South Korea’s Trade Of Ministry Will ‘Consider Joining The TPP’, But Have To Analyze The Impact To National Economy
On November 2013, Seoul has expressed its interest in taking part of the Trans-Pacific Partnership (TPP) - said to be the biggest ever free trade deal in the world, accounting for two-fifths of the world's trade. Currently, the TPP already has 12 members: namely, the U.S., Canada, Australia, New Zealand, Singapore, Malaysia, Chile, Peru, Brunei, Mexico, Japan, and Vietnam.
The Wall Street Journal noted on Monday that South Korea has again expressed its interest in joining the TPP, but would first have to do a thorough study on the significance of entering the deal on the country's economy.
According to the deputy chief of the trade ministry's office Yeo Han Koo, South Korea will "actively consider joining the TPP." He adds, "We welcome the agreement. It is important for the TPP to develop into an open, transparent and inclusive platform."
The economy of South Korea relies heavily on trade and has long prioritized bilateral free-trade agreements (FTA) with other nations.
The International Business Times noted on Jan. 13, 2014 that South Korea has been pushing for an FTA with China, which accounted for 26 percent of the country's exports in 2013.
"China is South Korea's number one trade partner, and there is no question that the talks will take priority this year," said a Korean negotiator in 2014.
To date, South Korea has entered an FTA with 10 out of the 12 TPP founding members, which may imply a lesser impact on joining the Asia-Pacific deal. However, Seoul officials recognize the implications of not being part of the deal while Japan enjoys the perks of reduced trade barriers amid a competing car and electronics export industries.
Rappler pointed out on Tuesday that the TPP may greatly benefit from countries with economic powers such as South Korea and a growing market such as India and Indonesia.
Apart from South Korea, other nations that have expressed interest in joining the Trans-Pacific Partnership include Thailand and the Philippines.