South Korea will step up efforts to streamline regulations, distribution
structure and other systems that could hamper the successful implementation of
the free trade agreement (FTA) with the United States, the finance minister said
Tuesday.
"We will improve inefficient systems such as the complex
distribution structure and other regulations that could pose a hindrance to the
FTA with the U.S.," Finance Minister Bahk Jae-wan said during a meeting with
other policymakers.
He vowed to provide more information on
customs-clearing process, industry trends and others to domestic companies to
help them better capitalize on the environment to be created by free trade deal
with the world's largest economy.
South Korea is to enforce the South
Korea-U.S. FTA, also known as KORUS FTA, on Thursday. The scheduled
implementation of the free trade pact will come amid growing calls from
opposition parties to renegotiate the agreement, which they claim unfairly
favors the U.S.
The main opposition Democratic United Party has vowed
to scrap the pact if it wins April's general elections, unless Washington agrees
to hold renegotiations to revise some clauses.
They also claim the
so-called investor-state dispute (ISD) mechanism between the Seoul government
and foreign investors undermines South Korea's legal independence.
Bahk said that the government will launch a task force to address
"misunderstanding and concerns that some people might have about the
ISD."
He also promised to help farmers and smaller companies enhance
their competitiveness and survive under the free trade environment.
South Korea is currently seeking to expand what it calls its "economic
territory" by striking free trade deals. Seoul is also working hard to explore
such deals with its neighboring countries, including China and Japan.
In particular, the minister said that the government will thoroughly prepare for
discussions on an FTA with China in order to make the deal into "another
stepping stone for our economic development."
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