KOTRA Opens 'Korea-UK FTA Utilization Support Center' in London, UK

KOTRA opened the "Korea-UK FTA Overseas Utilization Support Center" in London, UK, on the 1st. Cho Young-soo, Head of KOTRA London Trade Center (right), and Moon Sang-min, Commercial Attach? of the Korean Embassy, are conducting the plaque ceremony in London, UK.

[Asia Economy Reporter Kiho Sung] KOTRA, together with the Ministry of Trade, Industry and Energy, opened the 'Korea-UK FTA Overseas Utilization Support Center' in London, UK on the 1st. KOTRA supports Korean companies in utilizing the 'Korea-UK FTA' signed between the Korean government and the UK in preparation for the post-Brexit era through the center.

The center, established at the KOTRA London Trade Center, provides consultations on tariffs, customs clearance, and certification to help our export companies easily utilize the Korea-UK FTA and shares relevant information. It supports resolving anticipated difficulties for Korean companies due to Brexit and conducts promotional activities on the Korea-UK FTA targeting local companies, buyers, and investors.

The opening ceremony, held online due to the COVID-19 pandemic, was attended by Youngsoo Cho, Head of KOTRA London Trade Center, and Sangmin Moon, Commercial Attach? of the Korean Embassy, who conducted the plaque unveiling. Experts who are scheduled to serve as advisors to the center watched the ceremony via video conference and offered congratulations.

Jumsu Kim, President of the Korea Chamber of Commerce in the UK (KOCHAM), said, “We expect the center to actively work to resolve confusion regarding preferential tariff application and customs clearance that companies may face in the early stages of the Korea-UK FTA enforcement,” and added, “We hope the center will monitor changes in the European internal market resulting from future relationship negotiations between the UK and the European Union (EU) to support our companies’ entry into the UK and Europe.”

Currently, the UK and the EU are conducting future relationship negotiations aligned with the Brexit transition period ending this year, but they have not narrowed differences on sensitive issues such as fishing rights and fair competition. If the future relationship negotiations between the two sides fail, a so-called ‘no-deal’ Brexit will occur. In this case, the UK will completely lose its status as an EU member state, raising concerns that Korean companies will not be able to use the benefits of the ‘Korea-EU FTA’ previously utilized for exports within the EU market for exports to the UK.

However, since the ‘Korea-UK FTA’ between Korea and the UK is expected to come into effect, the same preferential trade status as the Korea-EU FTA can be maintained. If the Brexit transition period ends as expected on December 31 of this year, the Korea-UK FTA will come into effect on January 1 of next year.

The ‘Korea-UK FTA Overseas Utilization Support Center’ will begin its corporate support system from this month, one month ahead, considering the Japan-UK Comprehensive Economic Partnership Agreement (CEPA), which is also expected to come into effect around the same time. KOTRA and the Ministry of Trade, Industry and Energy operate ‘FTA Overseas Utilization Support Centers’ at a total of 15 KOTRA overseas trade centers in 8 countries, including London, UK.

Kwon Pyung-oh, President of KOTRA, stated, “We are making efforts to ensure that Korean companies operating in the UK do not suffer confusion due to Brexit uncertainties,” and added, “We will do our best to resolve difficulties faced by our companies through the Korea-UK FTA Utilization Support Center.”

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