Thailand and South Korea are set to commence negotiations for an economic partnership agreement (EPA), signaling the start of discussions towards establishing a free trade deal by the end of 2025 or early 2026.
According to Commerce Minister Phumtham Wechayachai, the agreement, set to bolster Thailand’s position in the global market and attract South Korean investment in various sectors, is the first series of Free Trade Agreement (FTA) discussions under the current Thai government. The cooperation seeks to enhance bilateral trade and investment flows between the two nations, building upon existing ASEAN-Korea and Regional Comprehensive Economic Partnership (RCEP) agreements.
The FTA is anticipated to benefit a variety of Thai products, including food, wood, and chemical products, and open the South Korean market to Thai service industries. South Korea, which is among Thailand’s top trading partners, has previously invested in Thailand’s electronics and automotive sectors. The proposed EPA is anticipated to further expand trade in key areas such as automobiles, construction, and technology, enhancing supply chain resilience and promoting clean and biotechnologies.
Negotiations are scheduled to kick off in mid-2024 with hopes of concluding by late 2025. (NNT)
