South Korea’s National Assembly approved a free trade agreement (FTA) with Colombia on Tuesday meaning that only approval of Colombian Congress remains before the agreement can enter into force.
The bilateral FTA was approved on Tuesday and confirmed by representatives of the South Korean Ministry of Commerce, Industry and Energy.
The original pact was signed by both countries in February 2013 but must be approved by both countries’ congresses before officially coming into force.
MORE: Colombia signs free trade agreement with South Korea
Under the agreement, South Korea will eliminate tariffs on imports of 96.1% of Colombian products over 10 years and Colombia will eliminate tariffs on 96.7% of all products from South Korea.
Colombian exports to South Korea are mainly coal, coffee and metals, while for South Korea, the fourth largest economy in Asia, exports to Colombia consist mainly of vehicles, car parts, machinery and technology.
Therefore Colombia will gradually lift the import tariff of 35% on cars within ten years and for midsize diesel-powered vehicles within nine years. The import tax for car parts such as tires will be eliminated immediately or within five years.
In 2013 , bilateral trade between the two countries was valued at $1,550 million.