Pakistan and South Korea to Begin Economic Partnership Agreement (EPA) Negotiations in 2025

Pakistan and South Korea to Begin Economic Partnership Agreement (EPA) Negotiations in 2025

Report by Syed Farzand Ali

The Ambassador of the Republic of Korea, Park Ki Jun, announced that negotiations for the Korea-Pakistan Economic Partnership Agreement (EPA) are expected to begin in the first half of this year. The agreement aims to establish a strong institutional framework for boosting bilateral trade and economic cooperation.

Speaking at the Karachi Chamber of Commerce and Industry (KCCI), Ambassador Park emphasized the untapped potential for collaboration between the two nations. He highlighted that Pakistan’s rich natural and human resources, combined with Korea’s advanced technology and economic expertise, present opportunities for complementary cooperation.

Key Highlights of the Meeting:

✅ Expanding Economic Cooperation: Korea sees Pakistan as a fast-growing economy with a youthful population, making it an attractive destination for investment.

✅ Enhanced Trade and Investment: The EPA aims to double bilateral trade and open new avenues for economic collaboration.

✅ Korean Business Presence in Karachi: Currently, eight Korean companies operate in Karachi, with 200 Korean citizens residing in the city. Karachi is seen as a key hub for strengthening economic ties.

✅ Investment in Key Sectors:
🔹 AI and Technology: Proposal for AI-focused training programs and research centers in Karachi, Lahore, and Islamabad.
🔹 Energy and Refining: Encouragement for Korean investment in Pakistan’s refining sector to modernize infrastructure and improve energy security.
🔹 Textiles and Agriculture: Opportunities for Korean firms to leverage Pakistan’s strong textile and agriculture sectors.
🔹 Maritime Trade: Pakistan’s 1,000 km coastal belt offers a gateway to global markets, enhancing trade potential.
🔹 Technology Parks: Plans to develop technology hubs to foster economic integration and innovation.

Senior Vice President of KCCI, Zia ul Arfeen, welcomed the EPA negotiations and stressed the importance of diversifying trade to maximize economic opportunities. He also acknowledged South Korea’s leadership in AI and invited increased investment in Pakistan’s digital transformation and infrastructure development.

Ambassador Park praised Pakistan’s five-year economic development plan, expressing confidence that it will strengthen Pakistan’s economic foundation and attract foreign investments, including from Korean businesses.