KUALA LUMPUR, June 28 (Bernama) -- The Ministry of International Trade and Industry (MITI) is pleased to announce the initiation of Malaysia and Republic of Korea (Malaysia-Korea Free Trade Agreement - MKFTA) which has been agreed by MITI Minister, YB Datuk Darell Leiking and HE Yoo Myung-hee, Trade Minister, Ministry of Trade, Industry and Energy (MOTIE).
 
The discussion to explore the bilateral trade agreement was initiated when YAB Tun Dr. Mahathir Mohamed, Prime Minister of Malaysia met HE Moon, Jae-in, President of Republic of Korea in March 2019. During the meeting, both leaders recognise the significance of the enhanced economic cooperation and partnership between the two countries for mutual long-term prosperity. 
 
Malaysia and Korea have established diplomatic relations since 1960. Since then, the economic relations have improved in many respects, especially with the full enforcement of ASEAN-Korea Free Trade Agreement (AKFTA) from January 2010. Currently both Malaysia and Korea are also participating in the Regional Comprehensive Economic Partnership (RCEP) negotiations. The bilateral FTA is expected to provide a better platform for both countries to increase trade activities, as well as to facilitate investment. In order to strengthen the economic cooperation elements, both Malaysia and Korea are desirable to explore cooperation which in line with both parties’ economic development strategies, such as Malaysia’s Look East Policy 2.0 and Korea’s New Southern Policy. 
 
In 2018, Korea was Malaysia’s 8^th largest trading partner with total trade increased by 7.2% amounting to RM72.60 billion (US$17.98 billion) from 2017. In addition, Korea is Malaysia’s 9^th largest export destination driven by exports of electrical & electronics products, liquefied natural gas (LNG), petroleum products, manufactured of metal and chemicals and chemical products. Meanwhile, Korea is the 8^th largest source of imports with major products such as electrical & electronics products, petroleum products, chemicals and chemical products, machinery, equipment and parts and iron & steel products. 
 
Ministry of International Trade & Industry
27 June 2019

For further enquiries you may contact:

Strategic Negotiations Division
Ministry of International Trade and Industry (MITI) 
Level 15, Menara MITI 
No. 7, Jalan Sultan Haji Ahmad Shah 
50480 Kuala Lumpur, 
MALAYSIA 
 
Telephone Number: (603) 6200 0452
Facsimile Number : (603) 6211 3174 
 
About MITI:
MITI is the key driver in making Malaysia the preferred destination for quality investments and enhancing the nation's rising status as a globally competitive trading nation. Its objectives and roles are oriented towards ensuring Malaysia’s rapid economic development and help achieve the country's stated goal of becoming a developed nation by 2020.

SOURCE : Ministry of International Trade and Industry (MITI) 

FOR MORE INFORMATION, PLEASE CONTACT:
Ministry of International Trade & Industry
Strategic Communications Unit
Tel :  +603 6200 0082 
Fax : +603 6206 4293 
E-mail : allpegkomunikasikorporat@miti.gov.my

--BERNAMA