South Korea and Cambodia have launched a joint feasibility study on a potential free trade agreement(FTA).
South Korea's Trade Minister Yoo Myung-hee and her Cambodian counterpart Pan Sorasak announced the official launch of the joint FTA study Monday in Busan where South Korea is holding a two-day summit with Association of Southeast Asian Nations member states.
The Trade Ministry explained that FTA discussions were proposed at a summit in March. Following working-level talks, the two countries started the joint feasibility study.
It added that the move is expected to further boost South Korean trade ties in Southeast Asia, following preliminary agreements on the Comprehensive Economic Partnership Agreement with Indonesia in October and the China-led Regional Comprehensive Economic Partnership in November.
Yoo said that South Korea will seek a win-win FTA with Cambodia, sharing South Korea's experience in industrial development through economic cooperation as well as expanding South Korean firms' entry into the Southeast Asian market.
The ministry noted Cambodia's high growth potential, as the country has achieved around seven percent economic growth since 2011 and those aged 35 or younger account for some 72 percent of its total population.