• THE INTERNATIONAL COMMERCE & LAW REVIEW
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• v.34
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• pp.189-223
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• 2007

In Korea-U.S.A. FTA Negotiation, U.S.A. request to eliminate barriers of tariffs and non-tariff in trade of cosmetics. Korea applies tariffs of 8% on most cosmetics and personal care products. There are some non-tariffs barriers in cosmetics trade between Korea and U.S.A., for example, transparency on restriction and regulatory, cosmeceuticals, import clearance review, quality control testing, ingredient labelling. Tariffs of 8% on most cosmetics should be eliminated, a proviso of complementary measures on sanitation of Korean people about imported cosmetics. This is a meaning of reformation of prior management(tariffs) by strong ex post management in cosmetics trade. It is important that Korea should construct system of ex post management, for instance, construction of data base on manufacturer, importer, bland name of cosmetics and all ingredients of cosmetics. This is concerned with labelling of cosmetics and cosmeceutical and publication of Korean edition of INCI(International Nomenclature of Cosmetic Ingredient).

• Journal of Korea Trade
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• v.24 no.4
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• pp.49-70
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• 2020

Purpose - The UCP is recognized as the governing law for L/C transactions, but it covers only the general details of the transaction and does not cover all complex practices. In view of this limitation, this paper examines a negotiation transaction which is most actively utilized in L/C transactions via a thorough review of the UCP provisions, analyzes the problems of the negotiation clause in the UCP, and suggests appropriate countermeasures to deal with unnecessary litigation costs. By doing so, the parties involved in the negotiation transaction would be able to avoid financial costs such as having to pay for lawsuits. Design/methodology - The present study first differentiates the general types of L/Cs (e.g., sight payment L/C, deferred payment L/C, acceptance L/C, and negotiation L/C), explains and the Article 2 and Article 12(b) of the UCP 600 where the term 'negotiation' is used, digs into the drawbacks of 'negotiation' occurring under the UCP 600, and discusses solutions to the problems found by analyzing the drawbacks descriptively. Findings - After a review of the UCP provisions on negotiation in detail, several possible problems which may occur in practice were discovered. First, as the UCP stipulates, the negotiating bank will want to delay payment to the maximum extent possible and make payment on the banking day on which the issuing bank reimburses the amount. This may lead the beneficiary towards bankruptcy or put it in financial crisis. Second, when a fraudulent transaction occurs, the negotiating bank can neither request the issuing bank to reimburse nor can it exercise its recourse right against the beneficiary because it has obtained all the rights of the beneficiary by purchasing the documents. Third, there is a practice in which the beneficiary sells the documents to its transaction bank which is not the nominated bank if the nominated bank specified in the credit is located in a third country or the exporter has no relationship with the nominated bank in the credit. In this case, whether to accept this and reimburse the non-nominated negotiating bank entirely depends on the issuing bank's decision even though such practice frequently occurs in Korea. Originality/value - There has been little research effort pertaining to negotiation transactions in detail even though negotiation L/C transactions account for around 70% in world trade notwithstanding deferred payment L/Cs and acceptance L/Cs that are also negotiated in practice. Thus, if the negotiations clause under the UCP 600 provisions were reviewed and the drawbacks of the negotiation transactions most actively used in L/C transactions were identified and examined, specific countermeasures could ultimately help smoothen the operation of L/C transactions and prevent financial losses.

• International Commerce and Information Review
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• v.12 no.4
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• pp.235-253
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• 2010

The export is an important economic growth strategy in South Korea. South Korea is strongly dependant on external trades. Bilateral trade between China and South Korea has been grown rapidly in recent years. The China is now Korea's first-largest trading partner. Thus, the Korea-China Free Trade Agrement (FTA) in South Korea's trade operations is very important. A discussion of Korea-China bilateral FTA commenced in 2004 November. This paper is to recognize the phenomenon of major issued fields in the Korea-China FTA such as a manufacturing, agriculture, customs and seek a negotiation strategy that are summarized as follows. In terms of trade based on manufacturing, it is necessary to divide into a private, general reduction and priority reduction item to recognize whether it is complementary or competitive on the specific industry in the FTA negotiation by using an index regarding supplement and competition of these two countries. In particularly sensitive agricultural field, FTA should be progressed gradually after giving a certain period of time of grace period on the basis of various flexible tariff systems in order to minimize agriculture damage as a result of the rapid growth from import of Chinese agricultural goods.

• East Asian Economic Review
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• v.26 no.1
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• pp.27-48
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• 2022

In the past decade, Korea and Japan have increasingly exhibited different strategic priorities in trade in face of China's rising global economic prowess and worsening US-China trade conflict. Japan's trade policy decisions have worked to reinforce its economic and security ties with the US as a means to counter China. Japan has used both bilateral and multilateral means to secure its ties with the US against China. In contrast, Korea's trade policy positions have been one of 'strategic ambiguity'. Korea has been more conciliatory towards China, reluctant to take actions that would counter China's interest. Korea has mainly resorted to bilateral channels to maintain favorable relations with both China and the US. Korea's reluctance to clearly ally with the US against China has been observed across different administrations with opposing political orientations. This paper examines Korea and Japan's diverging strategic priorities in trade through the 2017 World Trade Organization Ministerial Conference; the 2017 US imposition of Section 232 on steel; the Comprehensive and Progressive Agreement for Trans-Pacific Partnership, the Korea-US FTA renegotiation and the Korea-China FTA Phase Two Negotiation; and the 2019 Japan-US Trade Agreement.

• International Commerce and Information Review
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• v.14 no.3
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• pp.429-451
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• 2012

The purpose of this paper is to find what factors have an influential effect on motive and intention of using the unethical negotiation tactics. It is interesting to find that opportunism was not related to unethical negotiation tactics such as inappropriate information gathering and competitive bargaining in our Korea's sample. On the other hand, idealism and Machiavellianism had positive impact on managers' perceptions of unethical negotiation tactics within our sample. To explain the environmental perspective, the lower level of legal punishment system encourages them to use the unethical tactics without hesitation. On the other hand, organizational goal might have not a related on the perception of unethical negotiation tactics. To reduce the potential risk of use of unethical negotiation in the international negotiation process, international negotiators should find the counterpart negotiator' character before attending negotiation table, and international managers would be better to employ a local agent who can understand local negotiating counterpart, so they can assist them in early stage of negotiation.

• Korea Trade Review
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• v.44 no.5
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• pp.29-43
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• 2019

This study aims to estimate the economic effect of Korea's transition to a developed country in WTO negotiations. If Korea develops into an advanced country, it must give up many advantages in the agricultural sector. In particular, limiting the scope of sensitive items, giving up the selection of special items, and drastic tariff reductions are expected to have greater negative effects on the agricultural sector. According to research results, Korea's GDP rose slightly from 0.2 to 0.8 percent following the DDA settlement. Especially when China is classified as an advanced country along with Korea, Korea's GDP appears to be growing even more. On the other hand, damage is expected in most areas of agriculture. The trade deficit in the agriculture sector is expected to widen as output in the agricultural sector decreases, and import growth exceeds export growth. In the non-agricultural sector, there are no significant differences in the change in WTO status. However, if China is grouped together as an advanced country, the export growth rate of the Korean manufacturing industry appears greater.

• International Area Studies Review
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• v.13 no.2
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• pp.550-572
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• 2009

This paper investigates the textile negotiations between Korea and the U.S. which Korea, as a weaker party in the bilateral trade negotiation, was recognized as making a good performance by Odell(1985). Using the documents of Korean governments at the time - Ministry of Foreign Affairs and the Ministry of Commerce and Industry - telegrams and reports from various sources the paper picks a leveling factor during the negotiations. In the paper, we used a dynamic concept of power for describing the negotiating power, and showed Korea succeeded in making the negotiation symmetric using the Special Cooperative Relationship(SCR) as one of the most conspicuous leveling factors during the textile negotiations with the U.S. The paper contributes to finding the factors that can be used in the negotiations with power asymmetry as a leveling factor for weaker country. Also, based on the findings from the paper, future negotiators can get insights on which factors be used, and how to use those factors for leveling the negotiations with a stronger counterpart.

• Korea Trade Review
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• v.44 no.1
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• pp.301-319
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• 2019

This study is to review the Joseon government's attempt to recover the tariff autonomy lost in the course of entering into the unequal treaty with then-Japan government, as well as the practical effort to realize such an attempt. Among other attempts, the Joseon government ① began imposing tariffs starting September 1878 by establishing Dumopo Customs Office in Busan, ② dispatched on April 1881 a group of investigators to the competent authorities to review and look back the Joseon's tariff system against Japan and ③ entered into a tariff negotiation with then-Japan government on September 1881 with the emissary (Susinsa) Byeong-ho Jo representing the Joseon government. A series of these attempts, in line with each other, represents the Joseon government's ceaseless, constant effort to recover the tariff autonomy, which is what this study intends to review from the modern-day perspectives. Authored by Byeong-ho Jo to capture an advantageous position in the 1881's tariff negotiation against then-Japan government, 「Joilseui」 successfully represented the Joseon government's position on matters of ① the Japanese tax-autonomous district in Korea, ② defining tariff rates, ③ use of Japanese Yen for payment of tariffs, ④ effective period of the treaty and ⑤ export restrictions on grains. Failure of the Joseon government's attempt to recover the Tariff autonomy was attributable not only to, as 「Joilseui」 defined, ① governments' non-cooperative attitudes on the negotiation table, ② lack of authorities that the entrusted bodies had, ③ import tariffs defined high and ④ export restrictions on grains and red ginseng, but also to loss of the tariff autonomy in 1876 and the 1881's negotiation broken down that were plotted by then-Japan government's invasive policy.

• International Journal of Contents
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• v.8 no.2
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• pp.75-81
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• 2012

This study explores the important causal relationship between the public (domestic) and trade (international) disputes of South Korea and China. To understand the relations between the domestic and international disputes, Putnam's study of the two-level game theory has been conducted in order to analyze the effect of complicated social and political frameworks on international trade disputes. Due to the social and political differences between South Korea and China, this study provides three findings based on negotiation, policy, and strategic approaches.

• Korea Trade Review
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• v.45 no.6
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• pp.23-43
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• 2020

This study aims at analyzing the interactions between two of the most significant trade stakeholders in Korea, the Trade Ministry and the Legislature, using text network analysis. Tackling seven Action and Plan Reports for Requests from Parliamentary Inspection released by the National Assembly, this paper conducts a topic modelling analysis, particularly focusing on the reports for the three trade-related institutes: the MOTIE headquarter, Korea Trade Insurance Corporation, Korea Trade and Investment Promotion Agency. According to the analysis, such traditional topics of the MOTIE as enterprise, industry, business, management, development were frequently appeared in the reports. Trade-related topics including export, trade, commerce, investment, overseas, domestic, dispute, cooperation, efficiency, negotiation, service, promotion were repeatedly shown. Lastly, a case study on 2019 Parliamentary Inspection Report showed specific trade-related topics and relevant contents that raised issues in that year. This analysis implies that the text data driven from the Parliamentary Inspection Reports between the MOTIE and the National Assembly, can be established as so called 'trade policy information system' which are valuable not only for the two but also the rest of the trade stakeholders in Korea.