Friday, December 6, 2013

South Korea participates in TPP

South Korea is willing to participate in the Trans Pacific Partnership (TPP)

The National Business Review: Korea suddenly wants into TPP, resumes FTA talks with NZ

TPP is an economic alliance among the nations. The participants are encouraged to get rid of any barrier, either economic or other social, to proceed free trade. Now, the US, Canada, Japan, and other several countries have declared to join in.

In Japan, a wide discussion was burned up before the political decision to participate in TPP. Some economists warned that Japan would be exploited by the US. Others were afraid of the damage traditional farmers would suffer due to import of low cost crops.

South Korea had not shown any curiosity to join TPP. It seemed that Korea was much concerned about rather Free Trade Agreement (FTA), bilateral  alliance, than TPP. The most crucial reason why Korea has changed the policy is requirement of growing export. Korean economy strongly depends on export. However, FTA with China or Japan is not progressing now. South Korea had no choice than joining TPP.

Some insist that South Korea should not participate in TPP because that help Korea to keep good relationship with China. During FTAs works effectively South Korea had no disadvantage due not to join TPP. However, it seems to be difficult for Korea to handle the situation without TPP now.

The Diplomat: Korea Should Stay Out of the TPP – For Now

Decided to join TPP, South Korea will be not able to control the regulation regarding the trade in TPP, because it is too late to take part in the argument. South Korea will face to the tough time, I am afraid.


No comments:

Post a Comment