12 EU- Republic of Korea relations
| (31167)
15710/09
COM(09) 631
| Draft Council Decision on the signing and provisional application of the Framework Agreement between the European Community and its Member States and the Republic of Korea
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| Legal base | Articles 133, 181(a) and 300(2) EC Treaty; unanimity
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| Document originated | 18 November 2009
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| Deposited in Parliament | 23 November 2009
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| Department | Foreign and Commonwealth Office
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| Basis of consideration | EM of 7 December 2009
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| Previous Committee Report | None
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| To be discussed in Council | To be determined
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| Committee's assessment | Politically important
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| Committee's decision | Cleared
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Background
12.1 In its introductory Explanatory Memorandum, the Commission
recalls that, acting on the Commission's recommendation of December
2007, the Council authorised the Commission to negotiate a new
Framework Agreement with the Republic of Korea (RoK) in May 2008.
RoK is "increasingly active on the international scene as
a like-minded country committed to human rights, free markets
and multilateralism." Next to "a thriving trade and
investment relationship," the Commission says cooperation
is also expanding in areas such as science and technology, education,
climate change and development assistance." Political dialogue
has also deepened in recent years, "particularly (but not
exclusively) focused on North Korea."
12.2 This new Framework Agreement, negotiated in
parallel with a comprehensive Free Trade Agreement (FTA), will
establish "a fully coherent modernised framework for bilateral
relations." It was initialled on 14 October 2009 and, the
Commission says, will form "the contractual basis for our
relationship with Korea and is underpinned by a broad set of common
principles and shared values." Its objective is "to
offer Korea a broad basis for cooperation with the EU", including
on major political and global issues.
12.3 It accordingly includes:
— "modern
and comprehensive provisions on economic cooperation";
— cooperation in the fields of justice,
freedom and security (e.g. combating organised crime and corruption,
drugs and money laundering, migration, protection of personal
data, etc.) as well as on good governance in the field of taxation;
— a basis for "working together on
global issues such as: climate change; security of energy supply;
approaches to labour issues, education and other issues relating
to structural change in the world economy; proliferation of weapons
of mass destruction; terrorism";
— a "shared understanding on the need
to prosecute the most serious crimes of concern to the international
community".
12.4 The EU-Korea Free Trade Agreement (FTA) was
initialled on 15 October 2009 between representatives of the RoK
and then Trade Commissioner Ashton. It needs to be approved by
the South Korean Parliament, the European Parliament and Member
States. When passed, the agreement would be second only to the
North American Free Trade Agreement. It would be the third such
trade-related agreement between the EU and RoK, the first (the
Agreement on Co-operation and Mutual Administrative Assistance
in Customs Matters) dating from 1997 and the second agreement
(the Framework Agreement on Trade and Co-operation) from 2001.
Trade between the two entities in 2007 was €64 billion: the
EU is the second largest importer of South Korean goods; South
Korea is the eight largest importer of EU goods.
12.5 The Framework Agreement also clarifies the relationship
between itself, on the one hand, and, on the other hand, specific
sectoral agreements (both existing and future), including the
FTA. Such agreements are considered to form "an integral
part of overall bilateral relations as governed by [the Framework-Agreement]"
and to "form part of a common institutional framework".
12.6 The Framework Agreement will be the first contractual
instrument of its kind concluded by the EU with a developed country.
When in force, it will form the basis for a Strategic Partnership
with Korea, in line with the outcome of the 4th EU-Korea Summit
held in Seoul on 23 May 2009.
The Government's view
12.7 In his Explanatory Memorandum of 7 December
2007, the Minister for Europe at the Foreign and Commonwealth
Office (Chris Bryant) does little more than reiterate the rationale
for and nature of the agreement as set out in the Commission's
own Explanatory Memorandum.
12.8 He does, though, note UK support for the position
that all FTAs must be linked to Partnership and Cooperation Agreements
(PCA) or updated Framework Agreements, and that he expects both
agreements to be signed in early 2010.
Conclusion
12.9 No questions arise. We are nonetheless drawing
this to the attention of the House because of the ground-breaking
nature of the Agreement and the importance of the EU's partner
in this process.
12.10 We now clear the document.
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