S.Korea, China plan free trade dialogue

Business

S.Korea, China plan free trade dialogue

Close

China and South Korea said Wednesday they will soon begin negotiations on a free-trade agreement.

02 May,2012 01:16 pm

According to the state media reports, the talks are expected to take two years.Chinese commerce minister Chen Deming and South Korea trade minister Park Tae-Ho made the announcement in Beijing, the official Xinhua news agency said. It did not say when the talks were expected to start.The two sides agreed in January to launch formal talks after South Korean President Lee Myung-Bak visited China.China is South Koreas largest trading partner and Beijing forecasts trade between the two sides will reach $300 billion by 2015, up from $245.6 billion last year, according to Chinese customs data.Chen said the free-trade agreement will cover goods, services, intellectual property rights and investment among other areas, Chinese state radio reported Wednesday.The negotiations will also include sensitive areas of thetwo economies, such as South Koreas agricultural sector and Chinas petrochemical, electronics and machinery industries, the report said.Chinas commerce ministry could not be reached for comment.South Koreas finance minister in January called for early negotiations on a free trade pact with China so that Seoul can compete against Taiwan in the lucrative Chinese market.Bahk Jae-Wan said a landmark pact between Beijing and Taipei in 2010 put South Korean firms at a great disadvantage.