The EU and the Republic of Korea have concluded negotiations for a landmark Digital Trade Agreement, committing to a strong and reliable partnership fit to face the rapid pace of digital developments.
The Digital Trade Agreement (DTA) provides binding rules that build consumer trust; ensure predictability and legal certainty for businesses, as well as trusted data flows; while removing and preventing the emergence of unjustified barriers to digital trade.
“In a time of geopolitical uncertainty, strengthening our ties with like-minded partners such as the Republic of Korea is of paramount importance,” said Trade Commissioner Maros Sefcovic: “Our FTA and DTA will ensure businesses and consumers benefit from a fair, safe and open trade system, both online and offline.”
The DTA promotes an approach for building digital and data rules with individuals and their rights at its core. It ensures the EU and Korea preserve policy space to develop and implement the policies required to address new challenges in the digital economy.
The provisions cover cross-border data flows, privacy and personal data protection, customs duties on electronic transmissions, electronic contracts, authentication and trust services, source code protection, online consumer trust, unsolicited direct marketing communications, open government data and regulatory cooperation on digital trade.
In addition, the agreement seeks to enhance digital trade in services and goods, by increasing legal certainty for European businesses in Korea. It recognises the legal validity and enforceability of electronic contracts and encourages the use of electronic signatures. This will enable European companies to serve their South Korean customers directly from Europe more efficiently. European consumers will benefit from improved consumer protection regulations and measures addressing unsolicited communications.
At the talks, the EU and the Republic of Korea also agreed to deepen their 2010 FTA, by establishing a new specialised committee on emerging trade and economic issues. This committee will provide a dedicated platform for the EU and Korea to cooperate on topics of strategic importance such as economic security, overcapacity, and supply chains resilience.
