South Korea said on Wednesday that it is signing trade agreements with five Central American nations aimed at boosting market access for the Korean automotive and electronics sectors.
Trade Minister Kim Hyun-chong will meet representatives from Costa Rica, El Salvador, Honduras, Nicaragua and Panama in Seoul on Wednesday to sign five separate bilateral agreements which will eliminate duties on about 95 percent of traded goods and services, South Korea’s trade ministry said in an e-mailed statement.
The agreements are subject to parliamentary approval in each country, and is likely to take effect at different times depending on the ratification process.
The five trade pacts will give South Korea access to key Central American countries, following its deals with the U.S., the EuropeanUnion and China which helped boost exports.
“The South Korea-Central America free trade deals will enable the countries to build a more comprehensive, strategic partnerships going forward,” Kim said.
The ministry expects the five deals to accelerate South Korea’s economic growth by an overall 0.02 percent in the next 10 years, by boosting exports of cars, steel, cosmetics products, and auto components.