence of VOD quotas in Korea 
and  questioned  whether  granting  European-work  status  to  EU–Korea  co-productions  is 
appropriate. 

The Commission concluded that a renewal of the entitlement could provide an opportunity to 
promote it further and foresees accompanying measures.  

• 

Collection and use of expertise 

Studies and data from the European Audiovisual Observatory have shown that co-productions 
lead to higher international audiences. In 2024 EU27 films in Korea made up 13% of the films 
on release, but only 0.60% of cinema admissions. The gap between the cinema releases and 
the admissions shows that there is a big unexploited potential, and better collaboration could 
help  tap  into  this  potential.   The  Cultural  Cooperation  Committee  set  up  by  the  Protocol 
reviewed factors possible affecting the implementation of the audiovisual entitlement, the lack 
of awareness about opportunities and requirements for co-productions. 

• 

Impact assessment 

Not Applicable 

• 

Regulatory fitness and simplification 

Not Applicable 

• 

Fundamental rights 

Not Applicable 

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4. 

BUDGETARY IMPLICATIONS 

Not Applicable 

5. 

• 

OTHER ELEMENTS 

Implementation plans and monitoring, evaluation and reporting arrangements 

The  Commission  will  continuously  monitor  the  implementation  of  the  audiovisual  co-
production  entitlement,  drawing  on  data  from  the  European  Audiovisual  Observatory  and 
from industry, in particular as regards the animation sector. 

Once  a  year  a  Cultural  Cooperation  Committee  set  up  by  the  Protocol  meets  to  monitor 
progress and discuss challenges and opportunities. 

• 

Detailed explanation of the specific provisions of the proposal 

Article 1 renews the duration of the audiovisual entitlement from 1 July 2026 to 30 June 2029 
and  during  this  period  allows  EU-Korea  co-productions  to  benefit  from  the  schemes  of  the 
respective parties. 

Article  2  provides  that  the  Decision  shall  enter  into  force  on  the  date  of  adoption.  This  is 
necessary due to time constraints related to the obligation for the EU to notify the Republic of 
Korea  three  months  in  advance  if  the  EU  intends  not  to  renew  the  entitlement and  for  the 
Council  to  agree  four  months  before  the  end  of  the  entitlement  period  (30  June  2026)  to 
continue the entitlement. 

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2026/0014 (NLE) 

Proposal for a 

COUNCIL DECISION 

on  the  renewal of the entitlement for co-productions as provided for in Article 5 of the 
Protocol on Cultural Cooperation to the Free Trade Agreement between the European 
Union and its Member States, of the one part, and the Republic of Korea, of the other 
part 

THE COUNCIL OF THE EUROPEAN UNION, 

Having regard to the Treaty on the Functioning of the European Union, 

Having regard to Council Decision (EU) 2015/2169 of 1 October 2015 on the conclusion of 
the  Free  Trade  Agreement  between  the  European  Union  and  its  Member  States,  of  the  one 
part,  and  the  Republic  of  Korea,  of  the  other  part,  as  amended  by  Council  Decision  (EU) 
2022/2335[1], and in particular Article 3(1) thereof(1), 

Having regard to the proposal from the European Commission, 

Whereas: 

(1) 

(2) 

(3) 

(4) 

(5) 

On 1 October 2015, the Council adopted the Decision of 2015/2169 on the conclusion 
of the Free Trade Agreement between the European Union and its Member States, of 
the one part, and the Republic of Korea, of the other part. 

The Protocol on Cultural Cooperation annexed to the Free Trade Agreement between 
the European Union and its Member States, of the one part, and the Republic of Korea, 
of the other part ('the Protocol'), sets up in Article 1 the framework within which the 
Parties are to  cooperate for the facilitation of exchanges regarding cultural activities, 
goods and services, including in the audiovisual sector. 

The Protocol includes provisions on the entitlement for audiovisual co‐productions to 
benefit from the respective schemes of the Parties 

Pursuant to Article 5(8), point (b) of the Protocol, following the initial period of three 
years  the  entitlement  is  to  be  renewed  for  further  successive  periods  of  the  same 
duration, unless a Party terminates the entitlement by giving notice in writing at least 
three months before the expiry of the initial or any subsequent period. In accordance 
with  that  provision,  the  entitlement  was  last    renewed  until  30  June  2026,  no  Party 
having terminated it. 

In  accordance  with  Article  3(1)  of  Decision  (EU)  2015/2169,  the  Commission  is  to 
provide notice to Republic of Korea of the Union’s intention not to extend the period 
of  entitlement  to  co-production  pursuant  to  Article  5  of  the  Protocol  following  the 
procedure  set  out  in  Article  5(8)  of  the  Protocol  unless,  on  a  proposal  from  the 
Commission,  the  Council  agrees  four  months  before  the  end  of  such  period  of 
entitlement  to  continue  the  entitlement.  If  the  Council  agrees  to  continue  the 

(1) 

Council  Decision  (EU)  2022/2335  of  28  November  2022 amending  Decision  (EU)  2015/2169 on  the 
conclusion of the Free Trade Agreement between the European Union and its Member States, of the one 
part, and the Republic of Korea, of the other part 

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(6) 

(7) 

(8) 

entitlement,  that  procedure  is  to  become  applicable  again  at  the  end  of  the  renewed 
period of entitlement. 

On  12  December  the  Committee  on  Cultural  Cooperation  assessed  the  results  of  the 
implementation  of  the  entitlement  in  terms  of  enhancement  of  cultural  diversity  and 
mutually beneficial cooperation on co-produced works as provided for by Article 5(8), 
point (a) of the Protocol. 

The Domestic Advisory  Group provided for in  Article 3(5) of the Protocol  has been 
consulted on the  renewal of the period of entitlement, as provided for in Article 5(8) 
of the Protocol. 

The  Council  agrees  to    renew  the  entitlement  as  EU-Korean  co-productions  are 
potentially  mutually  beneficial  both  economically  and  culturally.  The  audiovisual 
entitlement can create additional opportunities for all Member States, including those 
who have so far been unable to develop co-productions bilaterally. 

(9) 

This  Decision  should  not  affect  the  respective  competences  of  the  Union  and  the 
Member States. 

HAS ADOPTED THIS DECISION: 

Article 1 

The  period  of  entitlement  for  audiovisual  co-productions  to  benefit  from  the  respective 
schemes of the Parties for the promotion of local/regional cultural content, as provided for in 
paragraphs 4 to 7 of Article 5 of the Protocol, shall be  renewed for a duration of three years, 
from 1 July 2026 to 30 June 2029. 

Article 2 

Entry into force 

This Decision shall enter into force on the date of its adoption. 

Done at Brussels, 

For the Council 
The President 
[...] 

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