Turkey and South Korea sign FTA
Turkey and South Korea signed a Free Trade Agreement (FTA) yesterday which will increase the volume of trade between the two countries by around $10 billion within two to three years and up to $20 billion in the future.
The FTA was signed by South Korean Trade Minister Tae-ho and the Turkish Minister of Economy Zafer Çağlayan. The deal between the two countries, which has to be ratified by their parliaments, will eliminate tariffs on most goods within ten years whilst tariffs on Korean vehicles and auto-parts will be reduced within seven years and five years respectively. Around 85% of Turkish exports to South Korea will be tariff free once the FTA comes into effect.
Further talks are scheduled between the two countries later this year to discuss a similar agreement on services and investment.