Korea-Singapore Free Trade Agreement (KSFTA)
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FREE TRADE AGREEMENT BETWEEN
THE GOVERNNMENT OF THE REPUBLIC OF KOREA AND THE GOVERNMENT OF THE REPUBLIC OF SINGAPORE
The Government of the Republic of Korea (“Korea”) and the Government of the
Republic of Singapore (“Singapore”), hereinafter referred to as “the Parties”;
Conscious of their bonds of longstanding friendship and strong trade and investment relationship;
Recalling the establishment of a Joint Study Group to examine the benefits of a Free Trade Agreement between the Government of the Republic of Korea and the Government of the Republic of Singapore (“Korea-Singapore FTA”) in October 2002;
Desiring to adopt the recommendations in the Joint Study Group Report that the Parties proceed to negotiate the Korea-Singapore FTA, and that the Joint Study Group Report should serve as a framework for negotiations on the FTA;
Reaffirming their commitment to securing trade liberalisation and an outward-looking approach to trade and investment;
Convinced that their economic integration would generate larger economies of scale, provide greater work opportunities, and enhance transparency for economic activities for their businesses as well as for other businesses in Asia;
Sharing the belief that a free trade agreement between the Parties would improve their attractiveness to capital and human resources, and create larger and new markets, to expand trade and investment not only between them but also in the region;
Affirming their commitment to fostering the development of open market economy in Asia, and to encouraging economic integration of Asian economies in order to further the liberalisation of trade and investment in the region;
Reaffirming that this Agreement shall contribute to the expansion and development of world trade under the multilateral trading system embodied in the Marrakesh Agreement Establishing the World Trade Organization (“the WTO Agreement”);
Building on their respective rights and obligations under the WTO Agreement and other multilateral, regional and bilateral instruments of co-operation; and
Resolved to promote reciprocal trade and investment, and to avoid circumvention of benefits of regional trade integration, through the establishment of clear and mutually advantageous trade rules, and industry as well as regulatory co-operation;
HAVE AGREED as follows:
ARTICLE 1.1 : ESTABLISHMENT OF FREE TRADE AREA
The Parties to this Agreement, consistent with Article XXIV of GATT 1994 and
Article V of GATS, hereby establish a free trade area in accordance with the provisions
of this Agreement.
ARTICLE 1.2 : OBJECTIVES
The objectives of this Agreement, as elaborated more specifically through its principles and rules, including national treatment, most-favoured-nation treatment and transparency, are to:
(a) liberalise and facilitate trade in goods and services and expand investment between the Parties;
(b) establish a co-operative framework for strengthening the economic relations between the Parties;
(c) establish a framework conducive for a more favourable environment for their
businesses and promote conditions of fair competition in the free trade area;
(d) establish a framework of transparent rules to govern trade and investment between the Parties;
(e) create effective procedures for the implementation and application of this
(f) establish a framework for further regional and multilateral co-operation to expand and enhance the benefits of this Agreement throughout Asia, and thereby, to encourage economic integration of Asian economies.
ARTICLE 1.3 : RELATION TO OTHER AGREEMENTS
a view to finding a mutually satisfactory solution, taking into consideration general principles of international law.
ARTICLE 1.4 : REFERENCE TO OTHER AGREEMENTS
GATS includes the interpretative notes, where applicable.
For the purposes of this Agreement, unless otherwise specified: Agreement means this free trade agreement between the Parties; APEC means the Asia-Pacific Economic Co-operation;
(a) with respect to Korea, a Korean as defined in Article 2 of the Constitution of
the Republic of Korea and its domestic laws; and
(b) with respect to Singapore, any person who is a citizen within the meaning of its Constitution and domestic laws;
Custom Valuation Agreement means the Agreement on Implementation of Article VII
of the General Agreement on Tariff and Trade 1994, which is part of the WTO Agreement;
days means calendar days including weekends and holidays;
enterprise means any corporation, company, association, partnership, trust, joint venture, sole-proprietorship or other legally recognised entity that is duly incorporated, constituted, set up, or otherwise duly organised under the law of a Party, including branches, regardless of whether or not the entity is organised for pecuniary gain, privately or otherwise owned, or organised with limited or unlimited liability;
existing means in effect at the time of entry into force of this Agreement;
GATS means the General Agreement on Trade in Services, which is a part of the WTO Agreement;
GATT 1994 means the General Agreement on Tariffs and Trade 1994, which is a part
of the WTO Agreement;
Generally Accepted Accounting Principles means the recognised consensus or substantial authoritative support in the territory of a Party with respect to the recording
of revenues, expenses, costs, assets and liabilities, the disclosure of information and the preparation of financial statements. These standards may encompass broad guidelines of general application as well as detailed standards, practices and procedures;
Harmonized System (HS) means the Harmonized Commodity Description and Coding
System, including its General Rules of Interpretation, Section Notes and Chapter Notes;
measure means any law, regulation, procedure or administrative action, requirement or practice;
national means a natural person who is a citizen or permanent resident of a Party;
permanent resident means any person who has the right of permanent residence in the territory of a Party;
person means a natural person or an enterprise;
person of a Party means a national or an enterprise of a Party;
(a) with respect to Korea, the land, maritime, and air space under its sovereignty, and those maritime areas, including the seabed and subsoil adjacent to the outer limit of the territorial sea over which it exercises sovereign rights or jurisdiction in accordance with international law and its domestic law; and
(b) with respect to Singapore, its land territory and airspace above in accordance
with international law, internal waters and territorial sea as well as the maritime zones beyond the territorial sea, including the seabed and subsoil, over which the Republic of Singapore exercises sovereign rights or jurisdiction under its national laws and international law for the purpose of exploration and exploitation of the natural resources of such areas; and
WTO Agreement means the Marrakesh Agreement Establishing the World Trade
Organization, done on April 15, 1994.
NATIONAL TREATMENT AND MARKET ACCESS FOR GOODS
ARTICLE 3.1 : DEFINITIONS
For the purposes of this Chapter:
other duties or charges means any duty or charge of any kind, except customs duty, imposed on or in connection with the importation of goods of the other Party, but does not include any:
(a) duty imposed pursuant to Chapter 6 (Trade Remedies);
(b) charge equivalent to an internal tax imposed consistently with Article III:2 of
(c) fee or other charge in connection with importation commensurate with the cost of services rendered;
(d) premium offered or collected on an imported good arising out of any tendering system in respect of the administration of quantitative import restrictions, tariff rate quotas or tariff preference levels; or
(e) duty imposed pursuant to Article 5 of the WTO Agreement on Agriculture.
ARTICLE 3.2 : SCOPE AND COVERAGE
This Chapter shall be applied to the trade in goods between the Parties.
ARTICLE 3.3 : NATIONAL TREATMENT
Each Party shall accord national treatment to the goods of the other Party in accordance with Article III of GATT 1994. To this end, Article III of GATT 1994 is incorporated into and made part of this Agreement.
ARTICLE 3.4 : TARIFF ELIMINATION
eliminate its customs duties and other duties or charges on originating goods of the other Party in accordance with its Tariff Elimination Schedule set out in Annex 3A.
ARTICLE 3.5 : CUSTOMS VALUATION
The Parties shall apply Article VII of GATT 1994 and the provisions of Part I of the Customs Valuation Agreement for the purposes of determining the customs value of goods traded between the Parties.
ARTICLE 3.6 : EXPORT DUTY
Neither Party shall adopt or maintain any duties on goods exported from its territory into the territory of the other Party.
ARTICLE 3.7 : GOODS RE-ENTERED AFTER REPAIR OR PROCESS
In accordance with its domestic laws and regulations, each Party may exempt or reduce a customs duty to a good, regardless of its origin, that re-enters its territory after that good has been exported or if it was under a temporary exit from its territory to the territory of the other Party for repair or process, regardless of whether such repair or process could be performed in its territory.
ARTICLE 3.8 : IMPORT AND EXPORT RESTRICTIONS
importation of any good of the other Party or on the exportation or sale for export of any good destined for the territory of the other Party, except in accordance with rights and obligations under the WTO Agreement, or except as otherwise provided in this Agreement.
ARTICLE 3.9 : CUSTOMS USER FEES
Customs user fees shall be limited in amount to the approximate cost of services rendered and shall not represent an indirect protection for domestic products or a taxation of imports or exports for fiscal purposes. They shall be based on specific rates that correspond to the real value of the service rendered.
ARTICLE 3.10 BALANCE OF PAYMENT EXCEPTION
or threat thereof, it may, in accordance with GATT 1994 and the Understanding on the Balance-of-Payments Provisions of GATT 1994, adopt restrictive import measures. The relevant provisions of GATT 1994 and the Understanding on the Balance-of-Payments Provisions of GATT 1994 are hereby incorporated into and made part of the Agreement.
RULES OF ORIGIN
ARTICLE 4.1 : DEFINITIONS
For the purposes of this Chapter:
customs value means:
(a) the price actually paid or payable for a good or material with respect to a transaction of the seller of the good, pursuant to the principles of Article 1 of the Customs Valuation Agreement, adjusted in accordance with Article 8 of the Customs Valuation Agreement; or
(b) in the event that there is no such value or such value of the good is unascertainable, the value determined in accordance with Articles 2 through 7
of the Customs Valuation Agreement;
F.O.B. means free on board value of a good payable by the buyer to the seller, regardless of the mode of transportation, not including any internal excise taxes reduced, exempted, or repaid when the good is exported;
fungible goods or materials means goods or materials that are interchangeable for commercial purposes and whose properties are essentially identical;
good means any merchandise, product, article or material;
goods wholly obtained or produced entirely in the territory of one or both of the
(a) mineral goods extracted there;
(b) plants and plant products grown and harvested, picked or gathered there;
(c) live animals born and raised there;
(d) goods obtained from hunting or trapping conducted there;
(e) goods obtained from fishing within the outer limit of the territorial sea of one
or both of the parties;
(f) products of sea-fishing and other products taken from the sea outside of the territorial sea of one or both of the Parties by vessels registered or recorded with a Party and flying its flag;
(g) goods produced on board factory ships from the goods referred to in paragraph (f), provided such factory ships are registered or recorded with one
of the Parties and flying its flag;
(h) goods taken by a Party or a person of a Party from the seabed or beneath the seabed outside territorial waters, provided that the Party has rights to exploit such seabed;
(i) goods taken from outer space, provided that they are obtained by a Party or a
person of a Party and not processed in the territory of a non-Party;
(j) waste and scrap derived from:
(i) production there; or
(ii) used goods collected there, provided that such goods are fit only for the recovery of raw materials; and
(k) goods produced in the territory of one or both of the Parties exclusively from goods referred to in paragraphs (a), (b), (c), (d), (e), (f), (g), (h), (i) and (j),
or from their derivatives, at any stage of production;
intermediate material means a material that is self-produced and used in the production of a good, and designated pursuant to Article 4.7;
material means a good that is used in the production of another good and physically incorporated into the good;
non-originating good or non-originating material means a good or material that does not qualify as originating under this Chapter;
originating material means a material that qualifies as originating under Article 4.2;
packing materials and containers for shipment means goods used to protect a good during its transportation, different from those containers or materials used for its individual sale;
producer means a person who grows, mines, raises, harvests, fishes, reproduces and breeds, traps, hunts, manufactures, processes, assembles or disassembles a good;
production means method of obtaining goods including growing, raising, mining, harvesting, fishing, reproducing and breeding, trapping, hunting, manufacturing, processing, assembling or disassembling a good;
used means used or consumed in the production of goods; and
value of materials means:
(a) except in the case of packing materials and containers for shipment, for the purposes of calculating the regional value content of a good and for the purposes of applying the De Minimis rule, the value of a material that is used
in the production of a good shall:
(i) for a material that is imported by the producer of the good, be the customs value of the material with respect to the importation including the costs of freight, insurance, packing and all other costs incurred in the international shipment of that material to the location of the producer,
if not included;
(ii) for a material purchased in the territory where the good is produced, be the producer's price actually paid or payable for the material including the costs of freight, insurance, packing and all other costs incurred in transporting the material to the location of the producer, if not included; and
(iii) for an intermediate material, be determined by computing the sum of:
(A) all costs incurred in the production of the material, including general expenses; and
(B) an amount for profit;
(b) for the value of non-originating materials, the following expenses may be deducted from the value of the material:
(i) the duties, taxes and customs brokerage fees on the materials paid in the territory of one or more of the Parties, other than the duties and
taxes that are waived, refunded, refundable or otherwise recoverable, including credit against duties or taxes paid or payable;
(ii) inland transportation costs incurred to transport the materials to the local producer;
(iii) the costs of waste and spoilage resulting from the use of the material in the production of the good, less the value of renewable scrap or by- product; and
(iv) the cost of originating materials used in the production of the non- originating material in the territory of a Party.
ARTICLE 4.2 : ORIGINATING GOODS
(a) wholly obtained or produced entirely in the territory of one or both of the
(b) that has satisfied the requirements specified in Annex 4A as well as other applicable requirements under this Chapter as a result of the production occurring entirely in the territory of one or both of the Parties;
(c) otherwise provided as an originating good under this Chapter; or
(d) produced entirely in the territory of one or both of the Parties exclusively from originating materials pursuant to this Chapter.
ARTICLE 4.3 : TREATMENT OF CERTAIN GOODS
ARTICLE 4.4 : OUTWARD PROCESSING
to the Party, provided that:
(a) the total value of non-originating inputs as set out in paragraph 2 does not exceed forty (40) per cent of the customs value of the final good for which originating status is claimed;
(b) the value of originating materials is not less than forty-five (45) per cent of
the customs value of the final good for which originating status is claimed;
(c) the materials exported from a Party shall have been wholly obtained or produced in the Party or have undergone there processes of production or operation going beyond the non-qualifying operations in Article 4.16, prior to being exported outside the territory of the Party;
(d) the producer of the exported material and the producer of the final good for which originating status is claimed are the same;
(e) the re-imported good has been obtained through the processes of production
or operation of the exported material; and
(f) the last process of production or operation4-1 takes place in the territory of the
be the value of any non-originating materials added in a Party as well as the value of any materials added and all other costs accumulated outside the territory of the Party, including transportation cost.
4-1 The last process of production or operation does not exclude the non-qualifying operations stipulated
in Article 4.16
ARTICLE 4.5 : REGIONAL VALUE CONTENT
When a regional value content is required to determine an originating good, the regional value content of a good shall be calculated on the basis of the following method:
CV - VNM
RVC = ---------------------- x 100
ARTICLE 4.6 : UNASSEMBLED OR DISASSEMBLED GOODS
A good that is imported into the territory of a Party in an unassembled or disassembled form but is classified as an assembled good pursuant to the provisions of sub-paragraph (a) of paragraph 2 of the General Rule for the Interpretation of the Harmonized System shall be considered as an originating good, if the good meets the requirements of Article 4.2.
ARTICLE 4.7 : INTERMEDIATE MATERIALS
Any self-produced material that is used in the production of a good may be designated by the producer of the good as an intermediate material for the purpose of calculating the regional value content of the good under Article 4.5, provided that where
the intermediate material is subject to a regional value content requirement, no other self-produced material subject to a regional value content requirement used in the production of that intermediate material may itself be designated by the producer as an intermediate material.
ARTICLE 4.8 : NEUTRAL ELEMENTS
In order to determine whether a good originates it shall not be necessary to determine the origin of the following which might be used in its production and not incorporated into the good:
(a) fuel and energy;
(b) tools, dies and moulds;
(c) spare parts and materials used in the maintenance of equipment and buildings;
(d) lubricants, greases, compounding materials and other materials used in production or used to operate equipment and buildings;
(e) gloves, glasses, footwear, clothing, safety equipment and supplies;
(f) equipment, devices and supplies used for testing or inspecting the goods; and
(g) any other goods that are not incorporated into the good but whose use in the production of the good can reasonably be demonstrated to be a part of that production.
ARTICLE 4.9 : ACCUMULATION
a good in the territory of the other Party, shall be considered to originate in the territory
of the other Party.
ARTICLE 4.10 : DE MINIMIS
shall be considered as originating if:
(a) the value of all non-originating materials used in its production that do not undergo the required change in tariff classification does not exceed ten (10) per cent of the customs value of the good; and
(b) the good meets all other applicable criteria set forth in this Chapter for
qualifying as an originating good.
The value of such non-originating materials shall, however, be included in the value of non-originating materials for any applicable regional value content requirement for the good.
(a) a non-originating material used in the production of a good provided for in
Chapters 1 through 14 of the Harmonized System; and
(b) a non-originating material used in the production of a good provided for in Chapters 15 through 24 of the Harmonized System unless the non-originating material is provided for in a different subheading from that of the good for which the origin is being determined under this Article.
ARTICLE 4.11 : FUNGIBLE GOODS AND MATERIALS
of any of the inventory management method, such as averaging, last-in, first-out, or first
in, first-out, recognised in the Generally Accepted Accounting Principles of a Party in which the production is performed or otherwise accepted by the Party in which the production is performed.
ARTICLE 4.12 : ACCESSORIES, SPARE PARTS AND TOOLS
(a) the accessories, spare parts or tools are not invoiced separately from the good;
(b) the quantities and value of the accessories, spare parts or tools are customary for the good.
ARTICLE 4.13 : PACKAGING MATERIALS AND CONTAINERS FOR RETAIL SALE
Packaging materials and containers in which a good is packaged for retail sale shall, if classified with the good, be disregarded in determining whether all the non- originating materials used in the production of the good undergo the applicable change
in tariff classification set out in Annex 4A, and, if the good is subject to a regional value
content requirement, the value of such packaging materials and containers shall be taken into account as originating or non-originating materials, as the case may be, in calculating the regional value content of the good.
ARTICLE 4.14 : PACKING MATERIALS AND CONTAINERS FOR SHIPMENT
Packing materials and containers in which a good is packed for shipment shall be disregarded in determining whether:
(a) the non-originating materials used in the production of the good undergo an applicable change in tariff classification set out in Annex 4A; and
(b) the good satisfies a regional value content requirement.
ARTICLE 4.15 : DIRECT CONSIGNMENT
A good shall not be considered to be an originating good of a Party by reason of having undergone production that satisfies the requirements of Article 4.2, if, subsequent to that production:
the good is not transported directly to the territory of the other Party; or
where the good is shipped through or transshipped in the territory of
country that is not a Party under this Agreement, the importer has failed to
meet the requirements stipulated in paragraph (c) of Article 5.9.
ARTICLE 4.16 : NON-QUALIFYING OPERATIONS
Notwithstanding any provision in this Chapter, a good shall not be considered to have satisfied the requirements for an originating good in Article 4.2 merely by reason
of going through certain operations or processes including, inter alia, the following :
(a) operations to ensure the preservation of products in good condition during transport and storage (such as drying, freezing, keeping in brine) and other similar operations;
(b) changes of packaging and breaking up and assembly of packages;
(c) affixing marks, labels and other like distinguishing signs on products or their packaging;
(e) testing or calibrations;
(f) placing in bottles, cases, boxes and other simple packaging operations;
(g) simple cutting, including peeling, unshelling or unflaking, grain removing, removal of bones, crushing or squeezing, and macerating;
(h) simple mixing;
(i) simple assembly of parts to constitute a complete product;
(j) simple making-up of sets of articles;
(k) slaughter of animals;
(l) quality check or grinding;
(m) elimination of dust from broken or damaged parts, application of oil, paint for rust treatment or other protecting materials;
(n) salifying or sweetening;
(o) dilution with water or with any other aqueous, ionized or salted solution;
(p) division of bulk shipment; and
(q) a combination of two or more operations referred to in paragraphs (a) through
carried out in the territory of the Parties, when non-originating materials are used
in those operations.
ARTICLE 4.17 : INTERPRETATION AND APPLICATION
For the purposes of this Chapter:
(a) the basis for tariff classification in this Chapter is the Harmonised System as amended on January 1, 2002;
(b) in applying the Customs Valuation Agreement for the determination of the origin of a good under this Chapter:
(i) the principles of the Customs Valuation Agreement shall apply to domestic transactions, with such modifications as may be required by the circumstances, as would apply to international transactions;
(ii) the provisions of this Chapter shall take precedence over the Customs
Valuation Agreement to the extent of any difference; and
(iii) the definitions in Article 4.1 shall take precedence over the definitions in the Customs Valuation Agreement to the extent of any difference; and
(c) all costs referred to in this Chapter shall be recorded and maintained in accordance with the Generally Accepted Accounting Principles applicable i
n the territory of the Party in which the good is produced.
ARTICLE 4.18 : CONSULTATIONS AND MODIFICATIONS
ARTICLE 5.1 : DEFINITIONS
For the purposes of this Chapter:
certificate of origin means respective forms used for purposes of claiming preferential tariff treatment in the importing Party, certifying that an exported good qualifies as an originating good in accordance with Chapter 4 (Rules of Origin), on the basis of documentary evidence or reliable information;
certification body means a body referred to in Annex 5A;
customs administration means the competent authority that is responsible under the law of a Party for the administration of customs laws and regulations;
exporter means a person located in the territory of a Party from where a good is exported by such a person;
importer means a person located in the territory of a Party where a good is imported by such a person;
identical goods means "identical goods" as defined in the Customs Valuation
producer is as defined in Article 4.1;
production is as defined in Article 4.1;
Cost and Production Statement means a declaration made by the producer, in the calculation of the regional value content, the HS tariff classifications of the product and
its non-originating material used, to determine the originating status of the good. The declaration should be signed by a designated authority, generally the managing director
or accountant of the company. The declaration may be made by the importer or exporter,
if he or she has pertinent information to the production of the good. Notwithstanding the above, the producer shall not be required to provide the information to the importer or the exporter;
value means value of a good or material for purposes of calculating customs duties or for purposes of applying Chapter 4 (Rules of Origin);
Declaration for Preference means an application for claiming preferential tariff treatment declared, on the basis of a certificate of origin or any other documentary evidence of origin, by an importer to the customs administration as part of the import application that an imported good qualifies as an originating good in accordance with Chapter 4.
ARTICLE 5.2 : CERTIFICATE OF ORIGIN
in Annex 5B and Annex 5C, which may be revised by agreement between the Parties.
(a) require an exporter in its territory to complete and sign an application for certificate of origin for any good which an importer may claim preferential tariff treatment on importation of the good into the territory of the other Party; and
(b) provide that where an exporter in its territory is not the producer of the good,
the exporter may complete and sign an application for a certificate of origin on the basis of:
(i) the exporter’s knowledge that the good qualifies as an originating
(ii) the exporter’s reasonable reliance on the producer’s written representation that the good qualifies as an originating good.
or soon thereafter due to involuntary errors or omissions or other valid causes, the certificate of origin may be issued retrospectively but not later than one year from the date of shipment.
ARTICLE 5.3 : CLAIMS FOR PREFERENTIAL TREATMENT
(a) make a declaration for preference as part of the import application prescribed by its legislation, based on importer’s knowledge or information including a valid certificate of origin, that the good qualifies as an originating good;
(b) submit the certificate of origin or other documentary evidence of origin at
the time of the declaration referred to in subparagraph (a), to its customs administration upon request; and
(c) promptly make a corrected declaration and pay any duties owing, where the
importer has reason to believe that a certificate of origin on which a declaration was based contains information that is incorrect.
treatment only in cases where an importer proves the accuracy of origin of the imported goods through documentary evidence or any other relevant information in accordance with its laws and regulations.
(a) the importer had, at the time of importation, indicated to the customs administration of the importing Party his intention to claim preferential tariff treatment; and
(b) the certificate of origin or other documentary evidence of origin is submitted
to its customs administration within such period from the date of payment of customs duties in accordance with the domestic laws and regulations in the importing Party.
ARTICLE 5.4 : OBLIGATIONS RELATING TO EXPORTATIONS
a copy of the certificate of origin or other documentary evidence of origin to its customs administration upon request.
ARTICLE 5.5 : RECORD KEEPING REQUIREMENT
(a) the purchase of, cost of, value of, shipping of, and payment for, the good that
is exported from its territory;
(b) the sourcing of, the purchase of, cost of, value of, and payment for, all materials, including neutral elements, used in the production of the good that
is exported from its territory; and
(c) the production of the good in the form in which the good is exported from its territory.
a good imported into the Party's territory shall maintain in that territory, for five (5) years after the date of importation of the good or for such longer period as the Party may specify, such documentation, including a copy of the certificate of origin, as the Party may require relating to the importation of the good.
ARTICLE 5.6 : WAIVER OF CERTIFICATE OF ORIGIN
(a) an importation of a good whose aggregate customs value does not exceed USD 1,000 or its equivalent amount in the Party’s currency, or such higher amount as it may establish; or
(b) an importation of a good into the territory of the importing Party, for which
the importing Party has waived the requirement for a certificate of origin in accordance with its domestic laws and practices;
provided that the importation does not form part of one or more importations that may reasonably be considered to have been undertaken or arranged for the purpose of avoiding the certification requirements of Articles 5.2 and 5.3.
ARTICLE 5.7 : VERIFICATIONS FOR PREFERENTIAL TARIFF TREATMENT
(a) request for a certificate of origin from the importer;
(b) request for Cost and Production Statement and information from the importer for cases where the importer is able to prepare it on the basis of the importer’s own documentary evidence or information;
(c) request for Cost and Production Statement and information from an exporter
or a producer in the territory of the other Party through the other Party’s customs administration;
(d) visit to the premises of an exporter or a producer in the territory of the other Party to review the records referred to in paragraph 1 of Article 5.5 and observe the facilities used in the production of the good, or to that effect any facilities used in the production of the materials; or
(e) such other procedure as the Parties may agree to.
request for information made by the importing Party within the given period or its extension, or that the information provided is false or incomplete, the Party may deny preferential tariff treatment.
(a) deliver a written notification of its intention to conduct the visit to:
(i) the exporter or producer whose premises are to be visited; and
(ii) the customs administration of the other Party; and
(b) obtain the written consent of the exporter or producer whose premises are to be visited.
territory qualifies as an originating good, the Party may suspend the preferential tariff treatment to be accorded to subsequent shipment of identical good exported or produced
by such a person until that person establishes that the shipment complies with Chapter 4
(Rules of Origin), in accordance with its domestic laws, regulations or practices. The importing Party shall inform the customs administration of the exporting Party on the evidence and details of the suspension made.
ARTICLE 5.8 : ADVANCE RULINGS
of the good in its territory or to an exporter or producer of the good in the other Party’s
territory concerning tariff classification, questions arising from the application of the Customs Valuation Agreement and country of origin so as to determine whether the good qualifies as an originating good.
(a) the provision that an importer or its agent in its territory or an exporter or producer or their agent in the territory of the other Party may request such a ruling prior to the importation in question;
(b) a detailed description of the information required to process a request for an advance ruling; and
(c) the provision that the advance ruling be based on the facts and circumstances presented by the person requesting the ruling.
(a) may request, at any time during the course of evaluating an application for an advance ruling, additional information necessary to evaluate the application;
(b) shall issue the advance ruling expeditiously, and in any case within ninety
(90) days of obtaining all necessary information; and
(c) shall provide, upon request of the person who requested the advance ruling,
a full explanation of the reasons for the ruling.
(a) if the ruling was based on an error of fact;
(b) if there is a change in the material facts or circumstances on which the ruling was based;
(c) to conform with an amendment to this Agreement; or
(d) to conform with a judicial or administration decision or a change in its domestic laws and regulations.
is effective on the date on which the modification or revocation is issued, or on such a later date as may be specified therein, and shall not be applied to importations of a good that have occurred prior to that date, unless the person to whom the advance ruling was issued has not acted in accordance with its terms and conditions.
as may be specified in the ruling.
ARTICLE 5.9 : DENIAL OF PREFERENTIAL TARIFF TREATMENT
Except as otherwise provided in this Chapter, each Party may, notwithstanding the requirements of Articles 5.3, 5.4, 5.5, 5.6 and 5.7 and any other legal requirements imposed under its law have been satisfied, deny the applicable preferential tariff treatment to an originating good imported into its territory:
(a) if the declared origin of the imported good is not supported by documentary evidence presented by an importer in its territory, or an exporter or a producer in the territory of the other Party;
(b) if an exporter or a producer in the territory of the other Party does not allow the customs administration of the importing Party access to information required to make a determination of whether the goods or the materials is originating by the following or other means:
(i) denial of access to its records and/or documents;
(ii) failure to respond to a cost and production statement or information requested; or
(iii) failure to maintain records or documentation relevant to determine the origin of the good in accordance with the requirement of this Chapter;
(c) if, where the good is shipped through or transshipped in the territory of a country that is not a Party under this Agreement, the importer of the good does not provide, on the request of that Party's customs administration:
(i) a copy of the customs control documents that indicate, to the satisfaction of the importing Party’s customs administration, that the goods remained under customs control while in the territory of such non-Parties;
(ii) any other information given by the customs administration of such
non-Parties or other relevant entities, which evidences that they have not undergone, in such non-Parties, operation other than unloading, reloading, crating, packing, repacking or any other operation necessary
to keep them in good condition; or
(iii) any other information or commercial documents given by the importer which evidence that they have not undergone, in such non-Parties, operation other than unloading, reloading, crating, packing, repacking
or any other operation necessary to keep them in good condition; or
(d) if, within thirty (30) days after the request of the customs administration of the importing Party, the producer, exporter or importer of a good, which has
undergone processes of production or operation outside the territory of a Party, fails to submit all the necessary documentary evidence to prove that the good satisfies all the requirements set out in Article 4.4, including that has been obtained from the performer of the processes of production or operation outside the territory of the Party. Notwithstanding the above, the producer, exporter or importer of a good may have one opportunity to make
a written request to the customs administration of the importing Party for an
extension of the submission period, for a period not exceeding thirty (30)
ARTICLE 5.10 : TEMPORARY ADMISSION AND GOODS IN TRANSIT
of goods traded between the Parties in accordance with the Customs Convention on the
A.T.A. Carnet for the Temporary Admission of Goods.
or to the territory of the other Party.
ARTICLE 5.11 : REVIEW AND APPEAL
(a) who has obtained a certificate of origin or completed a cost and production statement for a good that has been the subject of a determination of origin under this Chapter; or
(b) who has received an advance ruling pursuant to Article 5.8.
(a) at least one level of administrative review5-1 independent of the official or office responsible for the determination under review; and
(b) in accordance with its domestic law, judicial or quasi-judicial review of the determination or decision taken at the final level of administrative review5-2.
ARTICLE 5.12 : PENALTIES
Each Party shall maintain measures imposing criminal or administrative penalties, whether solely or in combination, for violations of its laws and regulations relating to this Chapter.
ARTICLE 5.13 : CUSTOMS CO-OPERATION
The Parties shall co-operate through their respective customs administrations on:
(a) Verification of Origin:
(i) The Parties shall co-operate through their respective customs administrations in the origin verification process of a good, for which the customs administration of the importing Party may request the other Party’s customs administrations to co-operate in this process of verification in its own territory; and
(ii) A Party may, if it considers necessary, station customs liaison officers
in the local embassy to work with the host government, for information exchange pertaining to origin verification;
(b) Paperless Customs Clearance:
(i) The Parties shall, as they deem fit, simplify and streamline customs procedures through the domestic integration of customs systems with other controlling agencies, with a view to enhancing paperless customs clearance;
(ii) The Parties shall endeavour to provide an electronic environment that
5-1 For Singapore, the level of administrative review may include the Ministry supervising the Customs
5-2 The review of the determination or decision taken at the final level of administrative review in
Singapore may take the form of a common law judicial review.
supports business transactions between their respective customs administrations and their trading communities; and
(iii) The Parties shall exchange views and information on realising and promoting paperless customs clearance between their respective customs administrations and their trading communities;
(c) Risk Management:
(i) The Parties shall adopt risk management approach in its customs activities based on its identified risk of goods in order to facilitate the clearance of low risk consignments, while focusing its inspection activities on high-risk goods; and
(ii) The Parties shall exchange information on risk management techniques
in the performance of their customs procedures;
(d) Sharing of Best Practices and Information:
(i) The Parties may, as they deem fit, organise training programmes in customs-related issues, which should include training for customs officials as well as users that directly participate in customs procedures; and
(ii) The Parties may, as they deem fit, facilitate initiatives for the exchange
of information on best practices in relation to customs procedures and matters in accordance with their respective domestic customs laws; and
(i) Each Party shall ensure that its laws, regulations, guidelines, procedures, and administrative rulings governing customs matters are promptly published, either on the Internet or in print form;
(ii) Each Party shall designate, establish, and maintain one or more inquiry
points to address inquiries from interested persons pertaining to customs matters, and shall make available on the Internet information concerning procedures for making such inquiries; and
(iii) For the purposes of certainty, nothing in this Article or in any part of
this Agreement shall require any Party to publish law enforcement procedures and internal operational guidelines including those related
to conducting risk analysis and targeting methodologies.
ARTICLE 5.14 : IMPLEMENTATION OF OBLIGATIONS
ARTICLE 5.15 : CUSTOMS CONTACT POINTS AND AD HOC CUSTOMS COMMITTEE
ARTICLE 5.16 : CONFIDENTIALITY
confidentiality of information collected pursuant to this Chapter and protect it from disclosure that could prejudice the competitive position of the persons providing the information.
ARTICLE 5.17 : REVIEW
The Parties shall review the certification system agreed under this Chapter for issuing the certificate of origin at the review as provided in Article 22.1.
ARTICLE 6.1 : DEFINITIONS
For the purposes of this Chapter:
domestic industry means the producers as a whole of the like or directly competitive products operating within the territory of a Party, or those whose collective output of the like or directly competitive products constitute a major proportion of the total domestic production of those products;
global safeguard measure means a measure applied under Article XIX of GATT
1994 and the WTO Agreement on Safeguards;
serious injury means a significant overall impairment in the position of a domestic industry;
substantial cause means a cause which is important and not less than any other cause;
threat of serious injury means serious injury that, on the basis of facts and not merely on allegation, conjecture or remote possibility, is clearly imminent.
Article 6.2 : Anti-Dumping Measures
implementation of the WTO Anti-dumping Agreement:
(a) when anti-dumping margins are established on the weighted average basis, all individual margins, whether positive or negative, should be counted toward the average; and
(b) if a decision is taken to impose an anti-dumping duty pursuant to Article 9.1
of the WTO Agreement on Anti-dumping, the Party taking such a decision, should apply the ‘lesser duty’ rule, by imposing a duty which is less than the dumping margin where such lesser duty would be adequate to remove the injury to the domestic industry.
ARTICLE 6.3 : COUNTERVAILING MEASURES
and the WTO Agreement on Subsidies and Countervailing Measures.
20 (Dispute Settlement).
Article 6.4 : Bilateral Safeguard Measures
(a) suspend further reduction of any rate of customs duty provided for under this Agreement for such originating good; or
(b) increase the rate of customs duty on such originating good to a level not to exceed the lesser of:
(i) the most-favoured-nation (“MFN”) applied rate of duty on the good in
effect at the time the action is taken; and
(ii) the MFN applied rate of duty on the good in effect on the day immediately preceding the date of entry into force of this Agreement.
to paragraph 7, the Party shall also notify the other Party prior to taking such measure,
and shall initiate consultations with the other Party immediately after such measure is taken.
(a) except to the extent and for such period of time as may be necessary to prevent or remedy serious injury and to facilitate adjustment; or
(b) for a period exceeding two (2) years; except that the period may be extended
by up to two (2) years if the competent authorities determine, in conformity with the procedures set out in paragraphs 1 through 3, that the measure continues to be necessary to prevent or remedy serious injury and to facilitate adjustment and that there is evidence that the industry is adjusting.
Article 6.5 : Global Safeguard Measures
and the WTO Agreement on Safeguards.
Chapter 20 (Dispute Settlement).
SANITARY AND PHYTOSANITARY MEASURES
ARTICLE 7.1 : SANITARY AND PHYTOSANITARY MEASURES
is hereby incorporated into and made part of this Agreement.
(a) for Korea, the Ministry of Agriculture and Forestry; and
(b) for Singapore, Agri-Food and Veterinary Authority.
7-1 The communications and essential information exchanged between the Parties shall be in the English
language. Particulars relating to the contact points shall be exchanged at the earliest possible, after the entry into force of this Agreement. The Parties understand that the communications between the Parties can be made via fax, e-mail or any other means agreed to by the Parties.
TECHNICAL BARRIERS TO TRADE AND MUTUAL RECOGNITION
ARTICLE 8.1 : OBJECTIVE
The objectives of this Chapter are to increase and facilitate trade between the
(a) the full implementation of the WTO Agreement on Technical Barriers to
Trade ( “WTO TBT Agreement”);
(b) enhancing bilateral co-operation by deepening their mutual understanding and awareness of their respective standards, technical regulations and conformity assessment systems; and
(c) creating and improving the business climate so as to increase business
ARTICLE 8.2 : SCOPE AND MODALITIES
(a) agreements on mutual acceptance of the results of conformity assessment procedures with respect to specified regulations conducted by bodies located
in the territory of the other Party;
(b) accreditation procedures for qualifying conformity assessment bodies;
(c) government designation of conformity assessment bodies;
(d) recognition by a Party of the results of conformity assessments performed in the other Party’s territory;
(e) voluntary arrangements between conformity assessment bodies from each
Party’s territory; and
(f) the importing Party’s acceptance of a supplier’s declaration of conformity.
To this end, the Parties shall intensify their exchanges of information on the variety of mechanisms to facilitate the acceptance of conformity assessment results. Any such arrangements shall be formalised in a Sectoral Annex, as appropriate.
Article 8.3 : Definitions
accept means the use of the results of conformity assessment procedures as a basis for regulatory actions such as approvals, licences, registrations and post-market assessments of conformity assessment;
acceptance has an equivalent meaning to accept;
certification body means a body, including product or quality systems certification bodies, that may be designated by a Party in accordance with this Chapter to conduct certification on compliance with its or the other Party’s standards and/or specifications
to meet relevant mandatory requirements;
confirmation means the confirmation of the compliance of the manufacturing or test facility with the criteria for confirmation by a competent authority of a Party pursuant
to the mandatory requirements of the other Party;
competent authority means an authority of a Party with the power to conduct inspection or audits on facilities in its territory to confirm their compliance with mandatory requirements;
conformity assessment means any procedure concerned with determining directly or indirectly whether products, manufacturers or manufacturing processes fulfil relevant standards and/or specifications to meet relevant mandatory requirements set out in the
respective Party’s mandatory requirements. The typical examples of conformity assessment procedures are sampling, testing, inspection, evaluation, verification, certification, registration, accreditation and approval, or their combinations;
conformity assessment body (“CAB”) means a body that conducts conformity assessment procedures;
designation means the authorisation by a Party’s designating authority of its CAB to undertake specified conformity assessment procedures pursuant to the mandatory requirements of the other Party;
designate has an equivalent meaning to “designation”;
Designating Authority means a body established in the territory of a Party with the authority to designate, monitor, suspend or withdraw designation of conformity assessment bodies to conduct conformity assessment procedures within its jurisdiction
in accordance with the other Party’s mandatory requirements;
mandatory requirements means a Party’s applicable laws, regulations and administrative provisions;
mutual recognition means that each Party, on the basis that it is accorded reciprocal treatment by the other Party:
(a) accepts the test reports of conformity assessment procedures of the other Party to demonstrate conformity of products and/or manufacturers/manufacturing processes with its mandatory requirements when the conformity assessment procedures are undertaken by conformity assessment bodies designated by the other Party in accordance with this Chapter, i.e., mutual recognition of test reports; or
(b) accepts the certification of results of conformity assessment procedures of the
registered conformity assessment body (“registered CAB”) means a CAB registered pursuant to Article 8.5;
registration means the authorisation by a Party’s Designating Authority of a CAB proposed by the other Party to undertake specified conformity assessment procedures pursuant to the Party’s mandatory requirements;
Regulatory Authority means an entity that exercises a legal right to determine the mandatory requirements, control the import, use or supply of products within a Party’s territory and may take enforcement action to ensure that products marketed within its territory comply with that Party’s mandatory requirements including assessments of manufacturers/manufacturing processes of products;
Sectoral Annex is an Annex to this Chapter which specifies the implementation arrangements in respect of a specific product sector;
stipulated requirements means the criteria set out in a Sectoral Annex for the designation of CAB;
technical regulations shall have the same meaning as in the WTO TBT Agreement;
test facility means a facility, including independent laboratories, manufacturers’ own test facilities or government testing bodies, that may be designated by one Party’s Designating Authority in accordance with this Chapter to undertake tests according to the other Party’s mandatory requirements; and
verification means an action to verify in the territories of the Parties, by such means as audits or inspections, compliance with the stipulated requirements for designation or criteria for confirmation by a conformity assessment body or a manufacturing or test facility respectively.
Article 8.4 : Origin
This Chapter applies to all products and/or assessments of manufacturers or manufacturing processes of products traded between the Parties, regardless of the origin of those products, unless otherwise specified in a Sectoral Annex, or unless otherwise specified by any mandatory requirement of a Party.
Article 8.5 : Mutual Recognition of Conformity Assessment
(a) mandatory requirements and/or assessments of manufacturers or manufacturing processes, maintained by the Parties to fulfill their legitimate objectives and appropriate level of protection; and
(b) the conformity assessment bodies and conformity assessment procedures
for products as may be specified in the Sectoral Annexes.
(a) provisions on scope and coverage;
(b) applicable laws, regulations and administrative provisions, i.e., mandatory requirements of each Party concerning the scope and coverage;
(c) applicable laws, regulations and administrative provisions of each Party stipulating the requirements covered by this Article, all the conformity assessment procedures covered by this Article to satisfy such requirements and the stipulated requirements or criteria for designation of conformity assessment bodies or the confirmation of the manufacturing or test facilities covered by this Article; and
(d) the list of Designating Authorities or competent authorities.
of that Party specified in the relevant Sectoral Annex, including certificates and marks
of conformity, that are conducted by the registered CABs of the other Party.
(a) unless otherwise provided in the relevant Sectoral Annex, designate a single Designating Authority to designate CABs to conduct conformity assessment procedures for products traded between the Parties, whether imports or exports;
(b) then notify the other Party of such designation and any subsequent changes thereof;
(c) notify the other Party of any scheduled changes concerning its Designating
(d) ensure that its Designating Authority:
(i) has the necessary power to designate, monitor (including verification), withdraw the designation of, suspend the designation of, and lift the suspension of the designation of, the CABs that conduct conformity assessment procedures within its territory based upon the requirements set out in the other Party’s mandatory requirements as specified in the relevant Sectoral Annex; and
(ii) consults, as necessary, with the relevant counterpart in the other Party
to ensure the maintenance of confidence in conformity assessment procedures including processes. The consultations may include joint
participation in audits related to conformity assessment procedures or other assessments of registered CABs, where such participation is appropriate, technically possible and within reasonable cost.
Registration of CABs
(a) each Party shall make a proposal that a CAB of that Party designated by its Designating Authority be registered under this Article, by presenting its proposal in writing, supported by the necessary documents, to the other Party and the TBT Joint Committee established in accordance with Article
8.7 (“TBT Joint Committee”);
(b) the other Party shall consider whether the proposed CAB complies with the stipulated and mandatory requirements specified in the relevant Sectoral Annex and communicate, to the Party making the proposal and the TBT Joint Committee in writing, the other Party’s position regarding the registration of that CAB along with estimated date of registration within ninety (90) days from the date of receipt of the proposal referred to in paragraph (a). In such consideration, such other Party should assume that the proposed CAB complies with the aforementioned criteria. The TBT Joint Committee shall, within ninety (90) days from the date of receipt of the position of such other Party, decide whether to register the proposed CAB. Following the TBT Joint Committee’s decision, a Party’s Designating Authority shall inform the other Party about the date of registration of the proposed CAB within seven (7) days from the date of receipt of the TBT Joint Committee’s decision; and
(c) In the event that the TBT Joint Committee cannot decide to register the proposed CAB, the TBT Joint Committee may decide to conduct joint verification with or request the proposing Party to conduct a verification of the proposed CAB with the prior consent of the CAB. After the completion
of such verification, the TBT Joint Committee may reconsider the proposal.
(a) the name and address of the CAB;
(b) the products or processes the CAB is designated to assess;
(c) the conformity assessment procedures the CAB is designated to conduct;
(d) the designation procedure and necessary information used to determine the compliance of the CAB with the stipulated requirements for designation.
of its CAB registered by the Designating Authority of the other Party when its Party’s Designating Authority considers that the CAB no longer complies with the stipulated and mandatory requirements of the other Party set out in the relevant Sectoral Annex. The withdrawal of the designation shall be notified in writing to the other Party and the TBT Joint Committee. Each Party shall terminate the registration of a CAB when the Designating Authority of the other Party withdraws the designation of its CAB. The date of termination of registration of the CAB shall be the date of receipt of notification for withdrawal from the other Party.
of conformity assessment procedures conducted by that CAB from the date of the registration. In the event that the registration of a CAB is terminated, the other Party shall accept the results of the conformity assessment procedures conducted by that CAB prior to the termination, without prejudice to paragraphs 18 and 19.
Verification and Monitoring of Conformity Assessment Bodies
(a) shall undertake through appropriate means such as audits, inspections or monitoring, that the registered CABs designated by the Party fulfill the stipulated and mandatory requirements set out in the Sectoral Annex. When applying the stipulated requirements for designation of the CABs, the Designating Authority of a Party should take into account the bodies’ understanding of and experience relevant to the mandatory requirements of the other Party;
(b) shall monitor and verify that the registered CABs designated by a Party maintain the necessary technical competence to demonstrate the conformity
of a product with the standards, and/or specifications to meet the mandatory requirements of the other Party. This may include participation in appropriate proficiency-testing programmes and other comparative reviews such as mutual recognition agreements between non-governmental entities, so that confidence in their technical competence to undertake the required
conformity assessment is maintained; and
(c) shall exchange information concerning the procedures such as accreditation systems used to designate CABs and to ensure that the registered CABs designated by a Party are technically competent and comply with the relevant stipulated requirements.
the other Party.
Suspension and Lifting the Suspension of Designation of Conformity Assessment
be effective from the date of the receipt of the decision of the TBT Joint Committee. The other Party shall accept the results of the conformity assessment procedures conducted by that CAB from the date of lifting of the suspension of the registration.
challenged CAB shall be suspended by the relevant Designating Authority for the relevant scope of designation from the date when its technical competence or compliance is challenged, until either:
(a) the challenging Party is satisfied as to the competence and compliance of the CAB; or
(b) the designation of that CAB has been withdrawn.
(20) days or the time limit specified in the Sectoral Annex.
Article 8.6 : Confidentiality
(a) be contrary to its essential security interests;
(b) be contrary to the public interest as determined by its domestic laws, regulations and administrative provisions;
(c) be contrary to any of its domestic laws, regulations and administrative provisions including but not limited to those protecting personal privacy or the financial affairs and accounts of individual customers of financial institutions;
(d) impede law enforcement; or
(e) prejudice legitimate commercial interests of particular public or private enterprises.
Article 8.7 : TBT Joint Committee
Agreement and it shall be responsible for the effective implementation of this Chapter.
(a) broaden their exchange of information;
(b) notify any change in their mandatory requirements in accordance with their
WTO obligations; and
(c) give favourable consideration to any written request for consultation. Each Party shall respond to a written request for information from the other Party in print or electronically without undue delay, and in any case within fifteen (15) days from the date of the request, at no cost or at reasonable cost.
(a) be responsible for administering and facilitating the effective functioning of
this Chapter and applicable Sectoral Annex(es), including:
(i) facilitating the extension of this Chapter, such as the addition of new Sectoral Annexes or an increase in the scope of existing Sectoral Annexes;
(ii) resolving any questions or disputes relating to the interpretation or application of this Chapter and applicable Sectoral Annex(es);
(iii) deciding on the registration of a CAB, suspension of registration of a
CAB, lifting of suspension of registration of a CAB, and termination of registration of a CAB with reference to Article 8.5;
(iv) maintaining, unless the TBT Joint Committee decides otherwise, a list of registered CABs on a sector- by- sector basis;
(v) establishing appropriate modalities of information exchange referred
to in this Chapter;
(vi) appointing experts from each Party for joint verification referred to in paragraph 16 of Article 8.5;
(vii) discharging such other functions as provided for in this Chapter; and
(viii) where appropriate, develop a work programme and mechanisms for co-operation in the areas of technical issues of mutual interest; and
(b) determine its own operational procedures.
Article 8.8 : Preservation of Regulatory Authority
(a) prevent a Party from adopting or maintaining, in accordance with its international rights and obligations, mandatory requirements, as appropriate
to its particular national circumstances;
(b) prevent a Party from adopting mandatory requirements to determine the level of protection it considers necessary to ensure the quality of its imports,
or for the protection of human, animal or plant life or health, or the
environment, or for the prevention of deceptive practices or to fulfil other legitimate objectives, at the levels it considers appropriate;
(c) limit the authority of a Party to take all appropriate measures whenever it ascertains that products may not conform to its mandatory requirements. Such measures may include withdrawing the products from the market, prohibiting their placement on the market, restricting their free movement, initiating a product recall, initiating legal proceedings or otherwise preventing the recurrence of such problems including through a prohibition on imports. If a Party takes such measures, it shall notify the other Party and the TBT Joint Committee, within fifteen (15) days of taking the measures, giving its reasons;
(d) oblige a Party to accept the standards or technical regulations or mandatory
requirements of the other Party;
(e) entail an obligation upon a Party to accept the results of the conformity assessment procedures and/or assessment of manufacturers or manufacturing processes of products and their mandatory requirements of any third country save where there is an expressed agreement between the Parties to do so; and
(f) be construed so as to affect the rights and obligations of either Party as a member of the WTO TBT Agreement.
ARTICLE 8.9 : TERRITORIAL APPLICATION
This Chapter shall apply to the territory of Korea and to the territory of
Article 8.10 : Language
Committee’s co-chairs shall be in English.
Article 8.11 : Sectoral Annexes
(a) specify and communicate to each other the applicable articles or annexes contained in the mandatory requirements set out in the Sectoral Annexes;
(b) exchange information concerning the implementation of the mandatory requirements specified in the Sectoral Annexes;
(c) notify each other of any scheduled changes in its mandatory requirements whenever they are made; and
(d) notify each other of any scheduled changes concerning their Designating
Authorities and the registered CABs.
following the date on which the Parties have exchange notes confirming the completion of their respective (domestic legal) procedures for the entry into force of that Sectoral Annex.
CROSS-BORDER TRADE IN SERVICES
ARTICLE 9.1 : DEFINITIONS
For the purposes of this Chapter:
cross-border provision of services or cross-border trade in services means the provision of a service:
(a) from the territory of a Party into the territory of the other Party;
(b) in the territory of a Party by a person of that Party to a person of the other
(c) by a national of a Party in the territory of the other Party;
but does not include the provision of a service in the territory of a Party by an investment as defined in Article 10.1;
financial services is as defined in Chapter 12 (Financial Services);
professional services means services, the provision of which requires specialised post- secondary education, or equivalent training or experience, and for which the right to practice is granted or restricted by a Party, but does not include services provided by trades-persons or vessel and aircraft crew members; and
service provider of a Party means a person of a Party that seeks to provide or provides
9-1 The Parties understand that “seeks to provide or provides a service” has the same meaning as
supplies a service as used in GATS Article XXVIII(g).
ARTICLE 9.2 : SCOPE AND COVERAGE
(a) the production, distribution, marketing, sale and delivery of a service;
(b) the purchase or use of, or payment for, a service;
(c) the access to and use of distribution and transportation systems in connection with the provision of a service;
(d) the presence in its territory of a service provider of the other Party; and
(e) the provision of a bond or other form of financial security as a condition for the provision of a service.
(a) measures adopted or maintained by a Party to the extent that they are covered by Chapter 12 (Financial Services) unless specified otherwise therein;
(b) government procurement which shall be governed by Chapter 16
(c) subsidies or grants, including government-supported loans, guarantees and insurance; or to any conditions attached to the receipt or continued receipt of such subsidies or grants, whether or not such subsidies or grants are offered exclusively to domestic services, service consumers or service suppliers;
(d) services provided in the exercise of governmental authority (such as law
enforcement, correctional services, income security or insurance, social security or insurance, social welfare, public education, public training, health, and child care), provided that such services are supplied neither on a commercial basis, nor in competition with one or more service providers; and
(e) transportation and non-transportation air services, including domestic and
international services, whether scheduled or non-scheduled, and related
services in support of air services9-2, other than:
(i) aircraft repair and maintenance services,
(ii) the selling and marketing of air transport services; and
(iii) computerised reservation system services.
ARTICLE 9.3 : NATIONAL TREATMENT
ARTICLE 9.4 : LOCAL PRESENCE
Neither Party shall require a service provider of the other Party to establish or maintain a representative office or any form of enterprise, or to be resident, in its territory as a condition for the cross-border provision of a service.
9-2 The Parties understand that ground handling services are part of related services in support of air
9-3 The Parties understand that nothing in this Chapter, including this paragraph, is subject to investor- state dispute settlement pursuant to Section C of Chapter 10 (Investment).
ARTICLE 9.5 : MARKET ACCESS
Neither Party shall adopt or maintain, either on the basis of a regional subdivision
or on the basis of its entire territory, measures that:
(i) the number of service suppliers whether in the form of numerical quotas, monopolies, exclusive service suppliers or the requirement of an economic needs test;
(ii) the total value of service transactions or assets in the form of numerical quotas or the requirement of an economic needs test;
(iii) the total number of service operations or the total quantity of services output expressed in terms of designated numerical units in the form of quotas or the requirement of an economic needs test; 9-4
(iv) the total number of natural persons that may be employed in a particular service sector or that a service supplier may employ and who are necessary for, and directly related to, the supply of a specific service in the form of numerical quotas or the requirement of an economic needs test; and
(b) restrict or require specific types of legal entity or joint venture through which
a service supplier may supply a service.
ARTICLE 9.6 : NON-CONFORMING MEASURES
(a) any existing non-conforming measure that is maintained by a Party as set out
in its Schedule to Annex 9A; or
(b) the continuation or prompt renewal of any non-conforming measure referred
to in paragraph (a); or
(c) an amendment to any non-conforming measure referred to in paragraph (a) to the extent that the amendment does not decrease the conformity of the
9-4 This paragraph does not cover measures of a Party which limits inputs for the supply of services.
measure, as it existed immediately before the amendment, with Articles 9.3 ,
9.4 and 9.5 .
(a) any existing non-conforming measure that is maintained by a Party as set out
in Annex 9A; or
(b) any existing or new measure that a Party adopts or maintains with respect to sectors, subsectors or activities as set out in Annex 9B.
ARTICLE 9.7 : ADDITIONAL COMMITMENTS
The Parties may negotiate commitments with respect to measures affecting trade in services not subject to scheduling under Article 9.6, including those regarding qualifications, standards or licensing matters. Such commitments shall be inscribed in a Party’s Schedule of specific commitments in Annex 9C.
ARTICLE 9.8 : FUTURE LIBERALISATION
in conformity with Article 9.6 or any additional commitments scheduled in conformity with Article 9.7 by an agreement with a non-Party, it shall afford adequate opportunity
to the other Party to negotiate treatment granted therein on a mutually advantageous basis and with a view to securing an overall balance of rights and obligations.
ARTICLE 9.9 : PROCEDURES
At the first or subsequent review of this Agreement pursuant to Article 22.1, the
Parties shall establish procedures for:
(a) a Party to notify and include in its relevant Schedule:
(i) additional commitments pursuant to Article 9.7; and
(ii) amendments of measures referred to in paragraph 1(c) of Article 9.6 ;
(b) consultations on non-conforming measures or additional commitments with a view to further liberalisation.
ARTICLE 9.10 : RECOGNITION
to the requirements in paragraph 3, a Party may recognise the education or experience obtained, requirements met, or licenses or certifications granted in the other Party. Such recognition, which may be achieved through harmonisation or otherwise, may be based upon an agreement or arrangement between the Parties, or may be accorded autonomously.
of discrimination between countries in the application of its standards or criteria for the authorisation, licensing or certification of services suppliers, or a disguised restriction
on trade in services.
licensing or certification of professional service providers.
ARTICLE 9.11 : DOMESTIC REGULATION
of GATS, with a view to their incorporation into this Agreement. The Parties note that such disciplines aim to ensure that such requirements are inter alia:
(a) based on objective and transparent criteria, such as competence and the ability to supply the service;
(b) not more burdensome than necessary to ensure the quality of the service;
(c) in the case of licensing procedures, not in themselves a restriction on the supply of the service.
(a) does not comply with the criteria outlined in paragraphs 5(a), (b) or (c); and
(b) could not reasonably have been expected of that Party at the time the obligations were undertaken.
ARTICLE 9.12 : DENIAL OF BENEFITS
Subject to prior notification and consultation in accordance with Article 19.3 and Article 20.4, a Party may deny the benefits of this Chapter to a service provider of the other Party where the Party establishes that the service is being provided by an enterprise that is owned or controlled by persons of a non-Party and that has no substantive business operations in the territory of the other Party.
ARTICLE 9.13 : MONOPOLY AND EXCLUSIVE SERVICE SUPPLIERS
9-5 The term “relevant international organisations” refers to international bodies whose membership is
open to relevant bodies of both Parties.
ensure that such a supplier does not abuse its monopoly position to act in its territory in
a manner inconsistent with such commitments.
ARTICLE 9.14 : MODIFICATION OR ADDITION OF RESERVATIONS
ARTICLE 9.15 : PAYMENTS AND TRANSFERS
ARTICLE 9.16 : BALANCE- OF- PAYMENTS EXCEPTION
or threat thereof, it may, in accordance with Articles XI and XII of GATS adopt or maintain restrictions on trade in services on which it has obligations, including on payments or transfers for transactions related to such commitments. Articles XI and XII
of GATS is hereby incorporated into and made part of this Agreement.
SECTION A – DEFINITIONS
ARTICLE 10.1: DEFINITIONS
For the purposes of this Chapter:
disputing investor means an investor that makes a claim under Section C;
disputing Party means a Party against which a claim is made under Section C;
freely usable currency means “freely usable currency” as determined by the International Monetary Fund under its Articles of Agreement and any amendments thereto;
investment means every kind of asset that an investor owns or controls, directly or indirectly, and that has the characteristics of an investment, such as the commitment of capital or other resources, the expectation of gains or profits or the assumption of risk10-
1. Forms that an investment may take include, but are not limited to10-2:
10-1 For clarification, investment does not mean,
(a) claims to money that arise solely from:
(i) commercial contracts for the sale of goods or services by a national or enterprise in the territory of a Party to an enterprise in the territory of the other Party,
(ii) the extension of credit in connection with a commercial transaction, such as trade financing, and
(b) an order entered in a judicial or administrative action
and do not involve the kinds of interests set out in subparagraphs (a) to (h).
10-2 For the purpose of this Chapter, “loans and other debt instruments” described in paragraph (c) and
“claims to money and claims to any performance under contract” described in paragraph (f) of Article
10.1 refer to assets which relate to a business activity and do not refer to assets which are of a personal nature, unrelated to any business activity.
(a) an enterprise;
(b) shares, stocks, and other forms of equity participation in an enterprise, including rights derived therefrom;
(c) bonds, debentures, loans and other debt instruments of an enterprise,
including rights derived therefrom;
(d) futures, options, and other derivatives;
(e) rights under contracts, including turnkey, construction, management, production, concession or revenue-sharing contracts;
(f) claims to money and claims to any performance under contract having an economic value;
(g) intellectual property rights and goodwill;
(h) rights conferred pursuant to domestic laws and regulations or contracts such
as concessions, licences, authorisations and permits; and
(i) other tangible or intangible, movable or immovable property, and related property rights, such as leases, mortgages, liens and pledges.
investment of an investor of a Party means an investment owned or controlled, directly or indirectly, by an investor of such a Party;
investor of a Party means a Party or a national or an enterprise of a Party that is seeking to make, is making, or has made, investments in the territory of the other Party;
investor of a non-Party means an investor other than an investor of a Party;
transfers means transfers and international payments;
TRIMs Agreement means the Agreement on Trade-Related Investment Measures, which is part of the WTO Agreement; and
UNCITRAL Arbitration Rules means the arbitration rules of the United Nations Commission on International Trade Law, approved by the United Nations General Assembly on December 15, 1976.
SECTION B - INVESTMENT
ARTICLE 10.2: SCOPE AND COVERAGE
(a) investors of the other Party;
(b) investments of investors of the other Party in the territory of a Party; and
(c) with respect to Articles 10.710-3 and 10.18, all the investments in the territory
of the Party.
of this Agreement, as well as to the investments made or acquired after this date.
ARTICLE 10.3: RELATION TO OTHER CHAPTERS
10-3 This provision will be applied only when the investment of the investor of the Party suffers loss
through the imposition of performance requirements to an investment of investor of a non-Party .
10-4 For the purpose of Article 10.11, both Parties agree that social security, public retirement or compulsory savings schemes run by the government, such as the Central Provident Fund of Singapore, fall within the scope of “services supplied in the exercise of governmental authority”.
Agreement, the other Chapter shall prevail to the extent of the inconsistency.
or other form of financial security as a condition of providing a service into its territory does not of itself make this Chapter applicable to the provision of that cross-border service. This Chapter applies to that Party's treatment of the posted bond or financial security.
ARTICLE 10.4: NATIONAL TREATMENT
of its own investors with respect to the establishment, acquisition, expansion, management, conduct, operation, and sale or other disposition of investments.
ARTICLE 10.5: MINIMUM STANDARD OF TREATMENT
in paragraph 1 do not require treatment in addition to or beyond that which is required
by the customary international law minimum standard of treatment of aliens and do not create additional substantive rights.
(a) The obligation to provide "fair and equitable treatment" includes the obligation not to deny justice in criminal, civil or administrative adjudicatory proceedings.
(b) The obligation to provide "full protection and security" requires each Party
to provide the level of police protection required under customary international law.
(c) The "customary international law minimum standard of treatment of aliens"
refers to all customary international law principles that protect the economic rights and interests of aliens.
ARTICLE 10.6: ACCESS TO THE JUDICIAL AND ADMINISTRATIVE PROCEDURES
Each Party shall within its territory accord to investors of the other Party treatment
no less favourable than the treatment which it accords in like circumstances to its own investors, with respect to access to its courts of justice and administrative tribunals and agencies in all degrees of jurisdiction both in pursuit and in defence of such investors’ rights.
ARTICLE 10.7: PERFORMANCE REQUIREMENTS
an investment of an investor of a Party or of a non-Party in its territory:
(a) to export a given level or percentage of goods or services;
(b) to achieve a given level or percentage of domestic content;
(c) to purchase, use or accord a preference to goods produced in its territory, or
to purchase goods from persons in its territory;
(d) to purchase, use or accord a preference to services provided in its territory, or
to purchase services from persons in its territory;
(e) to relate the volume or value of imports to the volume or value of exports or
to the amount of foreign exchange inflows associated with such investment;
(f) to restrict sales of goods or services in its territory that such investment produces or provides by relating such sales to the volume or value of its exports or foreign exchange earnings;
(g) to transfer technology, a production process or other proprietary knowledge
to a person in its territory, except when the requirement is imposed or the commitment or undertaking is enforced by a court, administrative tribunal or competition authority to remedy an alleged violation of competition law or
to act in a manner not inconsistent with other provisions of this Agreement;
(h) to supply exclusively from the territory of the Party the goods that it produces or the services that it supplies to a specific regional market or to the world market.
or do not constitute a disguised restriction on international trade or investment, nothing
in paragraphs 1(b), (c) or (d) shall be construed to prevent a Party from adopting or maintaining measures, including environmental measures:
(a) necessary to secure compliance with laws and regulations that are not inconsistent with the provisions of this Agreement;
(b) necessary to protect human, animal or plant life or health; or
(c) necessary for the conservation of living or non-living exhaustible natural resources.
ARTICLE 10.8: SENIOR MANAGEMENT AND BOARDS OF DIRECTORS
an investor of the other Party appoint to senior management positions individuals of any particular nationality.
ARTICLE 10.9: NON-CONFORMING MEASURES
(a) any existing non-conforming measure that is maintained by a Party as set out
in its Schedule to Annex 9A;
(b) the continuation or prompt renewal of any non-conforming measure referred
to in paragraph (a); or
(c) an amendment to any non-conforming measure referred to in paragraph (a)
to the extent that the amendment does not decrease the conformity of the measure, as it existed immediately before the amendment, with Articles 10.4,
10.7, and 10.8.
(a) government procurement by a Party; or
(b) subsidies or grants provided by a Party, or to any conditions attached to the receipt or continued receipt of such subsidies or grants, whether or not such subsidies or grants are offered exclusively to investors of the Party or investments of investors of the Party, including government-supported loans, guarantees and insurance.
ARTICLE 10.10: FUTURE LIBERALISATION
in conformity with Article 10.9 by an agreement with a non-Party, it shall afford adequate opportunity to the other Party to negotiate treatment granted therein on a mutually advantageous basis and with a view to securing an overall balance of rights and obligations.
further liberalisation with a view to reaching the reduction or elimination of the remaining restrictions scheduled in conformity with paragraphs 1 and 2 of Article 10.9
on a mutually advantageous basis and securing an overall balance of rights and
ARTICLE 10.11: TRANSFERS
(a) the initial capital and additional amounts to maintain or increase an investment;
(b) profits, dividends, interest, capital gains, royalty payments, management fees,
technical assistance and other fees, returns in kind and other amounts derived from the investment;
(c) proceeds from the sale of all or any part of the investment or from the partial
or complete liquidation of the investment;
(d) payments made under a contract entered into by the investor, or its investment, including payments made pursuant to a loan agreement;
(e) payments made pursuant to Articles 10.13 and 10.14; and
(f) payments arising under Section C.
(a) bankruptcy, insolvency or the protection of the rights of creditors;
(b) issuing, trading, or dealing in securities, futures, options, or derivatives;
(c) financial reporting or record keeping of transfers when necessary to assist law enforcement or financial regulatory authorities;
(d) criminal or penal offences; or
(e) ensuring compliance with orders or judgments in judicial or administrative proceedings.
ARTICLE 10.12: SAFEGUARDS
its obligation provided for in Article 10.4 relating to cross-border capital transactions or
(a) in the event of serious balance of payments or external financial difficulties
or threat thereof; or
(b) where, in exceptional circumstances, payments and capital movements between the Parties cause or threaten to cause serious difficulties for the operation of monetary policy or exchange rate policy in either Party.
(a) shall be consistent with the Articles of Agreement of the International
(b) shall not exceed those necessary to deal with the circumstances described in paragraph 1 ;
(c) shall be temporary and phased out progressively as the situation improves;
(d) shall promptly be notified to the other Party;
(e) shall avoid unnecessary damage to the commercial, economic and financial interests of the other Party;
(f) shall be applied on a national treatment basis; and
(g) shall ensure that the other Party is treated as favourably as any non-Party.
ARTICLE 10.13: EXPROPRIATION AND COMPENSATION
of an investor of the other Party in its territory, except:
(a) for a public purpose;
(b) on a non-discriminatory basis;
(c) in accordance with due process of law and Article 10.6 ; and
(d) on payment of compensation in accordance with paragraphs 2, 3 and 4.
(a) be paid without delay and be fully realisable;
(b) be equivalent to the fair market value of the expropriated investment immediately before the expropriation took place ("date of expropriation"); and
(c) not reflect any change in value occurring because the intended expropriation
had become known earlier.
(a) the fair market value on the date of expropriation, converted into a freely usable currency at the market rate of exchange prevailing on that date, plus
(b) interest, at a commercially reasonable rate for that freely usable currency, accrued from the date of expropriation until the date of payment.
subsequent amendments thereto relating to the amount of compensation where such amendments follow the general trends in the market value of the land10-5.
(Intellectual Property Rights).
ARTICLE 10.14: LOSSES AND COMPENSATION
to any conditions attached to the receipt or continued receipt of such subsidies or grants, whether or not such subsidies or grants are offered exclusively to investors of the Party
or investments of investors of the Party, including government-supported loans, guarantees and insurance, that would be inconsistent with Article 10.4 but for paragraph
4(b) of Article 10.9.
ARTICLE 10.15: SUBROGATION
to an investment by one of its investors in the territory of the other Party and when
10-5 Article 10.13 is to be interpreted in accordance with and is subjected to the letter exchange on
payment has been made under this contract or financial guarantee by the former Party or the agency authorised by it, the latter Party shall recognise the rights of the former Party
or the agency authorised by the Party by virtue of the principle of subrogation to the rights of the investor.
to be made to the Party or the agency prescribed in paragraphs 1 and 2 by virtue of such recognition of rights and claims, and the transfer of such payment.
ARTICLE 10.16: SPECIAL FORMALITIES AND INFORMATION REQUIREMENTS
or an investment of the investor in its territory, to provide routine information concerning that investment solely for informational or statistical purposes. The Party shall protect such business information that is confidential from any disclosure that would prejudice the competitive position of the investor or the investment. Nothing in this paragraph shall be construed to prevent a Party from otherwise obtaining or disclosing information in connection with the equitable and good faith application of its law.
ARTICLE 10.17: DENIAL OF BENEFITS
Subject to prior notification and consultation in accordance with Articles 19.3 and 20.4, a Party may deny the benefits of this Chapter to an investor of the other Party that is an enterprise of such other Party and to investments of that investor if investors
of a non-Party own or control the enterprise and the enterprise has no substantive
business operations in the territory of the other Party under whose law it is constituted
ARTICLE 10.18: ENVIRONMENTAL MEASURES
Nothing in this Chapter shall be construed to prevent a Party from adopting, maintaining or enforcing any measure otherwise consistent with this Chapter that it considers appropriate to ensure that investment activity in its territory is undertaken in a manner sensitive to environmental concerns.
SECTION C - SETTLEMENT OF DISPUTES
BETWEEN A PARTY AND AN INVESTOR OF THE OTHER PARTY
ARTICLE 10. 19: SETTLEMENT OF DISPUTES BETWEEN A PARTY AND AN INVESTOR OF
THE OTHER PARTY
months from the date of a request for consultations and negotiations, and if the investor
concerned has not submitted the investment dispute for resolution (a) before the courts
or administrative tribunals of the disputing Party (excluding proceedings for interim measures of protection referred to in paragraph 5), or (b) in accordance with any previously agreed dispute settlement procedures, the investor concerned may submit the dispute for settlement to:
(a) the International Centre for Settlement of Investment Disputes (ICSID), if both Parties are parties to the ICSID Convention;
(b) arbitration under UNCITRAL Arbitration Rules; or
(c) any other arbitral institution or in accordance with any other arbitral rules, if the parties to the dispute so agree.
(a) the submission of the dispute to such arbitration taking place within three (3) years of the time at which the disputing investor became aware, or should reasonably have become aware, of a breach of an obligation under this Chapter and, of the loss or damage incurred by the disputing investor or its investment;
(b) the disputing investor not being an enterprise of the disputing Party until the
disputing investor refers the dispute for arbitration pursuant to paragraph 3;
(c) the disputing investor providing written notice, which shall be delivered at least ninety (90) days before the claim to arbitration is submitted, to the disputing Party of its intent to submit the dispute to such arbitration and which:
(i) nominates one (1) of the fora in paragraph 3(a), (b) or (c) as the forum
for dispute settlement;
(ii) briefly summarises the alleged breach of the disputing Party under this Chapter (including the articles alleged to have been breached) and the loss or damage allegedly caused to the investor or its investment.
of protection, not involving the payment of damages or resolution of the substance of the matter in dispute before the courts or administrative tribunals of the disputing Party,
prior to the institution of proceedings before any of the dispute settlement fora referred
to in paragraph 3, for the preservation of its rights and interests.
to submit or have submitted to arbitration under this Article, unless such other Party has failed to abide by and comply with the award rendered in such dispute. Diplomatic protection, for the purposes of this paragraph, shall not include informal diplomatic exchanges for the sole purpose of facilitating a settlement of the dispute.
ARTICLE 11.1 : DEFINITIONS
For the purposes of this Chapter:
cost-oriented means based on cost, and may include a reasonable profit, and may involve different cost methodologies for different facilities or services;
end-user means a final consumer of or subscriber to a public telecommunications service, including a service supplier but excluding a supplier of public telecommunications transport network or services;
essential facilities means facilities of a public telecommunications transport network or service that:
(a) are exclusively or predominantly provided by a single or limited number of suppliers; and
(b) cannot feasibly be economically or technically substituted in order to provide
facilities-based suppliers means suppliers of public telecommunications transport networks or services that are:
(a) for Korea, telecommunications carriers provided for in Article 5 of the
Telecommunications Business Act; and
(b) for Singapore, Facilities-Based Operators;
major supplier means a supplier of basic telecommunications services that has the ability to materially affect the terms of participation (having regard to price and supply)
in the relevant market for public telecommunications transport network or services as a result of:
(a) control over essential facilities; or
(b) use of its position in the market;
network element means a facility or equipment used in the provision of a public telecommunications service, including features, functions, and capabilities that are provided by means of such facility or equipment;
non-discriminatory means treatment no less favourable than that accorded to any other user of like public telecommunications transport networks or services in like circumstances;
number portability means the ability of end-users of public telecommunications transport network or services to retain existing telephone numbers without impairment
of quality, reliability, or convenience when switching between like suppliers of public telecommunications transport network or services;
public telecommunications transport network means public telecommunications infrastructure that permits telecommunications between defined network termination points;
public telecommunications transport service means any telecommunications transport service required by a Party, explicitly or in effect, to be offered to the public generally, including telegraph, telephone, telex and data transmission, that typically involves the real-time transmission of customer-supplied information between two or more points without any end-to-end change in the form or content of the customer's information;
service supplier means any person that supplies a service;
telecommunications means the transmission and reception of signals by any electromagnetic means; and
user means service consumers and service suppliers.
ARTICLE 11.2 : SCOPE AND COVERAG 11-1
(a) require a Party to authorise a service supplier of the other Party to establish, construct, acquire, lease, operate or provide telecommunications transport networks or services; or
(b) require a Party (or require a Party to compel any service supplier) to establish, construct, acquire, lease, operate or provide telecommunications transport networks or services not offered to the public generally.
ARTICLE 11.3 : ACCESS TO AND USE OF PUBLIC TELECOMMUNICATIONS TRANSPORT
NETWORKS AND SERVICES
(a) purchase or lease, and attach terminal or other equipment that interfaces with the public telecommunications transport network;
11-1 The obligations of a Party in this Chapter shall be applied in a non-discriminatory manner to
suppliers of public telecommunications transport network or services of both Parties.
(b) interconnect leased or owned circuits with public telecommunications transport networks and services in the territory, of that Party, or with circuits leased or owned by another service supplier;
(c) perform switching, signaling and processing functions;
(d) use operating protocols of their choice, other than as necessary to ensure the availability of telecommunications transport networks and services to the public generally; and
(e) provide services to individual or multiple end-users over any leased or owned circuit(s) to the extent that the scope and type of such services are not inconsistent with each Party’s domestic laws and regulations.
its territory or across its borders, including for intra-corporate communications, and for access to information contained in databases or otherwise stored in machine-readable form in the territory of the other Party.
(a) safeguard the public service responsibilities of suppliers of public telecommunications transport networks and services, in particular their ability to make their networks or services available to the public generally;
(b) protect the technical integrity of public telecommunications transport networks and services.
to and use of public telecommunications transport networks and services may include:
(a) a requirement to use specified technical interfaces, including interface
protocols, for interconnection with such networks or services;
(b) requirements, where necessary, for the inter-operability of such services;
(c) type approval of terminal or other equipment which interfaces with the network and technical requirements relating to the attachment of such equipment to such networks; or
(d) notification, registration and licensing.
ARTICLE 11.4 : CONDUCT OF MAJOR SUPPLIERS
Treatment by Major Suppliers
(a) the availability, provisioning, rates, or quality of like public telecommunications transport network or services; and
(b) the availability of technical interfaces necessary for interconnection.
When necessary, a Party shall assess such treatment on the basis of whether such suppliers of public telecommunications transport network or services, subsidiaries, affiliates, and non-affiliated service suppliers are in like circumstances.
(b) For the purposes of paragraph (a), anti-competitive practices include:
(i) engaging in anti-competitive cross-subsidisation;
(ii) using information obtained from competitors with anti-competitive results;
(iii) not making available, on a timely basis, to suppliers of public
(iv) pricing services in a manner that gives rise to unfair competition.
Unbundling of Network Elements
in a timely fashion; and on terms, conditions, and cost-oriented rates that are
reasonable, transparent, and non-discriminatory.
(b) Each Party may determine, in accordance with its domestic laws and regulations, which network elements it requires major suppliers in its territory to provide access to in accordance with paragraph (a) on the basis
of the technical feasibility of unbundling and the state of competition in the relevant market.
(b) Where physical co-location under paragraph (a) is not practical for technical reasons or because of space limitations, each Party shall ensure that major suppliers co-operate with facilities-based suppliers to find alternatives, which could include site inspections of co-location premises, in accordance with each Party’s domestic laws and regulations.
(c) Each Party may determine, in accordance with its domestic laws and
regulations, which premises in its territory shall be subject to paragraphs (a)
of public telecommunications transport network or services that the major supplier provides at retail to end-users.
(b) Each Party may determine, in accordance with its domestic laws and regulations, the type and scope of resale in its territory.
Poles, Ducts, and Conduits
(i) in a timely fashion; and
(ii) on terms, conditions, and cost-oriented rates that are reasonable, transparent, and non-discriminatory.
(b) Each Party may determine, in accordance with its domestic laws and regulations, the poles, ducts, conduits or other structures to which it requires major suppliers in its territory to provide access under paragraph (a) on the basis of the state of competition in the relevant market.
on a timely basis and on reasonable terms and conditions.
Interconnection to be Ensured
Each Party shall ensure interconnection between a facilities-based supplier and any other facilities-based supplier or a services-based supplier to the extent provided for in its laws and regulations.
Interconnection with Major Suppliers
Each Party shall ensure that a major supplier is required to provide interconnection at any technically feasible point in the network. Such interconnection is provided:
(i) under non-discriminatory terms, conditions (including technical standards and specifications) and rates and of a quality no less favourable than that provided for its own like services, or for like services of non-affiliated service suppliers or for like services of its subsidiaries or other affiliates;
(ii) in a timely fashion, on terms, conditions (including technical standards and specifications) and cost-oriented rates that are transparent, reasonable, having regard to economic feasibility, and sufficiently unbundled so that the supplier need not pay for network components or facilities that it does not require for the services to be provided; and
(iii) upon request, at points in addition to the network termination points offered to the majority of users, subject to charges that reflect the cost
of construction of necessary additional facilities.
(b) Transparency of interconnection arrangements
Each Party shall ensure that a major supplier will make publicly available either its interconnection agreements or a reference interconnection offer.
(c) Public Availability of the Procedures for Interconnection Negotiations
Each Party shall make publicly available the applicable procedures for interconnection negotiations with major suppliers in its territory.
(d) Public Availability of Interconnection Agreements Concluded with Major
(i) Each Party shall require major suppliers in its territory to file all their interconnection agreements with its telecommunications regulatory body.
(ii) Each Party shall make available to suppliers of public telecommunications transport network or services which are seeking interconnection, interconnection agreements between a major supplier
in its territory and any other supplier of public telecommunications transport network or services in such territory.
(e) Resolution of Interconnection Disputes
Each Party shall ensure that suppliers of public telecommunications transport network or services of the other Party, that have requested interconnection with a major supplier in the Party’s territory have recourse to a telecommunications regulatory body to resolve disputes regarding the terms, conditions, and rates for interconnection within a reasonable and publicly available period of time.
Provisioning and Pricing of Leased Circuits Services11-2
at rates that are reasonable, non-discriminatory, timely, and transparent.
11-2 The obligation under this article is not an obligation to provide leased circuits as an unbundled
ARTICLE 11.5 : INDEPENDENT REGULATORS
ARTICLE 11.6 : UNIVERSAL SERVICE
Each Party shall administer any universal service obligation that it maintains in a transparent, nondiscriminatory, and competitively neutral manner and shall ensure that
its universal service obligation is not more burdensome than necessary for the kind of universal service that it has defined.
ARTICLE 11.7 : LICENSING PROCESS
or services to have a licence, the Party shall make publicly available:
(a) all the licensing criteria and procedures it applies;
(b) the period of time normally required to reach a decision concerning an application for a licence; and
(c) the terms and conditions of all licences.
ARTICLE 11.8 : ALLOCATION AND USE OF SCARCE RESOURCES11-3
11-3 The Parties understand that decisions on allocating and assigning spectrum, and frequency
management are not measures that are per se inconsistent with Article 9.5 and Article 10.7. Accordingly, each Party retains the right to exercise its spectrum and frequency management policies, which may affect
resources, including frequencies, numbers, and rights of way, in an objective, timely, transparent, and non-discriminatory fashion.
or allocated by each government for specific government uses.
ARTICLE 11.9 : ENFORCEMENT
Each Party shall ensure that its telecommunications regulatory body maintains appropriate procedures and authority to enforce domestic measures relating to the obligations under this Chapter. Such procedures and authority shall include the ability to impose effective sanctions, which may include financial penalties, corrective orders, or modification, suspension, and revocation of licences.
ARTICLE 11.10 : RESOLUTION OF DOMESTIC TELECOMMUNICATIONS DISPUTES
the number of suppliers of public telecommunications services, provided that this is done in a manner that
is consistent with the provisions of this Agreement. The Parties also retain the right to allocate frequency bands taking into account existing and future needs.
determination or decision. Neither Party may permit such a petition to constitute grounds for non-compliance with such determination or decision of the telecommunications regulatory body unless an appropriate authority stays such determination or decision.
or decision to an independent judicial or administrative authority.
ARTICLE 11.11 : TRANSPARENCY
Each Party shall ensure that:
(a) rulemakings, including the basis for such rulemakings, of its telecommunications regulatory body are published or otherwise made available to interested persons in a reasonable period of time;
(b) interested persons are provided with adequate advance public notice of and
the opportunity to comment on any rulemaking proposed by the telecommunications regulatory body11-4; and
(c) its measures relating to public telecommunications transport network or services are made publicly available, including:
(i) tariffs and other terms and conditions of service;
(ii) specifications of technical interfaces;
(iii) conditions applying to attachment of terminal or other equipment
to the public telecommunications transport network;
(iv) notification, permit, registration, or licensing requirements, if any; and
(v) information on bodies responsible for preparing, amending, and adopting standards- related measures is made publicly available.
11-4 The obligations under paragraph (b) will be applied in accordance with each Party’s domestic laws
ARTICLE 11.12 : RELATION TO OTHER CHAPTERS
In the event of any inconsistency between this Chapter and another Chapter in this
Agreement, this Chapter shall prevail to the extent of the inconsistency.
ARTICLE 11.13 : RELATION TO INTERNATIONAL ORGANISATIONS AND AGREEMENTS
The Parties recognise the importance of international standards for global compatibility and inter-operability of telecommunication networks or services and undertake to promote those standards through the work of relevant international bodies, including the International Telecommunication Union and the International Organization for Standardization.
ARTICLE 12.1 : SCOPE AND COVERAGE
(a) financial institutions of the other Party;
(b) investors of the other Party, and investments of such investors, in financial institutions in the Party’s territory; and
(c) trade in financial services.
(a) Articles 9.12, 9.15, 10.11, 10.12, 10.13, 10.16, 10.17 and 10.18 are hereby incorporated into and made a part of this Chapter;
(b) As for Articles 9.16 and 10.12, in the event of any inconsistency between Chapter 9(Cross-Border Trade in Services) and Chapter 10 (Investment) in this Agreement, Chapter 10 shall prevail to the extent of the inconsistency; and
(c) Section C of Chapter 10 (Investment) is hereby incorporated into and made a part of this Chapter solely for claims that a Party has breached Articles 10.11,
10.13, 10.16 and 10.17, as incorporated into this Chapter.
(a) activities conducted by a central bank or monetary authority or by any other public entity in pursuit of monetary or exchange rate policies;
(b) activities or services forming part of a public retirement plan or statutory
system of social security; or
(c) activities or services conducted for the account or with the guarantee or using the financial resources of the Party, including its public entities,
except that this Chapter shall apply if a Party allows any of the activities or services referred to in subparagraphs (a), (b) or (c) to be conducted by its financial institutions in competition with a public entity or a financial institution.
4. This Chapter does not apply to laws, regulations or requirements governing the procurement by government agencies of financial services purchased for governmental purposes and not with a view to commercial resale or use in the supply of services for commercial sale.
ARTICLE 12.2 : NATIONAL TREATMENT
other Party, financial institutions of the other Party and to investments of investors of the other Party in financial institutions, as the case may be, in like circumstance, either formally identical treatment or formally different treatment to that it accords to its own like financial services and financial service suppliers, its own like investors, its own like financial institutions and investments of its own like investors in financial institutions, respectively.
of the other Party in financial institutions in like circumstance.
ARTICLE 12.3 : MARKET ACCESS
a Party shall not maintain or adopt either on the basis of regional subdivision or on the basis of its entire territory, unless otherwise specified in its Schedule in Annex 12A, are defined as:
(a) limitations on the number of financial institutions whether in the form of numerical quotas, monopolies, exclusive service providers or the requirements of an economic needs test;
(b) limitations on the total value of financial service transactions or assets in the
form of numerical quotas or the requirement of an economic needs test;
(c) limitations on the total number of financial service operations or the total quantity of financial services output expressed in terms of designated numerical units in the form of quotas or the requirement of an economic
(d) limitations on the total number of natural persons that may be employed in a particular financial service sector or that a financial institution may employ and who are necessary for, and directly related to, the supply of a specific financial service in the form of a numerical quota or the requirement of an economic needs test;
(e) measures which restrict or require specific types of legal entity or joint
venture through which a financial institution may supply a service; and
(f) limitations on the participation of foreign capital in terms of maximum percentage limit on foreign shareholding or the total value of individual or aggregate foreign investment.
ARTICLE 12.4 : SCHEDULE OF SPECIFIC COMMITMENTS
(a) terms, limitations and conditions on market access;
(b) conditions and qualifications on national treatment;
(c) undertakings relating to additional commitments;
(d) where appropriate, the time-frame for implementation of such commitments.
Annex12A and shall form an integral part thereof.
ARTICLE 12.5 : TRANSPARENCY
(a) the work undertaken by the Parties in GATS and the Parties’ work in other
fora relating to trade in financial services; and
(b) the importance of regulatory transparency of identifiable policy objectives and clear and consistently applied regulatory processes that are communicated or otherwise made available to the public.
all such matters.
ARTICLE 12.6 : EXCEPTIONS
or 14 (Electronic Commerce) applies to non-discriminatory measures of general application taken by any public entity in pursuit of monetary and related credit policies
or exchange rate policies. This paragraph shall not affect a Party’s obligations under
Article 9.15, 10.7 or 10.11.
or for the benefit of, an affiliate of or a person related to such institution or supplier,
through the equitable, non-discriminatory and good faith application of measures relating to maintenance of the safety, soundness, integrity or financial responsibility of financial institutions or financial service suppliers. This paragraph does not prejudice any other provision of this Agreement that permits a Party to restrict transfers.
ARTICLE 12.7 : DOMESTIC REGULATION
In sectors where specific commitments are undertaken in its schedule to Annex
12A each Party shall ensure that all measures of general application to which this
Chapter applies are administered in a reasonable, objective and impartial manner.
ARTICLE 12.8 : TREATMENT OF CERTAIN INFORMATION
Nothing in this Chapter shall require a Party to furnish confidential information, the disclosure of which would impede law enforcement or otherwise be contrary to the public interest, or which would prejudice legitimate commercial interests of particular enterprises, public or private.
ARTICLE 12.9 : RECOGNITION
body or non-Party in determining how the Party’s measures relating to financial services shall be applied. Such recognition, which may be achieved through harmonisation or otherwise, may be based upon an agreement or arrangement with the international regulatory body or non-Party concerned or may be accorded autonomously.
ARTICLE 12.10 : FINANCIAL SERVICES COMMITTEE
(a) supervise the implementation of this Chapter and its further elaboration;
(b) consider issues regarding financial services that are referred to it by a Party;
(c) participate in the dispute settlement procedures in accordance with Article
ARTICLE 12.11 : CONSULTATIONS
ARTICLE 12.12 : DISPUTE SETTLEMENT
Article to the settlement of disputes arising under this Chapter.
(a) where the Parties so agree, the panel shall be composed entirely of panelists meeting the qualifications in paragraph 4;
(b) in any other case,
(i) each Party may select panelists meeting the qualifications set out in paragraph 4 or paragraph 4 of Article 20.7 ; and
(ii) if the Party complained against invokes Article 12.6, the chair of panel shall meet the qualifications set out in paragraph 4, unless the parties
(a) have expertise or experience in financial services law or practice, which may include the regulation of financial institutions;
(b) be chosen strictly on the basis of objectivity, reliability and sound judgment;
(c) meet the qualifications set out in paragraph 4 and paragraph 4 of Article 20.7.
(a) only the financial services sector, the complaining Party may suspend benefits only in the financial services sector;
(b) the financial services sector and any other sector, the complaining Party may suspend benefits in the financial services sector that have an effect equivalent
to the effect of the measure in the Party’s financial services sector; or
(c) only a sector other than the financial services sector, the complaining Party may not suspend benefits in the financial services sector.
ARTICLE 12.13 : INVESTMENT DISPUTES IN FINANCIAL SERVICES
(Investment) against the other Party and the respondent invokes Article 10.12 or 12.6,
on request of the respondent, the tribunal shall refer the matter in writing to the Financial Services Committee for a decision. The tribunal may not proceed pending receipt of a decision or report under this Article.
(60) days of the receipt of the referral under paragraph 1, the respondent or the Party of
the claimant may request the establishment of a panel under relevant Articles in Chapter
20 (Dispute Settlement). The panel shall be constituted in accordance with Article
12.12. The panel shall transmit its final report to the Financial Services Committee and to the tribunal. The report shall be binding on the tribunal.
ARTICLE 12.14 : MODIFICATION OF SCHEDULES
The Parties shall, on the request in writing by either Party, hold consultations to consider any modification or withdrawal of a commitment in the Schedule of specific commitments on trade in financial services. Such consultations shall be held within three months after the requesting Party makes such a request. In such consultations, the Parties shall aim to ensure that a general level of mutually advantageous commitments not less favourable to trade than that provided for in the Schedule of specific commitments in Annex 12A prior to such consultations is maintained.
ARTICLE 12.15 : DEFINITIONS
For the purposes of this Chapter:
trade in financial services means the supply of a financial service:
(a) from the territory of a Party into the territory of the other Party;
(b) in the territory of a Party by a person of that Party to the financial service consumer of the other Party;
(c) by a financial service supplier of a Party, through commercial presence in the territory of the other Party;
(d) by a financial service supplier of a Party, through presence of natural persons
of that Party in the territory of the other Party;
commercial presence means any type of business or professional establishment,
(a) the constitution, acquisition or maintenance of a juridical person; or
(b) the creation or maintenance of a branch or a representative office, within the territory of a Party for the purpose of supplying a service;
financial institution means any financial intermediary or other institution, that is authorised to do business and regulated or supervised as a financial institution under the law of the Party in whose territory it is located;
financial institution of the other Party means a financial institution, including a branch, located in the territory of a Party that is controlled by persons of the other Party;
financial service means a service of a financial nature, including insurance, and a service incidental or auxiliary to a service of a financial nature. Financial services shall include the activities as stated in Annex 12B;
financial service consumer means any person that receives or uses a financial service;
financial service supplier of a Party means any natural or juridical person authorised
by the law of a Party that is engaged in the business of supplying financial services through the trade in financial services.
investment means “investment” as defined in Chapter 10 (Investment), except that, with respect to “loans” and “debt instruments” referred to in that Chapter:
(a) a loan to or debt instrument issued by a financial institution is an investment only where it is treated as regulatory capital by the Party in whose territory the institution is located; and
(b) a loan granted by or debt instrument owned by a financial institution, other than a loan to or debt instrument of a financial institution referred to in subparagraph (a), is not an investment;
investor of a Party means a Party or state enterprise thereof, or a person of that Party, that attempts to make, is making, or has made an investment in the territory of the other
Party; provided, however, that a natural person who is a dual national shall be deemed
to be exclusively a national of the State of his/her dominant and effective nationality;
juridical person means any legal entity duly constituted or otherwise organised under applicable law, whether for profit or otherwise, and whether privately-owned or governmentally-owned, including any corporation, trust, partnership, joint venture, sole proprietorship or association, or a branch of a financial institution constituted or otherwise organised under the law of a non-Party that is registered or set up in the territory of a Party and carrying out business activities there;
juridical person of the other Party means a juridical person which is either:
(a) constituted or otherwise organised under the law of the other Party and, for greater certainty, includes a branch of a financial institution of a non-Party; and is engaged in substantive business operations in the territory of the other Party; or
(b) in the case of the supply of a service through commercial presence, owned or
(i) natural persons of the other Party; or
(ii) juridical persons of the other Party identified under subparagraph (a);
natural person of a Party means a natural person who resides in the territory of the
Party or elsewhere and who under the law of that Party:
(a) is a national of that Party; or
(b) has the right of permanent residence in that Party;
person of a Party means either a natural person or a juridical person;
public entity means:
(a) a government, a central bank or a monetary authority of a Party, or an entity owned or controlled by a Party, that is principally engaged in carrying out governmental functions or activities for governmental purposes, not including an entity principally engaged in supplying financial services on commercial terms; for greater certainty, a public entity shall not be considered a designated monopoly or a public enterprise for purposes of
Chapter 15 (Competition); or
(b) a private entity, performing functions normally performed by a central bank
or monetary authority, when exercising those functions;
authority responsible for financial services means:
(a) for Korea, the Ministry of Finance and Economy; and
(b) for Singapore, the Monetary Authority of Singapore.
TEMPORARY ENTRY OF BUSINESS PERSONS
ARTICLE 13.1: DEFINITIONS
For the purposes of this Chapter :
business person means a national of a Party who is engaged in trade in goods, the provision of services or the conduct of investment activities;
business visitors means nationals of either Party who are:
(a) service sellers;
(b) short-term service suppliers;
(c) investors of a Party or employees of an investor who are managers, executives or specialists as defined in relation to intra-corporate transferees
in a Party’s Schedule of Specific Commitments to GATS seeking temporary entry to establish an investment; or
(d) seeking temporary entry for the purposes of negotiating the sale of goods
where such negotiations do not involve direct sales to the general public;
service seller means a national of a Party who is a sales representative of a service supplier of that Party and is seeking temporary entry to the other Party for the purpose
of negotiating the sale of services for that service supplier, where such a representative will not be engaged in making direct sales to the general public or in supplying services directly;
short-term service suppliers means persons who:
(a) are employees of a service supplier or an enterprise of a Party not having a commercial presence or investment in the other Party, which has concluded a service contract with a service supplier or an enterprise engaged in substantive business operations in the other Party;
(b) have been employees of the service supplier or enterprise for a time period of not less than one year immediately preceding an application for admission for
(c) are managers, executives or specialists as defined in relation to intra- corporate transferees in a Party’s Schedule of Specific Commitments to GATS;
(d) are seeking temporary entry to the other Party for the purpose of providing a
service as a professional in the following service sectors on behalf of the service supplier or enterprise which employs them:
(i) professional services;
(ii) computer and related services;
(iii) telecommunication services;
(iv) financial services; or
(v) tour guides and translators; and
(e) satisfy any other requirements under the domestic laws and regulations of the other Party to provide such services in the territory of that Party; and
temporary entry means entry into the territory of a Party by a business person of the other Party without the intent to establish permanent residence.
ARTICLE 13.2: GENERAL PRINCIPLES
ARTICLE 13.3: GENERAL OBLIGATIONS
so as to avoid unduly impairing or delaying trade in goods or services or conduct of investment activities under this Agreement.
interpretations for the implementation of this Chapter.
ARTICLE 13.4: GRANT OF TEMPORARY ENTRY
(a) the settlement of any labour dispute that is in progress at the place or intended place of employment; or
(b) the employment of any person who is involved in such dispute.
(a) take measures to allow the business person to be informed in writing of the reasons for the refusal; and
(b) promptly notify the other Party in writing of the reasons for the refusal.
ARTICLE 13.5: PROVISION OF INFORMATION
Further to Article 19.2, each Party shall:
(a) provide to the other Party such materials as will enable the other Party to become acquainted with its own measures relating to this Chapter; and
(b) no later than six (6) months after the date of entry into force of this Agreement, publish or otherwise make available in its own territory, and in the territory of the other Party, explanatory material regarding the requirements for temporary entry under this Chapter in such a manner as will enable business persons of the other Party to become acquainted with them.
ARTICLE 13.6: DISPUTE SETTLEMENT
(a) the matter involves a pattern of practice; and
(b) the business person has exhausted the available administrative remedies regarding the particular matter.
a determination is not attributable to delay caused by the business person.
ARTICLE 13.7: RELATION TO OTHER CHAPTERS
Except for this Chapter, Chapters 1(General Provisions), 2(General Definitions),
20(Dispute Settlement) and 22(Administration and Final Provisions), and Articles 19.2,
19.3 and 19.4, nothing in this Agreement shall impose any obligation on a Party regarding its immigration measures.
ARTICLE 14.1 : DEFINITIONS
For the purposes of this Chapter:
digital products means computer programmes, text, video, images, sound recordings and other product that are digitally encoded, regardless of whether they are fixed on a carrier medium or transmitted electronically14-1;
carrier medium means any physical object capable of storing a digital product by any method now known or later developed, and from which a digital product can be perceived, reproduced, or communicated, directly or indirectly, and includes, but is not limited to, an optical medium, a floppy disk, or a magnetic tape;
electronic transmission or transmitted electronically means the transfer of digital products using any electromagnetic or photonic means; and
using electronic means employing computer and digital processing.
ARTICLE 14.2 : SCOPE
14-1 For greater clarity, digital products do not include digitised representations of financial instruments.
ARTICLE 14.3 : ELECTRONIC SUPPLY OF SERVICES
For greater certainty, the Parties affirm that measures related to the supply of a service using electronic means fall within the scope of the obligations contained in the relevant provisions of Chapters 9 (Cross-Border Trade in Services), 10 (Investment) and
12 (Financial Services), and, subject to any exceptions applicable to such obligations and except where an obligation does not apply to any such measure pursuant to Articles
9.6 and 10.9.
ARTICLE 14.4 : DIGITAL PRODUCTS
(a) on the basis that:
(i) the digital product receiving less favourable treatment is created, produced, published, stored, transmitted, contracted for, commissioned,
or first made available on commercial terms in the territory of the other
(ii) the author, performer, producer, developer, or distributor of such digital product is a person of the other Party,
14-2 Paragraph 1 does not preclude a Party from imposing internal taxes or other internal charges
provided that these are imposed in a manner consistent with this Agreement.
(b) so as otherwise to afford protection to the other like digital products that are created, produced, published, stored, transmitted, contracted for, commissioned, or first made available on commercial terms, in its territory.
9.6 and 10.9.
ARTICLE 15.1: PURPOSE AND DEFINITIONS
(a) anti-competitive horizontal arrangements between competitors;
(b) misuse of market power;
(c) anti-competitive vertical arrangements between businesses; and
(d) anti-competitive mergers and acquisitions.
ARTICLE 15.2: PROMOTION OF COMPETITION
its territory, adopting and enforcing such means or measures as it deems appropriate and effective to counter such practices.
ARTICLE 15.3: APPLICATION OF COMPETITION LAWS
ARTICLE 15.4: COMPETITIVE NEUTRALITY
ARTICLE 15.5: CONSULTATIONS
ARTICLE 15.6: CO-OPERATION
ARTICLE 15.7: TRANSPARENCY
The Parties shall publish or otherwise make publicly available their laws addressing fair competition, including information on any exemptions provided under such laws.
ARTICLE 15.8: DISPUTE RESOLUTION
Agreement for any issue arising from or relating to this Chapter.
ARTICLE 16.1 : GENERAL
of government procurement markets in the context of the rules-based international trading system. The Parties shall continue to co-operate in the review under paragraph 7
of Article XXIV of the GPA and on procurement matters in the APEC and other appropriate international fora.
ARTICLE 16.2 : SCOPE AND COVERAGE
(a) by an entity specified in a Party’s Appendix 16A.1;
(b) by any contractual means, including through such methods as purchase or as lease, rental or hire purchase, with or without option to buy, of goods or services or any combination of goods and services specified in a Party’s
Appendix 16A.2; and
(c) in which the contract has a value not less than the relevant thresholds set out
in Annex 16A.
ARTICLE 16.3 : INCORPORATION OF GPA PROVISIONS
(a) Agreement in the GPA means “Chapter” except that countries not Parties
to this Agreement means non-Parties and Party to the Agreement in GPA Article III:2(b) means Party;
(b) Appendix I in the GPA means Annex 16A;
(c) Appendix II in the GPA means Annex 16B;
(d) Annex 1 in the GPA means Appendix 16A.1 of Schedule 1 of Annex 16A ;
(e) Annex 2 in the GPA means Appendix 16A.1 of Schedule 2 of Annex 16A ;
(f) Annex 3 in the GPA means Appendix 16A.1 of Schedule 3 of Annex 16A ;
(g) Annex 4 in the GPA means Appendix 16A.1 of Schedule 2 of Annex 16A ;
(h) Annex 5 in the GPA means Appendix 16A.1 of Schedule 3 of Annex 16A ;
(i) any other Party in Article III:1(b) of the GPA means a non-Party;
(j) “from other Parties” in Article IV:1 of the GPA means from the other
(k) among suppliers of other Parties or in Article VIII of the GPA shall not be incorporated; and
(l) products in the GPA means goods.
ARTICLE 16.4 : QUALIFICATION OF SUPPLIERS
Any conditions for participation in tendering procedures shall be limited to those which are essential to ensure the firm's capability to fulfill the contract in question. Any conditions for participation required from suppliers or service providers, including financial guarantees, technical qualifications and information necessary for establishing the financial, commercial and technical capacity of suppliers and service providers, as well as the verification of qualifications, shall be no less favourable to suppliers and service providers of the other Party than to domestic suppliers and service providers. The financial, commercial and technical capacity of a supplier or service provider shall
be judged on the basis both of that supplier's or service provider's global business
activity as well as of its activity in the territory of the procuring entity, taking due account of the legal relationship between the supply organisations.
ARTICLE 16.5 : INFORMATION TECHNOLOGY AND CO-OPERATION
in Annex 16B.
(a) the subject matter of the contract;
(b) the time limits set for the submission of tenders or an application to be invited to tender; and
(c) the addresses and contacts from which documents relating to the contracts may be requested.
ARTICLE 16.6 : PUBLICATION OF INDICATIVE PROCUREMENT PLANS
Each Party shall encourage its entities to publish, as early as possible in the fiscal year, information regarding the entity’s indicative procurement plans in the electronic-procurement portal.
ARTICLE 16.7 : MODIFICATIONS TO COVERAGE
be entitled to compensatory adjustments.
in paragraphs 1 and 2, it shall notify the other Party and provide appropriate compensatory adjustments in order to maintain a level of coverage comparable to that existing prior to the modification. The proposed modification shall become effective thirty (30) days from the date of notification.
ARTICLE 16.8 : TRANSPARENCY
The Parties shall apply all procurement laws, regulations, procedures and practices consistently, fairly and equitably so that their government entities provide transparency
to potential suppliers.
ARTICLE 16.9 : CONTACT POINTS
Party shall be made through its contact point.
(a) for Korea, the Ministry of Finance and Economy, or its successor; and
(b) for Singapore, the Ministry of Finance, or its successor.
INTELLECTUAL PROPERTY RIGHTS
ARTICLE 17.1 : DEFINITION
For the purposes of this Chapter:
intellectual property rights refer to copyright and related rights, trademarks, geographical indications, industrial designs, patents, layout-designs (topographies) of integrated circuits and rights in undisclosed information;
TRIPS Agreement means the WTO Agreement on Trade-Related Aspects of
Intellectual Property Rights;
PCT means the Patent Cooperation Treaty administered by the World Intellectual
ISA and IPEA means the International Searching Authority and the International
Preliminary Examining Authority, respectively, under the PCT; IPOS means the Intellectual Property Office of Singapore; and KIPO means the Korean Intellectual Property Office.
ARTICLE 17.2 : GENERAL OBLIGATIONS
Each Party re-affirms its obligations under the TRIPS Agreement, and, in accordance with the TRIPS Agreement, shall provide adequate and effective protection
of intellectual property rights to the nationals of the other Party in its territory.
ARTICLE 17.3 : ENFORCEMENT
The Parties shall, consistent with the TRIPS Agreement, provide for the
enforcement of intellectual property rights in their respective laws.
ARTICLE 17.4 : MORE EXTENSIVE PROTECTION
Each Party may implement in its domestic laws more extensive protection of intellectual property rights than is required under this Agreement, provided that such protection is not inconsistent with this Agreement and the TRIPS Agreement.
ARTICLE 17.5 : CO-OPERATION IN THE FIELD OF INTELLECTUAL PROPERTY
(a) international search and international preliminary examination under PCT and facilitation of international patenting process;
(b) promotion of mutual understanding of the other Party's intellectual property
policies, activities, and experiences thereof;
(c) promotion of education and awareness of intellectual property;
(d) patent technology, licensing, and market intelligence; and
(e) plant variety protection including exchange of technical expertise and knowledge.
ARTICLE 17.6 : DESIGNATION OF KIPO AS AN ISA AND IPEA UNDER PCT
in the English language.
ARTICLE 17.7 : FACILITATION OF PATENTING PROCESS
Singapore shall designate KIPO as a prescribed patent office in accordance with the Patents Act (Cap. 221) of Singapore and the regulations made thereunder for the purpose of facilitating the patent process of a patent application filed in Singapore that corresponds to a patent application filed in Korea, where the applicant for that patent application filed in Singapore provides IPOS with the necessary information, documents and translation on that corresponding application filed in Korea, as required by the Patents Act and the regulations thereunder.
ARTICLE 17.8 : PROMOTION OF EDUCATION AND AWARENESS OF INTELLECTUAL
The Parties may jointly undertake education, workshops, and fairs in the field of intellectual property for the purposes of contributing to a better understanding of each other's intellectual property policies and experiences.
ARTICLE 17.9 : JOINT COMMITTEE ON INTELLECTUAL PROPERTY
(a) overseeing and reviewing the Parties' co-operation under this Chapter;
(b) providing advice with regard to the Parties' co-operation under this Chapter;
(c) considering and recommending new areas of co-operation on matters covered by this Chapter; and
(d) discussing other issues related to intellectual property.
ARTICLE 18.1: NON-APPLICATION OF DISPUTE SETTLEMENT PROVISIONS
Chapter 20 (Dispute Settlement) shall not apply to any matter or dispute arising under this Chapter.
ARTICLE 18.2: INFORMATION AND COMMUNICATIONS TECHNOLOGY
Co-operation in the Field of Information and Communications Technology
Forms and Areas of Co-operation
(a) promoting dialogue on policy issues;
(b) promoting co-operation between the private sectors of the Parties;
(c) enhancing co-operation in international fora relating to ICT; and
(d) undertaking other appropriate co-operative activities.
(a) inter-operability of Public Key Infrastructure (“PKI”);
(b) development, processing, management, distribution and trade of digital contents;
(c) business opportunities in third markets; and
(d) cross-recognition of professional ICT certification.
ARTICLE 18.3: ELECTRONIC COMMERCE
(a) determine the appropriate authentication technologies and implementation models for their electronic transaction, without limiting the recognition of technologies and implementation models; and
(b) have the opportunity to prove in court that their electronic transaction
complies with any legal requirement.
ARTICLE 18.4: SCIENCE & TECHNOLOGY
(a) exchange of scientists, researchers, technicians and experts;
(b) exchange of documentation and information of a scientific and technological nature;
(c) joint organisation of seminars, symposia, conferences and other scientific and technological meetings;
(d) implementation of joint research and development activities in fields of mutual interest as well as exchange of the results of such research and development activities;
(e) co-operation in the commercialisation of the results of scientific and
technological activities; and
(f) any other form of scientific and technological co-operation agreed upon by the Parties.
(e) new materials;
(f) information technology;
(g) manufacturing technology;
(h) environmental technology; and
(i) science and technology (“S&T”) policy and research and development
ARTICLE 18.5: FINANCIAL SERVICES
(a) implementing sound prudential policies, and enhancing effective supervision
of financial institutions of either Party operating in the territory of the other
(b) responding properly to issues relating to globalisation in financial services, including those provided by electronic means;
(c) maintaining an environment that does not stifle legitimate financial market
(d) conducting oversight of global financial institutions to minimise systemic risks and to limit contagion effects in the event of crisis.
on their respective securities markets and securities derivatives markets, for the purpose
of contributing to the effective enforcement of the securities laws of each Party. In this connection, the regulatory agencies of each Party shall be encouraged to formalise information sharing arrangement on securities markets and securities derivatives markets through a memorandum of understanding.
Capital Market Development
ARTICLE 18.6: TRADE AND INVESTMENT PROMOTION
operation shall be specified in Section 1 of Annex 18A.
ARTICLE 18.7: PAPERLESS TRADING
(a) the establishment and operation of facilities to provide paperless trading between the enterprises and their respective governments of the Parties;
(b) the joint studies on how to use and exchange electronic trade-related information and electronic documents and on possible action for standardisation and establishment of legal infrastructure; and
(c) the execution of the feasible pilot projects, including the electronic
transmission of the trade-related documents, such as invoice, packing list and certification of origin.
ARTICLE 18.8: BROADCASTING
ARTICLE 18.9: ENVIRONMENT
Desiring to promote closer co-operation between interested organisations and industries of the Parties in the field of CNG technologies and applications to environmental protection, the Parties have concluded a Memorandum of Understanding
to facilitate such co-operation.
ARTICLE 18.10: HUMAN RESOURCES MANAGEMENT AND DEVELOPMENT
in the field of human resource development. Such co-operation activities may include
(a) exchange of government officials -
the Parties shall promote exchanges of their government officials with a view to enhancing mutual understanding of the policies of their respective governments and the details of such exchanges of such government officials shall be specified in Section 3 of Annex 18A;
(b) co-operation between educational institutions -
the Parties shall facilitate the launch of double degree programmes between higher educational institutions of the Parties, such as in the area of digital media technology;
(c) third country training programme -
the Parties re-affirm the importance of the Parties’ Third Country Training Programme (“TCTP”) in jointly rendering meaningful and productive technical assistance to third countries, in particular, in developing their social and economic resources and in recognition of the importance of the TCTP and its role in bringing the Parties’ bilateral relations to a higher level, the Parties shall make effort to increase the current level of co-operation in the TCTP;
(d) ageing population -
the Parties shall exchange views and experiences on policy issues concerning an ageing population; and
(e) people developer -
the Parties shall promote the exchange of views and experiences on people developer between the Parties.
ARTICLE 18.11: MARITIME TRANSPORT
(a) exchange of maritime simulation instructors/assessors and Certificate of Competency (“CoC”) examiners through study visits to learn how each Party uses simulators for their respective CoC training and other maritime applications; and
(b) development of a low-cost Automatic Identification System for marine
applications such as fleet management for non-SOLAS vessels, monitoring of aids to navigation and monitoring of dumping activities at sea.
Transport between the Government of the Republic of Korea and the Government of the
Republic of Singapore, signed on May 26,1981.
ARTICLE 18.12: ENERGY
(a) facilitation of co-operation between the private sectors of both Parties for the purpose of oil/gas exploration;
(b) facilitation of co-operation between research institutes, and universities of both Parties for the purpose of engaging in joint R&D projects; and
(c) exchange of information and sharing experiences in the fields of electricity and gas restructuring efforts, through study visits or such other activities as mutually agreed upon by the implementing authorities.
ARTICLE 18.13: FILM PRODUCTION
co-productions to promote understanding and cultural exchanges between the Parties, shall promote co-operation in this area.
ARTICLE 18.14: GAMING AND ANIMATION
The Parties, recognising both the potential of the gaming and animation industries
as means for promoting understanding between the Parties and the rapid development of innovative media services, shall promote co-operation in this area between the Parties.
ARTICLE 19.1 : DEFINITIONS
For the purposes of this Chapter:
administrative ruling of general application means an administrative ruling or interpretation that applies to all persons and fact situations that fall generally within its ambit and that establishes a norm of conduct but does not include:
(a) a determination or ruling made in an administrative or quasi-judicial proceeding that applies to a particular person, good or service of the other Party in a specific case; or
(b) a ruling that adjudicates with respect to a particular act or practice.
ARTICLE 19.2 : PUBLICATION
(a) publish in advance any such laws, regulations, procedures, and administrative rulings that it proposes to adopt; and
(b) provide interested persons and the other Party a reasonable opportunity to comment on such measures.
ARTICLE 19.3 : NOTIFICATION AND PROVISION OF INFORMATION
or otherwise substantially affect the other Party's interests under this Agreement.
ARTICLE 19.4 : ADMINISTRATIVE PROCEEDINGS
With a view to administering in a consistent, impartial and reasonable manner all measures referred to in Article 19.2, each Party shall ensure that in its administrative proceedings applying such measures to particular persons, goods or services of the other Party in specific cases that:
(a) wherever possible, persons of the other Party that are directly affected by a proceeding are provided with a reasonable notice, in accordance with domestic procedures, when a proceeding is initiated, including a description
of the nature of the proceeding, a statement of the legal authority under which the proceeding is initiated and a general description of any issues in controversy;
(b) such persons are afforded with a reasonable opportunity to present facts and arguments in support of their positions prior to any final administrative action, when time, the nature of the proceeding and the public interest permit; and
(c) its procedures are in accordance with its domestic law.
ARTICLE 19.5 : REVIEW AND APPEAL
(a) a reasonable opportunity to support or defend their respective positions; and
(b) a decision based on the evidence and submissions of record and, where required by domestic law, the record compiled by the administrative authority.
ARTICLE 20.1 : CO-OPERATION
The Parties shall at all times endeavour to agree on the interpretation and application of this Agreement, and shall make every attempt through co-operation and consultations to arrive at a mutually satisfactory resolution of any matter that might affect its operation.
ARTICLE 20.2 : SCOPE AND COVERAGE
of this Agreement or wherever a Party considers that a measure of the other Party is
inconsistent with the obligations of this Agreement or causes nullification or impairment
of any benefit accruing to it directly or indirectly under Chapters 3 (National Treatment and Market Access for Goods), 4 (Rules of Origin), and 9 (Cross Border Trade on Services).
or diminish the rights and obligations of the Parties under this Agreement.
a Party. When an arbitral panel has ruled that a provision of this Agreement has not been
observed, the responsible Party shall take such reasonable measures as may be available
to it to ensure its observance within its territory.
apply the provisions of this Agreement in the light of the objectives of this Agreement and in accordance with customary rules of public international law.
ARTICLE 20.3 : CHOICE OF FORUM
ARTICLE 20.4 : CONSULTATIONS
of the request, with a view to reaching a mutually satisfactory solution.
(a) provide sufficient information to enable a full examination of how the measure might affect the operation of the Agreement; and
(b) treat as confidential any information exchanged in the consultations which the other Party has designated as confidential.
ARTICLE 20.5 : GOOD OFFICES, CONCILIATION OR MEDIATION
ARTICLE 20.6 : REQUEST FOR AN ARBITRAL PANEL
ARTICLE 20.7 : COMPOSITION OF ARBITRAL PANELS
of the original member and the successor shall have all the powers and duties of the original member. In such a case, any time period applicable to the arbitral panel proceedings shall be suspended for a period beginning on the date when the original member becomes unable to act and ending on the date when the new member is appointed.
ARTICLE 20.8 : TERMINATION OF PROCEEDINGS
The Parties may agree to terminate the proceedings before an arbitral panel at any time by jointly notifying the chair to this effect.
ARTICLE 20.9 : PROCEEDINGS OF ARBITRAL PANELS
of procedure in the Annex 20A, which shall ensure:
(a) that an arbitral panel shall meet in closed session;
(b) a right to at least one hearing before the arbitral panel;
(c) an opportunity for each Party to provide initial and rebuttal submissions;
(d) that each Party’s written submissions, written versions of its oral statement, and written response to a request or question from the arbitral panel may be made public after they are submitted, subject to clause (g);
(e) that the arbitral panel may consider requests from non-governmental entities
in the Parties’ territories to provide written views regarding the dispute that may assist the arbitral panel in evaluating the submissions and arguments of the Parties;
(f) a reasonable opportunity for each Party to submit comments on the initial
report presented pursuant to paragraph 3 of Article 20.11; and
(g) the protection of confidential information.
ARTICLE 20.10 : INFORMATION AND TECHNICAL ADVICE
expert or experts. The arbitral panel may, at the request of a Party or on its own initiative, select, in consultation with the Parties, scientific or technical experts who shall assist the arbitral panel throughout its proceedings, but who shall not have the right
to vote in respect of any decision to be made by the arbitral panel.
ARTICLE 20.11 : INITIAL REPORT
(a) findings of law and/or fact together with reasons;
(b) its determination as to the implementation, interpretation or application of this Agreement or whether the measure at issue is inconsistent with the obligations of this Agreement or causes nullification or impairment of any benefit accruing to a Party under this Agreement, or any other determination requested in the terms of reference; and
(c) its recommendations, if any, on the means to resolve the dispute.
days of its presentation.
ARTICLE 20.12 : FINAL REPORT
of presentation of the initial report, unless the Parties otherwise agree.
(15) days of its delivery to the Parties.
ARTICLE 20.13 : IMPLEMENTATION OF FINAL REPORT
(a) the means to resolve the dispute, which normally shall conform with the determinations or recommendations, if any, of the arbitral panel; and
(b) the reasonable period of time which is necessary in order to implement the means to resolve the dispute. If the Parties fail to agree on the reasonable period of time, a Party may request the original arbitral panel to determine the length of the reasonable period of time, in the light of the particular circumstances of the case. The determination of the arbitral panel shall be presented within fifteen (15) days from that request.
be to eliminate the non-conformity or the nullification or impairment.
ARTICLE 20.14 : NON-IMPLEMENTATION – COMPENSATION AND SUSPENSION OF
(a) are unable to agree on the means to resolve the dispute pursuant to paragraph
2(a) of Article 20.13 within thirty (30) days of issuance of the final report; or
(b) have agreed on the means to resolve the dispute pursuant to Article 20.13 and the Party complained against fails to implement the aforesaid means within thirty (30) days following the expiration of the reasonable period of time determined in accordance with paragraph 2(b) of Article 20.13,
the Party complained against shall enter into negotiations with the complaining Party
with a view to reaching a mutually satisfactory agreement on any necessary compensatory adjustment.
(a) the complaining Party should first seek to suspend benefits in the same sector or sectors as that affected by the measure or other matter that the arbitral panel has found to be inconsistent with this Agreement or to have caused nullification or impairment; and
(b) the complaining Party may suspend benefits in other sectors if it
considers that it is not practicable or effective to suspend benefits in the same sector.
(a) the level of benefits that the complaining Party has proposed to be suspended
is manifestly excessive; or
(b) it has eliminated the non-conformity, nullification or impairment that the arbitral panel has found,
it may request the original arbitral panel to determine the matter. The original arbitral panel shall present its determination to the Parties within thirty (30) days after it reconvenes.
ARTICLE 20.15 : OFFICIAL LANGUAGE
ARTICLE 20.16 : EXPENSES
ARTICLE 21.1 : DEFINITIONS
For the purposes of this Chapter:
tax agreement means a convention for the avoidance of double taxation or other international agreement or arrangement.
ARTICLE 21.2 : GENERAL EXCEPTIONS
(a) Chapters 3 (National Treatment and Market Access for Goods), 4 (Rules of Origin), 5 (Customs Procedures), 6 (Trade Remedies), and 14 (Electronic Commerce), except to the extent that a provision of those Chapters applies to services or investment; and
(b) Chapter 16 (Government Procurement), except to the extent that any of its
provisions applies to services.
(a) Chapters 3 (National Treatment and Market Access for Goods), 4 (Rules of Origin), 5 (Customs Procedures), 6 (Trade Remedies), and 14 (Electronic Commerce), to the extent that a provision of those chapters applies to services;
(b) Chapter 9 (Cross Border Trade in Services);
(c) Chapter 10 (Investment);
(d) Chapters 11 (Telecommunication) and 12 (Financial Services); and
(e) Chapter 16 (Government Procurement), to the extent that a provision applies
ARTICLE 21.3 : NATIONAL SECURITY
(a) to require a Party to furnish any information, the disclosure of which it considers contrary to its essential security interests; or
(b) to prevent a Party from taking any actions which it considers necessary for the protection of its essential security interests:
(i) relating to the traffic in arms, ammunition and implements of war and to such traffic in other goods and materials or relating to the supply
of services as carried on, directly or indirectly, for the purpose of supplying or provisioning a military establishment;
(ii) taken in time of war or other emergency in international relations;
(iii) relating to fissionable and fusionable materials or the materials from which they are derived; or
(c) to prevent a Party from taking any action in pursuance of its obligations under the United Nations Charter for the maintenance of international peace and security.
A Party shall inform the other Party to the fullest extent possible, of measures taken under paragraphs 1(b) and (c) and of their termination during the meeting to review the implementation of this Agreement under Article 22.1, if such measures were taken.
ARTICLE 21.4 : TAXATION
inconsistency between this Agreement and any such agreement, that agreement shall prevail to the extent of the inconsistency. In the case of a bilateral tax agreement between the Parties, the competent authorities under that agreement shall have sole responsibility for determining whether any inconsistency exists between this Agreement and that agreement.
consider it, fail to agree that the measure is not an expropriation within a period of six
(6) months of such referral, the investor may submit its claim to arbitration under
21-1 With reference to Article 10.13 in assessing whether a taxation measure constitutes expropriation,
the following considerations are relevant:
(i) the imposition of taxes does not generally constitute expropriation. The mere introduction of new taxation measures or the imposition of taxes in more than one jurisdiction in respect of an investment, does not in and of itself constitute expropriation;
(ii) taxation measures which are consistent with internationally recognised tax policies, principles and
practices do not constitute expropriation. In particular, taxation measures aimed at preventing the avoidance or evasion of taxes should not, generally, be considered to be expropriatory; and
(iii) taxation measures which are applied on a non-discriminatory basis, as opposed to being targeted
at investors of a particular nationality or specific individual taxpayers, are less likely to constitute expropriation. A taxation measure should not constitute expropriation if, when the investment is made, it was already in force, and information about the measure was made public or otherwise made publicly available.
(a) for Singapore, Director for Fiscal Policy, Ministry of Finance, or his successor or such other public officer as may be designated by Singapore; and
(b) for Korea, Deputy Minister, Tax and Customs Office, Ministry of Finance and Economy or his successor.
ADMINISTRATION AND FINAL PROVISIONS
ARTICLE 22.1 : REVIEW ON THE IMPLEMENTATION OF THE AGREEMENT
(a) review the implementation and application of the provisions of this Agreement including the work of any committees and working groups established under this Agreement;
(b) establish and delegate responsibilities to any ad hoc or standing committees,
working groups or expert groups to:
(i) assign them with tasks on specific matters;
(ii) study and recommend to the Ministers in charge of trade negotiations
of the Parties any appropriate measures to resolve any issues arising from the implementation or application of any part of this Agreement;
(iii) to consider, upon either Party’s request, new issues not already dealt with by this Agreement;
(c) modify the established rules of origin and such modification shall come into force in accordance with Article 22.4; and
(d) consider any other matter that may affect the operation of this Agreement.
ARTICLE 22.2 : CONTACT POINTS
Party shall be made through its contact point.
(a) for Korea, the Free Trade Agreement Bureau of the Ministry of Foreign
Affairs and Trade, or its successor; and
(b) for Singapore, the Ministry of Trade and Industry, or its successor.
ARTICLE 22.3 : ANNEXES AND APPENDICES
The Annexes and Appendices to this Agreement shall constitute integral parts of this Agreement.
ARTICLE 22.4 : AMENDMENTS
ARTICLE 22.5 : ENTRY INTO FORCE
This Agreement shall enter into force thirty (30) days after an exchange of written notifications, certifying the completion of the necessary legal procedures of each Party.
ARTICLE 22.6 : TERMINATION
Either Party may terminate this Agreement by written notification to the other Party, and such termination shall take effect six (6) months after the date of the notification.
ARTICLE 22.7 : AUTHENTIC TEXTS
The Korean and English texts of this Agreement are equally authentic. In the event
of divergence, the English text shall prevail.
IN WITNESS WHEREOF, the undersigned, being duly authorised by their respective
Governments, have signed this Agreement.
DONE in , on , in duplicate, in the Korean and English languages.
FOR THE GOVERNMENT OF FOR THE GOVERNMENT OF THE REPUBLIC OF KOREA THE REPUBLIC OF SINGAPORE
BAN KI-MOON LIM HNG KIANG Minister of Foreign Affairs and Trade Minister for Trade and Industry