Korea - European Union Free Trade Agreement

The Free Trade Agreement between Korea and the European Union entered into force in 2015.

The Agreement notably provides for the elimination of border tariffs for the following energy sector goods:

• Electric generation equipment 
• Mechanical equipment including pumps, appliances, and other advanced machinery
• Electric motors, transformers, batteries, and capacitors
• Motor vehicles
• Mineral ore and processed products including graphite, manganese, copper, aluminum, and nickel
• Various products manufactured using above minerals and metals such as sheets, powders, bars, and plates
• Photovoltaic cells

The Agreement also includes rules of origin. Goods may benefit from preferential tariff treatment if:

• wholly produced or obtained in one of the signatory countries (applicable to minerals, raw materials, and waste and scrap materials)
• having undergone "sufficient working or processing" in one of the signatory countries  (applicable to manufactured goods) entailing a change in applicable HS code heading as defined for the good in the agreement
• satisfying regional value content (RVC) requirements

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