South Korea to upgrade ASEAN trade deal by 2029
South Korea will begin negotiations with ASEAN to upgrade its free trade agreement, as both parties aim to reach $300 billion in annual trade by 2029. The Ministry of Trade, Industry and Resources announced the plan after President Lee Jae Myung attended the Korea-ASEAN summit in Malaysia, where leaders agreed to modernize the pact signed in 2006.
Seoul and Kuala Lumpur signed a separate bilateral agreement on Monday that opens more than 90 percent of each market to the other. Trade Minister Yeo Han-koo said the Malaysia deal improves conditions for South Korean automotive, steel, and chemical exports while supporting cooperation in the digital economy, clean energy, and biohealth sectors.
ASEAN ranks as South Korea’s third-largest trading partner with exports reaching $114 billion last year. The updated framework will address digital commerce, supply networks, and environmental matters beyond the original goods, services, and investment agreements.
