Does Australia Have A Free Trade Agreement With South Korea
When KAFTA came into force in December 2014, 84% of Australia`s merchandise exports (in value terms) entered the country duty-free. Full implementation eliminates tariffs on 99.8% of Australian exports (in value terms) to Korea. Trade and Investment Minister Andrew Robb announced that Australia`s free trade agreement with South Korea will enter into force on December 12, 2014. KAFTA offers Australian investors in Korea (as well as Korean investors in Australia) better protection and security, with provisions guaranteeing non-discrimination and investment security. In addition, government bonds can be taxed directly by Australian investors (and also by Korean investors) through an investor-state dispute settlement mechanism (ISDR). Kafta will enter into force once Korea and Australia have completed their domestic legal proceedings. KAFTA is a global, world-class agreement that significantly liberalizes Australia`s trade with Korea, our fourth largest trading partner. The agreement helps create a level playing field for Australian exporters that compete with those of the United States, the EU, Chile and the Association of Southeast Asian Nations (ASEAN) that benefit from existing trade agreements with Korea. KAFTA will strengthen and strengthen opportunities for Australian companies doing business with Korea and help them compete in other Asian markets. Bilateral investment between Australia and Korea has grown and diversified, with the stock of Korean investment in Australia increasing 25-fold between 2001 and 2012 to $12 billion.
The full text of the agreement as well as useful information on FTAs and fact sheets are available on the website of the Ministry of Foreign Affairs and Trade (DFAT) For any specific questions regarding the agreement, the E-Mail-KoreaFTA@dfat.gov.au or the DFAT phone on 02 6261 1111. Liberal MP Sharman Stone, representing Murray`s Victorian ally, criticised the deal for failing to cut tariffs on a number of Australian food exports. Austrade can help Australian companies become familiar with local market conditions and help develop export opportunities through a number of market and Australian services. According to the Australian Department of Foreign Affairs and Trade, Australia and Korea “have one of the strongest and most complementary trade relations in the Asia-Pacific region. The Korea-Australia Free Trade Agreement (KAFTA) reduces trade and investment barriers and allows Australians to do business with Korea, our fourth largest trading partner.  On the other hand, Trade Minister Andrew Robb wanted to issue Korea`s agreement to phase out its tariffs on Australian beef from 40 to 72 per cent over a 15-year period. Australian Trade Minister Andrew Robb and Korean Trade Minister Yoon Sang-jick concluded negotiations on the agreement in early December 2013 and the text of the agreement, which was legally reviewed, was signed by chief negotiators on February 10, 2014.  In April 2014, Australian Prime Minister Tony Abbott led a trade delegation to Japan, South Korea and China. The three economies accounted for more than half of Australia`s two-way trade.  During the South Korean leg of the mission, Abbott signed the Australia-Korea Free Trade Agreement (KAFTA) with the government of Park Geun-hye on April 8 in Seoul.
 The agreement came into force on December 12, 2014.  KAFTA has significantly improved the two-way reduction in tariffs on products between Australia and Korea. By 2033, 99.7% of Australia`s exports will be tariff-free and by 2021, 100% of Korean exports will be duty-free. In order to help certain market segments adapt to this new regulatory framework, certain tariffs will be phased out, including for certain vehicles and parts, steel, chemicals, plastics and textiles, as well as clothing and footwear. Services