China and South Korea Sign an FTA, China Abolishs Tariffs on 91% of All South Korean Goods

China, S.Korea sign FTA deal

China and South Korea signed a free trade agreement (FTA) in Seoul on Monday, the largest bilateral FTA deal for China in terms of trade volume.

Under the accord, South Korea will eliminate tariffs on 92% of all products from China within 20 years, while China will abolish tariffs on 91% of all South Korean goods.
Under the regulations, in 20 years at most, China’s zero-tariff goods will reach 91% of tariff lines, 85% of imports, the Korean zero-tariff goods will reach 92% of tariff lines, 91% of imports. China will reduce the tariffs of the rice cookers, washing machines, refrigerators, medical equipment, appliance parts and other products to zero. South Korea will phase out the tariffs of motors and transformers, and phase out the tariffs of the handbags, golf clubs and other large household items imported from China in 15-20 years.

The countries began talks in May 2012 which covered 17 areas, including trade in goods and services, investment and trade rules as well as e-commerce and government procurement. (www.chinainout.com)