The Korean Ministry of Trade, Industry and Energy (MOTIE) announced that Trade Minister Cheong In-kyo held the 8th Multilateral Trade Strategy Meeting with the MOTIE and related ministries on Jan. 29.
In preparation for the 13th Ministerial Conference (MC-13) of the World Trade Organization (WTO) to be held in the United Arab Emirates (UAE) from Feb. 26 to 29, the meeting reviewed responses to major agendas including WTO reform, agricultural and fishery industry subsidies, investment facilitation, extension of duty-free practices for electronic transmissions, and domestic regulation on services.
On WTO reforms, a key agenda of the ministerial meeting, an informal reform discussion is underway with the aim of normalizing a dispute settlement system by 2024. Other issues on the table are institutional reforms to strengthen the WTO’s functioning and strengthening the deliberative function to respond to global trade challenges such as the proliferation of industrial policies and climate and environmental measures by countries.
In the area of fishery industry subsidies, efforts are underway to implement a previously concluded Phase I agreement on regulating illegal fishing subsidies. Also, a Phase II negotiation is underway on regulations for subsidies for overcapacity and overfishing. The multilateral negotiations on investment facilitation are co-chaired by South Korea with 119 countries participating since the text of the agreement was agreed on in July 2023. Outcomes such as incorporation into the WTO agreement are being pursued at the Ministerial Conference. A zero-tariff practice on electronic transmissions has been extended from the Second Ministerial Conference in 1998 to the Twelfth Ministerial Conference, but some developing countries have opposed the extension, citing reduced tax revenue and industrial protection, making it a key issue at the conference.
“As concerns about global trade contraction and fragmentation continue, the restoration of a multilateral trading system is crucial for a stable export and investment environment for Korean companies,” Trade Minister Cheong said in the meeting. “We will actively participate in discussions and respond with relevant ministries to achieve results on WTO reform and major negotiations with the 13th Ministerial Conference as a good opportunity.”