An Analyse On ROK’s FTA Strategy

Along with the advancement of information globalization and economic globalization, the strengthening of international trade has become a common cognition. In order to accelerate the balanced development of international trade, countries around the world have taken certain strategic measures to strengthen the economic ties of all parties in varying degrees. Due to the WTO negotiations stalled, part of the European countries began turning to FTA cooperation to meet the needs of import and export trade. According to statistics, more than 50% of the countries around the world have concluded FTA strategies.Korea adheres to the "trading nation" strategy over a long period of time. While most countries around the world promoting FTA strategy, for fear of blocked and marginalized economically by other countries, Korea actively involved in the development of FTA strategy. Korean government expects to expand the scope of import and export trade by FTA strategies in order to solve the problem of domestic resources shortage, and then providing more employment opportunities domestically through promoting trade, thus driving inside economic development in an all-round way. Korea is located in the Asian stronghold, adjacent to key Asian economies such as China, Russia and Japan. It has a certain geographical advantages, at the same time, the Korean government attaches great importance to the FTA strategy, so studying on Korea FTA strategy has a certain positive meaning.By analyzing the motivation of Korea FTA strategy and the FTA signing with the major countries and regions, such as Chile, the United States, the European Union and China, from which the basic characteristics of Korea FTA strategy could be summarized:the easier issues first, the key leading; divisions of sensitive industries, and protecting its disadvantage industry; seeking power resources to make up for the shortage of domestic resources; the establishment of specialized research institutions of FTA. In addition, this paper uses gravity model to make empirical analysis on the economic effect of Korea FTA, shows the impact of the establishment of the FTA on the Korean economy. Finally, conclusions and revelations herein, the valuable experience of the implementation of the Korea FTA also has a certain extent of enlightenment significance for China.