You searched for: Content Type Policy Brief Remove constraint Content Type: Policy Brief Publishing Institution Peterson Institute for International Economics Remove constraint Publishing Institution: Peterson Institute for International Economics Political Geography Asia Remove constraint Political Geography: Asia Publication Year within 25 Years Remove constraint Publication Year: within 25 Years Publication Year within 5 Years Remove constraint Publication Year: within 5 Years Topic International Trade and Finance Remove constraint Topic: International Trade and Finance
- Author: Jeffrey Schott, Eujiin Jung, Cathleen Cimino-Isaacs
- Publication Date: 12-2015
- Content Type: Policy Brief
- Institution: Peterson Institute for International Economics
- Abstract: Of all the free trade agreements (FTAs) concluded by Korea with its major trading partners since the turn of the century, the Korea-China FTA may be the largest in trade terms. It is, however, far from the best in terms of the depth of liberalization and the scope of obligations on trade and investment policies. Korea and China agreed to liberalize a large share of bilateral trade within 20 years, but both sides incorporated extensive exceptions to basic tariff reforms and deferred important market access negotiations on services and investment for several years. Political interests trumped economic objectives, and the negotiated outcome cut too many corners to achieve such a comprehensive result. The limited outcome in the Korea-China talks has two clear implications for economic integration among the northeast Asian countries. First, prospects for the ongoing China-Japan-Korea talks will be limited and unlikely to exceed the Korea-China outcome. Second, Korea and Japan need to strengthen their bilateral leg of the northeast Asian trilateral and the best way is by negotiating a deal in the context of the Trans-Pacific Partnership.
- Topic: Economics, International Trade and Finance, Politics, Bilateral Relations
- Political Geography: United States, China, Asia, Korea