Trade Protectionism
The number of new import regulations against products exported from Korea increased to 34 last year. Countermeasures should be prepared to minimize the damage.
The Institute for International Trade (IIT) of the Korea International Trade Association (KITA) published a related report on February 9 and added that a total of 34 lawsuits were filed worldwide to regulate the import of Korean products in 2013 alone. The number is equal to the number recorded in 1982, and just two less than in 2002. 141 import regulatory measures were in practice around the world as of the end of last year, including those cases under investigation. The IIT advised that a coordinated and well-organized response by the government, authorities concerned, and corporate sector is required to keep the potential damage to the minimum.
“The increase in import regulations can be attributed to Korean products’ rising shares in the global markets,” the report read. Specifically, 20 out of the 74 HS-6 products subject to litigation last year were those with which Korea took the first to third spot in the global export market. Besides, major export items such as steel, chemical, and plastic products are subject to an increasing number of trade regulatory measures.
The report also warned that emerging economies are overusing safeguard measures targeting Korean products on purpose. Such countries can invoke safeguards against any countries, but Korea has become one of their main targets due to its high export ratio.