November 15, 2013
Data compiled by the Ministry of Trade, Industry and Energy shows that joining the United States’ multilateral trade pact known as the Trans-Pacific Partnership (TPP) could boost South Korea’s GDP by 2.6% in 10 years. Conversely, if South Korea does not join the pact, the country’s GDP could drop by 0.19%. The electronics and petrochemical industries support the agreement while other industries are apprehensive. Currently, South Korea is seeking a bilateral agreement with China and participating in negotiations for the Regional Comprehensive Economic Partnership, a multilateral free trade agreement for East Asia. Analysts calculate that the TPP deal “would account for about 40 percent of the global economy”.