PH-Korea free trade deal to take effect Dec. 31


The new year will make yet another significant moment in the Philippines-South Korea relations as the Free Trade Agreement (FTA) between the two countries are set to take effect.

The Korean Embassy in Manila on Monday, Dec. 23, announced that the landmark deal between Manila and Seoul "will officially come into effect on December 31, 2024," making a "momentous occasion" that will mark "a bold stride towards a new era of unparalleled cooperation between the two nations."

According to the embassy, the FTA will unlock significant opportunities for both countries by fostering deeper trade and investment ties across key sectors.

These will include industry, agriculture, infrastructure, and energy.

The agreement, said the embassy, will pave the way for economic growth.

"With a comprehensive scope covering 97 percent of imports, the FTA will significantly enhance market access for Philippine products like bananas and pineapples in the Korean market," it said.

"Moreover, Korean companies will contribute to the Philippines' economic development by creating quality jobs through expanded investments in advanced manufacturing, including automobiles, electronics, and energy," it added.

The FTA will also extend beyond economic gains of both countries, said the embassy.

It said it will serve "as a catalyst for shaping the future of both countries, fostering collaboration in forward-looking areas such as healthcare, carbon reduction, innovative technologies, and electric vehicle."

"The entry into force of the Korea-Philippines FTA marks the dawn of a new era in our strategic partnership," Korean Ambassador to Manila Lee Sang-hwa said.

Lee expressed his gratitude for the collaborative efforts of both governments as he acknowledged that "the FTA's early entry into force, achieved a year ahead of schedule, is a testament to our shared commitment."

"The Korean government will actively collaborate with the Philippine government to ensure that the FTA realizes its maximum potential in strengthening economic ties and fostering deeper cooperation between our two nations," he added.