Trade between the two countries amounted to £14.6 billion last year and has grown by an average of 12% a year since the EU signed a free trade agreement with South Korea in 2011. British exports to South Korea have grown by an average of 18% per year since 2011. British cars are particularly in demand, with exports rising by a third to £943 million in 2018. The move comes at a time when ministers are trying to secure post-Brexit deals to retain trade rights on preferential terms with countries with which the UK already has an EU accession agreement. The UK has reached a provisional trade deal with South Korea to avoid disruption if the UK leaves the EU without a deal. As part of its preparations for Brexit, the UK has also signed trade agreements with a group of Caribbean countries, the Eastern and Southern African trading bloc, Iceland, Israel and Norway, and several small countries. In order to ensure the continuity of existing EU trade agreements in which the UK participates as an EU member state, the UK has so far signed 13 trade agreements with 38 countries, such as Chile and Switzerland. [2] South Korea is the first Asian trading partner to sign a trade continuity agreement with the UK that will be implemented after Brexit. The following UK geographical indications, including “cross-border geographical INDICATIONS” relating to the territory of Northern Ireland and the Republic of Ireland, are protected by this agreement: Ms Truss said the agreement would allow companies such as luxury car manufacturer Bentley to “continue to act as they do today and will be able to seize opportunities to: that Brexit offers.” The UK-Korea trade deal now needs to be ratified by both parliaments before it can enter into force.

With legislative approval, the agreement will enter into force either on 31 October 2019 in the event of a no-deal Brexit, or at the end of the transition period if the UK ratifies the Withdrawal Agreement. The tariff quotas in the agreement have been specifically adapted to the United Kingdom. The Department for International Trade said the deal would allow British companies to continue trading with the Asian nation on preferential terms. In 2018, 99% of UK exports to South Korea were exported duty-free. You should check with the relevant customs authorities for your trade between the UK and South Korea. In particular, the rules of origin agreed under the UK-South Korea trade agreement will be reviewed no later than 24 months after the entry into force of the trade agreement. [2] UK DIT, UK trade agreement with non-EU countries in the case of a no-deal Brexit (15 August 2019), www.gov.uk/guidance/uk-trade-agreements-with-non-eu-countries-in-a-no-deal-brexit#signed-trade-agreements. The rest includes the Andean countries of the western part of South America, some Central American countries, the Caribbean Forum Trading Bloc (CARIFORUM), the Eastern and Southern African Trading Bloc (ESA), the Faroe Islands, Iceland and Norway, Israel, Liechtenstein, the Pacific States and the Palestinian Authority. In a statement, Fox said: “The value of trade between the UK and Korea has more than doubled since the implementation of the EU-Korea deal in 2011. Ensuring the continuity of our trading relationship will allow businesses in the UK and Korea to continue trading without additional barriers, which will help us further increase trade in the years to come. Therefore, it remains important to monitor these renegotiations, in particular the rules of origin, as the UK-Korea Free Trade Agreement only allows UK products with an EU-27 content to benefit temporarily from preferential treatment under the agreement for three years.

On 22 August 2019, the United Kingdom (UK) and the Republic of Korea (Korea or South Korea) signed a Continuity Free Trade Agreement (FTA). [1] In the event of a no-deal Brexit on 31 October 2019, the uk-Korea trade deal will enter into force, allowing UK and Korean companies to continue to act on the same preferential terms under the EU-Korea Free Trade Agreement. The United Kingdom and Korea have agreed to apply in the new agreement the same concessions as existed under the EU-Korea Free Trade Agreement, in force since July 2011. Under the EU-Korea Free Trade Agreement, no customs duties are imposed on all industrial products and on 98% of agricultural products. [4] This also applies to bilateral trade between the UK and Korea under the UK-Korea Free Trade Agreement. [5] As a result, 99% of UK products would enter the Korean market duty-free and vice versa. In particular, automobiles and auto parts are exported duty-free. The agreement is expected to enter into force on 1 January 2021 (or as soon as possible thereafter). These guidelines contain information on aspects of trade that will change once the AGREEMENT between the United Kingdom and South Korea enters into force.

This is for British companies that trade with South Korea. Tariffs on bilateral trade in goods between the UK and South Korea will continue to apply once the agreement enters into force. However, in some cases, customs duties that are not preferentially applied may in fact be lower due to changes in the TARIFF REGIME of the United Kingdom`s most-favoured-nation clause. Companies such as beverage company Diageo and law firm Clifford Chance welcomed the deal, as did the Scotch Whisky Association. The latter said South Korea was a major market for Scotch whisky, worth £70 million last year. You can continue to use EU processing materials or products in your exports to South Korea. The United Kingdom and Korea must have complied with the necessary requirements of the Protocol on Rules of Origin. You must also ensure that the work or processing you perform in the United Kingdom goes beyond the minimum operations set out in the Agreement and that the other relevant conditions are met.

Geographical indications protect the geographical names of food, beverages and agricultural products. The existing geographical indications of the United Kingdom and South Korea shall remain covered by this Agreement. The two countries have agreed on the principle of a free trade agreement that will allow businesses to continue trading freely after Brexit, even in a no-deal scenario. While the UK-Korea Free Trade Agreement replicates the EU-Korea Free Trade Agreement, the UK and Korea have agreed to resume negotiations within two years to revise the UK-Korea trade agreement to go beyond the EU-Korea Free Trade Agreement. In particular, if the UK leaves the EU with the Withdrawal Agreement, the UK and Korea have agreed to start negotiations immediately during the transition period. .