"Special Tariff Benefits Continue After Brexit"…Government Holds Meeting with Industry

Ministry of Trade, Industry and Energy to Hold Industry Meeting on Brexit Response on 12th
Maintaining Stable Trade Relations Post-Brexit through Korea-UK FTA
"Opening Overseas FTA Support Centers, Hosting Webinars... Actively Promoting Use of Korea-UK FTA"

[Image source=AP Yonhap News]

[Asia Economy Reporter Moon Chaeseok] "Through the Korea-United Kingdom Free Trade Agreement (FTA) proactively signed last August, our companies can continue to enjoy the same preferential tariff benefits, such as duty-free exports, from the UK even after Brexit (the UK's withdrawal from the EU)."

The Ministry of Trade, Industry and Energy held a meeting with industry representatives at the Korea International Trade Association in Seoul at 3 p.m. on the 12th, chaired by Jeong Daejin, Director General of Trade Policy, to inform that companies will be able to enjoy these benefits even after Brexit in January next year.

According to the ministry, the UK has been in a transition period temporarily remaining in the European Union (EU) market since Brexit on January 31. Negotiations are underway to establish future relations such as trade agreements with the EU. The transition period is scheduled to end on January 31 next year.

Even after the UK's transition period ends on January 1 next year, the Korea-UK FTA will automatically come into effect. All domestic legal arrangements, including tariffs, have been completed.

The ministry explained that to ensure that Korean companies do not face any inconvenience in utilizing the Korea-UK FTA, it plans to open a "Korea-UK FTA Utilization Support Center" at the KOTRA London Trade Office next month.

The ministry shared the current status of trade agreement negotiations between the UK and the EU with attendees and listened to the industry's response status.

Korean companies positively evaluated that business continuity between Korea and the UK has been secured through the Korea-UK FTA and that most difficulties have been resolved.

They mentioned that depending on the outcome of negotiations between the UK and the EU, tariffs and customs clearance delays may occur in trade transactions between the two.

Director Jeong said, "We plan to continuously share Brexit-related information such as the Korea-UK FTA and UK-EU negotiation trends with the industry," adding, "In particular, on the 24th, we will hold a 'Brexit Response and Korea-UK FTA Utilization Guidance Webinar' to communicate with more companies, including those operating locally in Europe."

This content was produced with the assistance of AI translation services.