1. Korea and the EFTA States shall establish a free trade area under the provisions of this Agreement.

2. The objectives of this Agreement, based on trade relations between market economies, are as follows:

(a)

Liberalize and facilitate trade in goods, in accordance with s. XXIV of the General Agreement on Tariffs and Trade 1994 ¹ (hereinafter "GATT 1994");

(b)

Liberalize trade in services in accordance with s. V of the General Agreement on Trade in Services ² (hereinafter "the GATS");

(c)

Promote competition in their economies, in particular with regard to economic relations between the Parties;

(d)

Pursue the liberalisation of the public procurement markets of the Parties on a reciprocal basis;

(e)

Ensure adequate and effective protection of intellectual property rights, in accordance with international standards, and

(f)

To contribute, by removing obstacles to trade and by developing an environment conducive to the growth of investment flows, to the expansion and harmonious development of world trade.

Without prejudice to Annex I, this Agreement shall apply to:

(a)

The land, inland waters and territorial waters of each Party, as well as its territorial airspace, in accordance with international law, and

(b)

Beyond territorial waters, in respect of measures taken by a Party in the exercise of its sovereignty or jurisdiction, in accordance with international law;

2. Annex II to this Agreement shall apply to Norway.

1. The provisions of this Agreement shall apply to economic and trade relations between Korea, on the one hand, and the EFTA States, on the other hand, but they do not apply to trade relations between the different EFTA States, Subject to provisions contrary to this Agreement.

2. Under the Customs Union established between the Swiss Confederation and the Principality of Liechtenstein by the Treaty of 29 March 1923 ¹ , the Swiss Confederation represents the Principality of Liechtenstein on all matters covered by this Treaty.

As regards investment, reference is made to the separate agreement between Korea, on the one hand, Iceland, Liechtenstein and Switzerland, on the other. The Investment Agreement ¹ Constitutes an integral part of the instruments establishing the free trade area for its Parties.

The provisions of this Agreement shall not be prejudicial to the rights and obligations of the Parties provided for in the WTO Agreement and any other international agreement that binds them.

Each Party shall ensure in its territory that all obligations and commitments under this Agreement are fulfilled by its own regional and local governments, as well as by non-governmental organizations in The exercise of powers delegated by governments and central, regional and local authorities.

This Agreement shall not prevent the maintenance or creation of customs unions, free trade zones, arrangements on cross-border trade and other preferential agreements, insofar as these do not adversely affect the The trade regime it provides.

1. This chapter applies to the products listed below, which must originate in an EFTA State or Korea, unless the rights and obligations of the Parties are governed by the GATT 1994:

(a)

All products covered by chap. 25 to 97 of the Harmonized Commodity Description and Coding System ¹ (hereinafter referred to as "the HS"), except for the products listed in Annex III;

(b)

Agricultural products processed according to Annex IV;

(c)

Fish and other seafood products as per Appendix V.

2. Bilateral agreements on trade in agricultural products have been concluded between Korea and the EFTA States individually. These agreements form part of the instruments establishing the Free Trade Area between the EFTA States and Korea.

The provisions on rules of origin and customs procedures are set out in Annex I.

Upon entry into force of this Agreement, the EFTA States and Korea shall abolish all customs duties and other duties or taxes on imports and exports of products originating in an EFTA State or Korea, subject to the Provisions contrary to Annex VI.

2. No new customs duties or other duties or taxes on imports and exports of products originating in Korea or an EFTA State will be introduced.

3. "Customs duties or other duties or taxes on imports and exports" means any right or tax, whatever its nature, that would be imposed in relation to the import or export of a product, including any The form of surtax or surcharges in relation to such importation or exportation. These concepts do not, however, include taxes imposed in accordance with s. III and VIII of GATT 1994.

1. For each product, the basic rate of duty to which the successive reductions set out in Annexes IV, V and VI will apply shall be the rate of most-favoured-nation customs duties (hereinafter referred to as "MFN") applied to the 1 ^Er January 2005.

2. If, at any time, one Party reduces its MFN rate of duty for one or more property covered by this Agreement, that rate shall apply for as long as it is less than the rate of duty calculated in accordance with The tariff elimination schedule set out in Annexes IV, V and VI. During the application of the MFN reduced rate, Parties shall consult on request with a view to pursuing the schedule for the elimination of customs duties on the basis of the MFN reduced rate.

The reduced rates of duty calculated in accordance with Annexes IV, V and VI shall be rounded to the first decimal place.

On the entry into force of this Agreement, any prohibition or restriction on the import and export of goods between the Parties other than customs duties and customs duties, be made effective by means of Quotas, import or export licences or any other measures shall be eliminated for all products of the Parties, subject to the exceptions set out in Annex V.

2. No new measures such as those referred to in para. 1 will not be introduced.

The Parties shall apply national treatment in accordance with Art. III of the GATT 1994, including its interpretative notes, which is incorporated into this Agreement and is an integral part thereof.

1. The rights and obligations of the Parties concerning sanitary and phytosanitary measures are governed by the WTO Agreement on the Application of Sanitary and Phytosanitary Measures ¹ .

2. The Parties shall exchange the names and addresses of points of contact with expertise in the health and phytosanitary fields in order to facilitate technical consultations and the exchange of information.

1. The rights and obligations of the Parties concerning technical regulations, standards and conformity assessment are governed by the WTO Agreement on Technical Barriers to Trade ¹ (hereinafter referred to as "the TBT Agreement"), which is incorporated into and is an integral part of this Agreement.

2. The Parties will strengthen their cooperation in technical regulations, standards and conformity assessment, in order to improve mutual understanding of their respective systems and to facilitate access to their respective markets. To this end, they will cooperate in particular to:

(a)

Strengthen the role of international standards as a basis for technical regulations, including conformity assessment procedures;

(b)

Promote accreditation of conformity assessment bodies on the basis of the relevant standards and guides of the International Organization for Standardization (ISO) /International Electrotechnical Commission (IEC), and

(c)

To promote the mutual acceptance of conformity assessment results obtained by the bodies referred to in para. 2, let. B, which have been recognized under an appropriate multilateral agreement between their respective accreditation systems or bodies.

3. The Parties shall exercise due diligence to broaden the exchange of information in the context of this Article and shall consider favourably any written request for consultation.

4. The Parties acknowledge that there is a wide range of mechanisms to facilitate, in the territory of one Party, acceptance of the results of conformity assessment procedures conducted in the territory of another Party, In particular:

(a)

Agreements on mutual recognition of results obtained at the end of conformity assessment procedures in relation to specific regulations, where they are conducted by bodies established in the territory of another Party;

(b)

Accreditation procedures to qualify conformity assessment bodies;

(c)

The government designation of conformity assessment bodies;

(d)

The recognition by one of the Parties of the results achieved by the conformity assessments carried out in the territory of another Party;

(e)

Voluntary arrangements between conformity assessment bodies in the respective territories of each Party, and

(f)

Acceptance by the importing Party of the supplier's declaration of conformity.

No more than three years after the date of entry into force of this Agreement, the Parties shall evaluate within the Joint Committee referred to in Art. 8.1 (hereinafter referred to as "the Joint Committee") the progress made between them on the acceptance of conformity assessment results and, to the extent necessary, will adopt additional measures.

5. Without prejudice to para. 1, the Parties agree to exchange information and hold expert consultations in order to address any issues that may arise from the application of specific technical regulations, standards and procedures Conformity assessment, which has created or is likely to create, in the opinion of Korea or one or more EFTA States, an obstacle to trade between the Parties with a view to developing an appropriate solution in accordance with the TBT Agreement. The Joint Committee will be informed of such consultations.

1. The rights and obligations of the Parties concerning subsidies and countervailing measures shall be governed by Art. VI and XVI of the GATT 1994 and the WTO Agreement on Subsidies and Countervailing Measures ¹ Subject to the provisions set out in para. 2.

2. Before a Party initiates an investigation to determine the existence, degree and impact of any alleged subsidy in an EFTA State or Korea in accordance with Art. 11 of the WTO Agreement on Subsidies and Countervailing Measures, the Party considering such an investigation shall notify it in writing to the Party whose goods are subject to the investigation and shall provide it with a period of 30 days for the Find an acceptable solution on both sides. Consultations shall take place within the Joint Committee, if requested by one of the Parties, within ten days from the date of receipt of the notification.

1. The rights and obligations of the Parties concerning the application of anti-dumping measures are governed by Art. VI of the GATT 1994 and the Agreement on the Implementation of Art. GATT 1994 ¹ (hereinafter referred to as "WTO Anti-Dumping Agreement") The following conditions:

(a)

The Parties shall endeavour to refrain from engaging in anti-dumping proceedings against each other. To this end, prior to commencing an investigation under the WTO Anti-Dumping Agreement, the Party that has received a properly documented request will send a written notification to the other Party whose goods are suspected to be the subject of Dumping, thus allowing for consultations to find a mutually acceptable solution. The outcome of the consultations will be communicated to the other Parties;

(b)

If a Party makes a decision to collect anti-dumping duties in accordance with s. 9.1 of the WTO Anti-Dumping Agreement, that Party shall be required to apply the "lesser duty" rule by imposing a duty below the margin of dumping, if such right is sufficient to eliminate the injury suffered by the domestic industry.

2. Five years after the entry into force of this Agreement, the Parties shall consider within the Joint Committee whether it is necessary to maintain the possibility of taking anti-dumping measures between them. If the Parties decide, at the end of the first examination, to maintain such a possibility, they shall review the matter thereafter every two years in the Joint Committee.

1. If the reduction or elimination of the customs duties provided for in this Agreement causes such an important increase in imports of a good originating in a Party in the territory of another Party, in absolute volumes or in relation to the Domestic production, in conditions such as it constitutes a substantial cause or threat of serious injury to the domestic industry which produces the same goods or products directly competing in the territory of the The importing Party may take emergency measures, in proportion to the Minimum requirements to remedy or prevent injury, while respecting the conditions laid down in the provisions of the following paragraphs of this Article.

2. Emergency measures will only be taken if the evidence is clearly provided on the basis of a survey conducted in accordance with the procedures laid down in the WTO Agreement on Safeguards ¹ That the increase in imports has caused or is threatening to cause serious injury.

The Party which intends to take an emergency measure under this Article shall immediately notify it, in all cases before taking action, to the other Parties and to the Joint Committee. The notification shall include any relevant information, including proof of serious injury or a corresponding threat due to the increase in imports, the precise description of the product concerned, the proposed measure, the date Envisaged for its introduction, its probable duration and the timetable for its phasing out. Compensation shall be provided to a Party that is likely to be affected by this measure, in the form of equivalent trade liberalization in favour of imports from that Party.

4. If the conditions listed in para. 1 are fulfilled, the importing Party may:

(a)

Suspend the further reduction of a tariff rate for the product in question provided for in this Agreement, or

(b)

Raise the customs duty rate of the product concerned at a level that does not exceed the lowest value between:

(i)

The MFN rate of duty applied at the time the safeguard measure is taken, or

(ii)

The MFN rate of customs duty applied on the day immediately preceding the date of entry into force of this Agreement.

5. Emergency measures will not be taken for a period exceeding one year. In very exceptional circumstances, after consideration by the Joint Committee, the measures may be extended to a total duration of up to three years. No action shall be taken on the importation of a product which has previously been the subject of such measures, for a period of at least three years after the expiry of the last measure.

6. The Joint Committee will review the information provided under para. 3, within 30 days from the date of notification, in order to facilitate the mutually acceptable resolution of the matter. Failing such a resolution, the importing Party may adopt a measure in accordance with para. 4 to remedy the problem, and in the absence of mutually agreed compensation, the Party whose product is the subject of the measure may take compensatory measures. Safeguard and compensatory measures shall be notified immediately to the other Parties and to the Joint Committee. When choosing the safeguard and compensatory measures, priority shall be given to those which are least disruptive to the functioning of this Agreement. The compensatory measure will normally consist of the suspension of concessions which have an equivalent commercial impact or which relate to an amount corresponding to the value of the additional rights expected from the emergency measure. The Party taking such action shall apply it only for the duration necessary to achieve the equivalent commercial impact and, in all cases, no longer than the measure referred to in para. 4 is applied.

7. Upon expiry of the measure, the rate of duty will be the rate that would have been in effect if the measure had not been applied.

8. If the circumstances are critical and a delay would result in difficult damage to be repaired, a Party may take a provisional emergency action, following clear preliminary evidence that the increase in imports is A substantial threat or cause of serious injury to the domestic industry. The Party intending to take such action shall notify it immediately to the other Parties and to the Joint Committee. During the 30 days from the date of the notification, the relevant procedures presented to paras. 2 to 6, including those relating to compensatory measures, will be initiated. Any compensation will be based on the period of full application of the interim emergency measure and the emergency measure.

9. Any interim measure shall expire at the latest after a period of 200 days. The period of application of such an interim measure will be included in the calculation of the duration of the action referred to in para. 4 and any extension thereof. Any increase in customs duties will be refunded promptly if the investigation described in para. 2 does not result in the conclusion that the conditions of para. 1 are completed.

10. Five years after the entry into force of this Agreement, the Parties shall consider within the Joint Committee whether it is necessary to maintain the possibility of taking safeguard measures between them. If the Parties decide, at the end of the first review, to maintain this possibility, they shall review the matter thereafter every two years in the Joint Committee.

The Parties shall endeavour to avoid the application of balance-of-payments-related restrictive measures.

2. A Party in serious balance-of-payments difficulties or under the imminent threat of such difficulties may, in accordance with the conditions laid down in GATT 1994 and the Memorandum of Understanding on the provisions on the balance of GATT 1994 payments ¹ , adopting restrictive trade measures that will be of a limited duration and non-discriminatory, and will not go beyond what is necessary to remedy the balance of payments situation. The relevant provisions of GATT 1994 and the Understanding on the Balance of Payments Provisions of GATT 1994 are incorporated into this Agreement and form an integral part thereof.

The Party taking a measure under this Article shall promptly notify it to the other Parties and to the Joint Committee.

The following rights and obligations of the Parties shall be governed by the corresponding Articles of GATT 1994, which shall be incorporated into and form an integral part of this Agreement:

(a)

For State commercial enterprises, s. XVII and the Understanding on the Interpretation of Art. XVII;

(b)

For general exceptions, s. XX, and

(c)

For security exceptions, s. XXI.

This Chapter applies to measures affecting trade in services taken by the authorities and central, regional or local governments, as well as by non-governmental bodies in the exercise of powers conferred by them by Central, regional or local authorities or governments. It applies to measures in all service sectors subject to the exceptions provided for in s. 4.1. It shall not apply to measures affecting air traffic rights or measures affecting services directly related to the exercise of air traffic rights, subject to the provisions of para. 3 of the GATS Annex on Air Transport Services.

2. Art. 3.4, 3.5 and 3.6 do not apply to laws, regulations or conditions governing the acquisition by government agencies of services purchased for government purposes that are not intended to be sold commercially or to be sold Used in the provision of services for commercial sale.

Where a provision of this Chapter provides that a provision of the GATS is incorporated therein and is an integral part of this Chapter, the terms of the GATS provision shall be understood as follows:

(a)

"Member" means "Party", with the exception of "membership" which means "among the members of the WTO";

(b)

"Lists" refers to the lists referred to in s. 3.16 and Annex VII, and

(c)

"Specific commitment" means a specific commitment under a list within the meaning of s. 3.16.

For the purposes of this chapter:

1. The following definitions of s. I of the GATS are included in this chapter and form an integral part thereof:

(a)

"Trade in services";

(b)

"Services", and

(c)

"A service provided in the exercise of governmental authority".

2. Deemed "service provider" means any person who provides or seeks to provide a service." ¹

3. By "natural person of a Party", it is necessary to understand, according to its law, a national of that Party or one of its permanent residents, if that Party accords the same treatment to its permanent residents and to its permanent residents. Nationals as regards measures affecting trade in services.

4. A "legal person of a Party" means a legal person who:

(a)

Either is incorporated or otherwise organized under the legislation of that Party, and

(i)

Is engaged in substantial commercial transactions in the territory of either Party, or

(ii)

Is engaged in substantial commercial transactions in the territory of any member of the WTO and is held or controlled by natural persons of that Party or legal persons who meet the conditions Specified in para. 4, let. A, c.

(b)

In the case of a supply of services by a commercial presence, is owned or controlled by:

(i)

Natural persons of that Party, or

(ii)

Legal persons who meet the conditions of para. 4, let. A.

5. The following definitions of s. XXVIII of the GATS is incorporated into and is an integral part of this chapter:

(a)

"Measure";

(b)

"Supply of a service";

(c)

"Member measures affecting trade in services";

(d)

"Commercial presence";

(e)

"Sector" of a service;

(f)

"Service of another Member";

(g)

"Monopoly supplier of a service";

(h)

"Service consumer";

(i)

"Person";

(j)

"Legal entity";

(k)

"Held", "Controlled" and "Affiliated", and

(l)

"Direct taxes".

1. Without prejudice to measures taken in accordance with Art. VII of the GATS, and subject to the provisions contained in its list of MFN exemptions contained in Annex VIII, any Party shall be required to grant immediately and unconditionally, in respect of all measures affecting the supply of Services, treatment no less favourable to the services and service providers of another Party than that reserved for services and suppliers of similar services from any other non-Party.

2. The treatment accorded under other agreements concluded by one of the Parties and notified under Art. V or art. V ^Bis Of the GATS are not submitted to para. 1.

3. If a Party enters into an agreement of the type referred to in para. 2, it shall, at the request of another Party, give it an adequate opportunity to negotiate the benefits provided under that agreement.

4. The rights and obligations of the Parties with respect to the benefits accorded to neighbouring countries shall be governed by para. 3 of Art. II of the GATS, which is incorporated into and is an integral part of this Chapter.

Commitments related to market access are governed by s. XVI of the GATS, which is incorporated into and is an integral part of this Chapter.

The national treatment commitments are governed by s. XVII of the GATS, which is incorporated into and is an integral part of this Chapter.

Additional commitments are governed by s. XVIII of the GATS, which is incorporated into and is an integral part of this Chapter.

The rights and obligations of the Parties with respect to domestic regulation are governed by s. VI of the GATS, which is incorporated into and is an integral part of this Chapter.

1. In the event that a Party acknowledges, by agreement or arrangement, the acquired education or experience, the requirements fulfilled or the licences and certificates granted in the territory of a non-Party, that Party shall accord to Any other Party an adequate opportunity to negotiate its accession to such an agreement or arrangement, existing or future, or to negotiate a comparable agreement or arrangement with the other Party. If a Party grants its recognition autonomously, it shall be required to provide an adequate opportunity for any other Party to demonstrate that the education or experience acquired, the requirements fulfilled or the licences or certificates awarded on the The territory of that other Party should also be recognized.

2. Any autonomous agreement, arrangement or recognition of this type shall be in accordance with the relevant provisions of the WTO Agreement and, in particular, of Art. VII of the GATS.

3. Annex IX applies to the mutual recognition, inter alia, of education or experience, qualifications, licences, certificates or accreditations of service providers.

The rights and obligations of the Parties concerning the movement of natural persons of a Party providing services shall be governed by the Annex to the GATS on the movement of natural persons providing services, which shall be incorporated into the Chapter and is an integral part thereof.

The rights and obligations of the Parties with respect to monopolies and exclusive service suppliers are governed by paras. 1, 2 and 5 of s. VIII of the GATS, which are incorporated into this Chapter and form an integral part thereof.

The rights and obligations of the Parties with respect to business practices are governed by s. IX of the GATS, which is incorporated into and is an integral part of this Chapter.

1. Subject to its own commitments and with the exception of the circumstances envisaged in art. 3.14, a Party will not restrict international transfers and payments for current transactions in relation to the provision of services with another Party.

2. Nothing in this chapter shall affect the rights and obligations of the Parties resulting, for members of the International Monetary Fund (IMF), of the IMF Articles of Agreement, including the use of exchange measures that are in accordance with the said Statute, on the understanding that a Member will not impose any restriction on capital transactions in a manner inconsistent with the specific commitments it has made in that regard, except under s. 3.14 or at the request of the IMF.

The Parties shall endeavour to avoid imposing restrictions to protect the balance of payments.

2. The rights and obligations of the Parties with respect to such restrictions shall be governed by paras. 1 to 3 of the art. XII of the GATS, which are incorporated into this Chapter and form an integral part thereof.

A Party that adopts or maintains such restrictions shall promptly notify the Joint Committee of such restrictions.

The rights and obligations of the Parties relating to general exceptions and exceptions relating to security shall be governed by Art. XIV and XIV ^Bis Of the GATS, which are incorporated into this Chapter and form an integral part thereof.

1. Each Party shall present in a list the specific commitments it makes under Art. 3.5, 3.6 and 3.7. With regard to the sectors in which such specific commitments are made, each list will specify the elements specified in the sections. (a) to (d) of para. 1 of the art. XX of the GATS.

2. Measures incompatible with s. 3.5 and 3.6 will be dealt with in accordance with the provisions of para. 2 of GATS Article XX.

3. The lists of specific commitments of the Parties are presented in Annex VII.

4. Annexes X and XI cover the specific aspects of market access, national treatment and additional commitments applicable to telecommunications services and the co-production of television programmes.

Upon written request by one of the Parties, the Parties shall hold consultations to consider any modification or withdrawal of a specific undertaking included in its list of specific commitments. The consultations shall take place within three months of the request of the requesting Party. During their consultations, the Parties will aim to ensure a general level of mutually beneficial commitments that is no less favourable for trade than that provided for in the list of specific commitments prior to the holding of the Consultations. The amendment of the lists is subject to the procedures described in Art. 8.1.

The rights and obligations of the Parties with regard to transparency shall be governed by paras. 1 and 2 of Art. III and art. III ^Bis Of the GATS, which are incorporated into this Chapter and form an integral part thereof.

In order to further liberalise trade in services between them, the Parties are obliged to review their lists of specific commitments and their lists of MFN exemptions every two years. The first review shall occur no later than three years after the entry into force of this Agreement.

The following Annexes to this Agreement constitute an integral part of this Chapter:

-

Annex VII (Lists of specific commitments);

-

Annex VIII (Lists of MFN exemptions);

-

Annex IX (Mutual Recognition);

-

Annex X (Telecommunications Services), and

-

Annex XI (Co-production of television programmes).

This Chapter applies to measures affecting trade in financial services taken by the authorities and central, regional or local governments, as well as by non-governmental bodies in the exercise of powers Delegated by central, regional or local authorities or governments.

2. Art. 4.4, 4.5 and 4.6 do not apply to laws, regulations or requirements governing the acquisition by government agencies of financial services purchased for government purposes and not to be resold commercially or used in the Provision of commercially sold services.

3. The chap. 3 applies to the measures described in para. 1 where this is specifically provided for in this Chapter.

Art. 3.2 applies to this chapter.

1. Art. 3.3, except para. 1 (c) applies to this chapter.

2. The following definitions in the GATS Annex on Financial Services are incorporated into this Chapter and form an integral part thereof:

(a)

"Services provided in the exercise of governmental authority" (para. 1 (b) and (c) of the Annex);

(b)

"Financial service" (para. 5 (a) of the Annex);

(c)

"Financial services provider" (s. 5 (b) of the Annex), and

(d)

"Public entity" (para. 5 (c) of the Annex).

Art. 3.4 applies to this chapter.

Commitments related to market access are governed by s. XVI of the GATS, which is incorporated into and is an integral part of this Chapter.

1. National treatment commitments are governed by s. XVII of the GATS, which is incorporated into and is an integral part of this Chapter.

In addition, under the terms and conditions conferring national treatment, each Party shall accord to the financial service providers of another Party established in its territory access to the payment and clearing systems operated by the entities As well as to the financing and refinancing facilities normally available in ordinary cases. The purpose of this paragraph is not to provide access to the loan options available as a last resort by a Party.

3. If a Party requires membership, participation or access to a self-regulatory body, to the stock exchange or to the securities or futures market, or to any other organization or association for suppliers to Financial services of any other Party shall provide their services on an equal basis to that of the financial service providers of the first Party, or if the latter provides directly or indirectly such entities and their privileges, or Benefits for the provision of financial services, the Party in question will ensure that such entities Grant national treatment to financial service providers of any other Party established in its territory.

Additional commitments are governed by s. XVIII of the GATS, which is incorporated into and is an integral part of this Chapter.

1. The rights and obligations of the Parties with respect to domestic regulation are governed by s. VI of the GATS, which is incorporated into and is an integral part of this Chapter.

2. Nothing in this Chapter shall be construed to prevent a Party from adopting or maintaining reasonable measures for prudential reasons, including:

(a)

Protect investors, depositors, policyholders, policyholders, persons entitled to obtain a trustee benefit from a financial service provider, or any other similar actor in the markets Financial, or

(b)

Ensure the integrity and stability of a Party's financial system.

If such measures do not comply with the provisions of this Chapter, the Party shall not use them as a means of avoiding its commitments and obligations under those provisions. The measures concerned will not be more stringent than necessary to fulfil their function.

3. Nothing in this Chapter shall be construed as obliging a Party to disclose information relating to the affairs and accounts of the various customers or any other confidential or proprietary information in the possession of the Party. Public entities.

1. Art. 3.9 applies to this chapter.

2. In addition, if a Party recognizes the prudential measures of a non-Party by determining how its own measures will be applied to financial services, that Party shall provide the other interested Parties with an adequate opportunity to negotiate Their adherence to this agreement or arrangement or the negotiation of comparable agreements or arrangements with it, in circumstances where there would be equivalence in the regulation, monitoring, implementation of the regulations and, if applicable, Procedures concerning the sharing of information between the Parties to the agreement or Arrangement. In cases where a Party would grant recognition autonomously, it will provide an adequate opportunity for any other Party to demonstrate that such circumstances exist.

The rights and obligations of the Parties in the movement of natural persons are governed by the Annex to the GATS on the movement of natural persons providing services, which is incorporated in this Chapter and is an integral part thereof.

The rights and obligations of the Parties with respect to monopolies and exclusive service suppliers are governed by paras. 1, 2 and 5 of s. VIII of the GATS, which are incorporated into this Chapter and form an integral part thereof.

The rights and obligations of the Parties with respect to business practices are governed by s. IX of the GATS, which is incorporated into and is an integral part of this Chapter.

Art. 3.13 applies to this chapter.

Art. 3.14 applies to this chapter.

The rights and obligations of the Parties with respect to general exceptions and exceptions relating to security shall be governed by Art. XIV and XIV ^Bis Of the GATS, which are incorporated into this Chapter and form an integral part thereof.

Each Party shall present in its list, referred to in Art. 3.16, the specific commitments it makes with respect to services defined in para. 2 (b) of s. 4.3, in accordance with the provisions of paras. 1 to 3 of the art. 3.16.

Art. 3.17 applies to this chapter.

1. The rights and obligations of the Parties with regard to transparency shall be governed by paras. 1 and 2 of Art. III and art. III ^Bis Of the GATS, which are incorporated into this Chapter and form an integral part thereof.

2. In addition, each Party undertakes to promote regulatory transparency in financial services. Accordingly, the Parties undertake to consult appropriately in order to promote objective and transparent regulatory processes with each Party, while taking into account:

(a)

The work undertaken by Parties in the GATS and the work of the Parties in other financial services trade contexts, and

(b)

The importance of regulatory transparency of identifiable policy objectives and regulatory processes clearly and consistently applied, communicated to the public or otherwise made available.

Art. 3.19 applies to this chapter.

1. A Sub-Committee on Financial Services (hereinafter referred to as "SubCommittee") Will be implemented under the control of the Joint Committee. The principal representative of each Party shall come from a competent authority in respect of this Agreement or of a financial authority.

2. The mandate of the Sub-Committee is as follows:

(a)

Monitor the implementation of the provisions of this chapter, evaluate their operation and monitor their development, and

(b)

Examine matters relating to financial services that may be submitted by either Party.

The Sub-Committee shall meet in accordance with the meetings of the Joint Committee or in accordance with the provisions otherwise agreed between the Parties.

The Sub-Committee will be chaired jointly by Korea and one of the EFTA States. It will proceed by consensus.

1. The relevant articles of chap. 9 shall apply to the settlement of disputes arising under this Chapter, taking into account the amendments made by this Article.

2. Consultations on financial services held in accordance with chap. 9 shall appeal to officials from a competent authority in respect of this Agreement or a financial authority. The Parties shall report the results of their consultations to the Subcommittee.

3. Art. 9.4 shall be subject to the following modifications:

(a)

In the event that the parties to the dispute agree on this point, the arbitral tribunal shall consist entirely of persons who meet the qualifications of para. 4, and

(b)

In any other case,

(i)

Each Party to the dispute may choose persons who meet the qualifications set out in para. 7 of Art. 9.5, and

(ii)

If the requested Party invokes s. 4.8, the presiding judge will meet the qualifications set out in para. 4, unless the Parties to the dispute have found another agreement.

4. Subject to any other provision of this Chapter, members of the Financial Services Tribunal shall:

(a)

Meet the qualifications set out in s. 9.5, and

(b)

Have expertise or experience in the law or practice of financial services, which may include regulation of financial institutions.

5. With regard to para. 5 of the art. 9.10, the following provisions shall apply in all cases where this is practicable. Where the contested measure affects:

(a)

The only financial services sector, the requesting Party will first seek to suspend benefits only in the financial services sector;

(b)

The financial services sector and any other sector, the requesting Party will first seek to suspend the benefits in the respective sectors concerned, in a proportion equivalent to the effect of the measure denounced for each sector, or

(c)

Only a sector other than the financial services sector, the requesting Party will seek to avoid the suspension of benefits in the financial services sector.

1. The Parties recognize that anti-competitive conduct may deprive the parties of the benefits of this Agreement. Such conduct is therefore incompatible with the proper functioning of this Agreement, insofar as it may affect trade between an EFTA State and Korea.

2. For the purposes of this Agreement, an "anti-competitive conduct of business":

(a)

Means any agreement between undertakings, any decision taken by associations of undertakings and any concerted practices between undertakings, and any abuse of a dominant position committed by one or more undertakings in the territories of the Parties taken as a whole or on a substantial part thereof, where such practices have as their object or effect the prevention, restriction or distortion of competition, and

(b)

May arise in relation to trade in goods and services. Such conduct may be carried out by private or public undertakings, or by undertakings with special or exclusive rights, unless the particular tasks entrusted to them are hindered.

3. The provisions of paras. 1 and 2 will not be interpreted in such a way as to create direct obligations for businesses.

4. The Parties shall endeavour to apply their respective competition laws in order to eliminate the anti-competitive conduct of business. To this end, they will notify their relevant implementation activities and will ensure the exchange of information. No Party will be required to disclose information that would be confidential under its own legislation.

5. Upon request, the competent competition authorities and/or other relevant authorities of the Parties shall enter into consultation to facilitate the elimination of anti-competitive conduct of cases. The Party contacted will consider the application without restriction and with goodwill.

6. On request, consultations shall also be held within the Joint Committee if a Party considers that anti-competitive conduct in the territory of another Party continues to affect trade between them. The consultations will take place within 30 days of receipt of the request. The Parties concerned shall provide the Joint Committee with all relevant support and information so that it can review the case and assist the Parties concerned to eliminate the conduct in question and, if appropriate, restore the balance of the Rights and obligations under this Agreement.

1. The rights and obligations of the Parties concerning public procurement are governed by the WTO Agreement on Government Procurement ¹ (hereinafter referred to as "the AGP").

2. The Parties shall agree to cooperate within the Joint Committee in order to improve mutual understanding of their respective systems of public procurement and to continue the liberalisation and mutual opening of their public procurement markets.

Contact points responsible for providing the necessary information on rules and regulations in the field of public procurement are listed in Annex XII, in order to facilitate communication between the Parties on any matter relating to these Markets.

1. At the conclusion of the bilateral negotiations between the Parties on further liberalisation of their respective public procurement contracts, held in the context of the negotiations to amend the AGP, this liberalisation will be integrated into the present Agreement, including the provisions of the Agreement amending the main part of the AGP to the extent that they concern these additional liberalisations. The Joint Committee will take a decision to that effect within three months of the conclusion of these bilateral negotiations. This decision will be subject to ratification or acceptance by the Parties.

2. If, after the entry into force of this Agreement, a Party grants a non-Party additional benefits in respect of access to its public contracts, that Party shall be ready to enter into negotiations on the possible extension of such benefits to a non-Party. Other Party on a reciprocal basis.

(1) The Parties shall grant and ensure adequate, effective and non-discriminatory protection of intellectual property rights, and shall take measures to ensure that such rights are respected in the event of infringements, including infringement and Piracy, in accordance with the provisions of this Article, of Annex XIII and of the international agreements mentioned therein.

2. The Parties shall accord to nationals of other Parties treatment no less favourable than to their own nationals. Exceptions to this obligation must be in accordance with the substantive provisions of s. 3 and 5 of the WTO Agreement on Trade-Related Aspects of Intellectual Property Rights ¹ (hereinafter referred to as "the TRIPS Agreement").

3. In the field of intellectual property protection, the Parties will grant, in accordance with the TRIPS Agreement, in particular its art. 4 and 5, to nationals of other Parties treatment no less favourable than that accorded to nationals of any third State.

4. The Parties agree, at the request of one of the Parties addressed to the Joint Committee, to review as appropriate the provisions of this Agreement relating to intellectual property, with a view to avoiding trade distortions caused by The current level of IP protection, or to address it, and to promote intellectual property that facilitates trade and investment relations between the Parties.

"Intellectual property" includes, in particular, copyright, including computer programs and compilations of data, as well as neighboring rights, product and service marks, geographical indications, including Appellations of origin, designs, patents, plant varieties, topographies of integrated circuits, and undisclosed information.

The Parties, which recognize the increasing importance of intellectual property rights as a factor for social, economic and cultural development, will strengthen their cooperation in this area.

2. The Parties agree, if circumstances permit, to cooperate in the activities related to the mentioned or future conventions on the harmonization, administration and enforcement of intellectual property rights and in Activities within international organizations such as the WTO and the World Intellectual Property Organization (WIPO), as well as share their experiences and exchange information on their relations with third countries in terms of Intellectual property issues.

3. In accordance with para. 1, the Parties may cooperate:

(a)

In personnel exchange programmes between the Parties, in particular for examiners;

(b)

In the field of intellectual property information systems;

(c)

Promote mutual understanding of the policy, activities and experiences of each Party in the field of intellectual property;

(d)

To promote intellectual property education and awareness of the invention.

1. By this Agreement, the Parties shall establish the Joint AECB-Korea Committee. It will be composed of representatives of the Parties led by ministers or by senior officials delegated for this purpose.

2. The Joint Committee:

(a)

Monitor and review the implementation of this Agreement, including a comprehensive review of the implementation of its provisions, with due regard to any specific review clause provided for in this Agreement;

(b)

Continue to explore the possibility of eliminating other trade barriers and other trade-restrictive measures between Korea and the EFTA States;

(c)

Monitor the future development of this Agreement;

(d)

Oversee the work of all sub-committees and working groups established under this Agreement;

(e)

Seek to resolve disputes arising out of the interpretation or application of this Agreement, and

(f)

Consider any other matter which may affect the operation of this Agreement.

The Joint Committee shall have the power to establish the subcommittees and working groups it deems necessary to assist it in the performance of its tasks. Unless otherwise provided in this Agreement, subcommittees and working groups shall act on the terms of reference of the Joint Committee.

The Joint Committee shall make decisions in accordance with the provisions of this Agreement and may make recommendations; it shall act by consensus.

The Joint Committee shall meet within one year of the entry into force of this Agreement. Thereafter, it will meet by mutual agreement whenever necessary, normally every two years. It will be co-chaired by Korea and one of the EFTA States. The Joint Committee shall establish its rules of procedure.

6. Any Party may request at any time by written notification to the other Parties the holding of a special meeting of the Joint Committee. Such a meeting shall be held within 30 days from the date of receipt of the request, unless the Parties otherwise agree.

7. The Joint Committee shall have jurisdiction to decide to amend the Annexes and the Appendices to this Agreement. Subject to para. 8, it may fix a date for the entry into force of such decisions.

If the representative of a Party to the Joint Committee has accepted a decision subject to the fulfilment of constitutional requirements, that decision shall enter into force on the day on which the last Party notifies that its internal requirements have been , unless the decision itself specifies a later date. The Joint Committee may decide that the decision shall enter into force for those Parties that have fulfilled their internal requirements, provided that Korea is one of them. A Party may apply a decision of the Joint Committee on an interim basis until it enters into force, subject to the constitutional requirements of that Party.

The Parties shall designate the following competent bodies as their respective secretariats for the purposes of this Agreement:

(a)

For Korea: the Department of Foreign Affairs and Trade, and

(b)

For EFTA States: the EFTA Secretariat.

2. Without prejudice to s. 10.7 and unless otherwise agreed by the Parties or contrary to this Agreement, all official communications or notifications emanating from or to a Party under this Agreement shall be transmitted through its Secretariat.

(1) The provisions of this Chapter apply to the avoidance or settlement of any dispute under this Agreement, taking into account the terms and conditions set out in s. 4.21 of this Agreement and in Art. 25 of Annex I.

2. Disputes over the same subject matter arising under both this Agreement and the WTO Agreement ¹ May be settled within the framework of either instance, at the option of the requesting Party. The resulting enclosure shall be used to the exclusion of the other.

3. For the purposes of this Article, dispute settlement procedures under the WTO Agreement or this Agreement shall be deemed to have been initiated by one of the Parties for the establishment of a arbitral tribunal.

4. Before a Party engages in the dispute settlement procedure under the WTO Agreement against another Party or other Parties, in respect of an object affecting both this Agreement and the WTO Agreement, it shall be held Notify all Parties of its intention.

5. The arbitration rules set out in s. 9.4 to 9.10 do not apply to ss. 2.7, 2.9, 2.10 and chap. 5.

1. The procedures of good offices, conciliation and mediation are voluntary procedures available upon agreement by the Parties involved. They may be initiated at any time and shall be completed at any time.

2. The procedures involving good offices, conciliation and mediation shall be confidential and without prejudice to the rights of the Parties in any other procedure.

(1) The Parties shall at all times endeavour to agree on the interpretation and application of this Agreement and shall not neglect any attempt to achieve cooperation and consultations to a mutually satisfactory resolution of Any matter affecting the operation of the Agreement.

2. Each of the EFTA States or several of them may request in writing consultations with Korea, and vice versa, where a Party considers that a measure applied by the Party (s) to which the request is addressed is not In accordance with this Agreement or any advantage directly or indirectly referred to it under this Agreement shall be referred to or cancelled. The consultations shall be conducted within the Joint Committee, unless the applicant (s) or requested (s) object.

3. The consultations shall be held within 30 days of the receipt of the request for consultations. Consultations on urgent subjects, including those involving perishable agricultural goods, will commence within 15 days from the date of receipt of the request for consultations.

4. The Parties involved in the consultations will provide the necessary information to fully consider how the measure or any other matter could affect the operation of the Agreement, and will deal with any information Confidential or protected status exchanged during consultations in the same manner as the Party providing this information.

5. The consultations shall be confidential and without prejudice to the rights of the Parties involved in a subsequent procedure.

The Parties involved in the consultations shall inform the other Parties of any amicable resolution of the matter.

1. If the case has not found a solution within 60 days, or within 30 days in the case of urgent cases, from the date of receipt of the request for consultations, one of the Parties involved or several of them may appeal to a Arbitration by written request to the Party or Parties required. A copy of this application shall also be sent to all Parties, so that each Party may determine whether or not it intends to participate in the dispute.

(2) If more than one Party requests the establishment of a arbitral tribunal in respect of the same subject matter, only one tribunal shall be established to the extent possible to consider such complaints. ¹

3. A request for arbitration must invoke the ground of the complaint, including the identification of the measure in question and the indication of the applicable legal basis.

1. The arbitral tribunal referred to in s. 9.4 will be composed of three members.

(2) Each of the Parties to the dispute shall appoint a member of the arbitral tribunal within 15 days from the date of receipt of the application referred to in s. 9.4.

3. The Parties to the dispute shall agree on the appointment of the third member within 30 days of the appointment of the second member. The last appointed member shall preside over the arbitral tribunal.

4. If not all three members have been appointed or appointed within 45 days from the date of receipt of the request under s. 9.4, the Director General of the WTO, at the request of either Party to the dispute, shall make the necessary designations within a further period of 30 days. In the event that the Director General of the WTO has not appointed the members of the arbitral tribunal within the prescribed time limit, the parties to the dispute shall exchange, for the next ten days, lists of four candidates, none of which shall be National of either Party. The members of the court shall then be selected in the presence of the two Parties, within ten days of the exchange of their respective lists, by drawing lots from such lists. If a Party fails to submit its list of four candidates, the members of the tribunal shall be appointed by lot from the list already submitted by the other Party.

(5) The chairmanship of the arbitral tribunal shall not be entrusted to a national of a Party, or to a person who ordinarily resides in the territory of a Party, or to a person who is or has been employed by a Party, or to a person who has been Involved in any function in the case at hand.

6. If a member of the court dies, withdraws or is dismissed, his or her successor will be selected within 15 days according to the selection procedure adopted to select the outgoing member. In such a case, any time limit applicable to the proceedings of the arbitral tribunal shall be extended by the period between the date of death, the resignation or the dismissal of the member from the date on which the replacement is chosen.

7. Any person appointed as a member of the arbitral tribunal shall be deemed to have expertise or experience in international trade law in other areas covered by this Agreement or in the resolution of disputes arising in the context of International trade agreements. A member shall be selected strictly on the basis of objective criteria, reliability, accuracy of judgment and independence, and shall behave in accordance with these characteristics throughout the course of the arbitration procedure. If a Party is of the opinion that a member does not respect the above, the Parties shall consult and, if they agree, the member shall be dismissed and a new member appointed in accordance with this Article and in accordance with the procedure Described in para. 6.

8. The date of incorporation of the arbitral tribunal shall coincide with the date on which its Chairperson is appointed.

(1) The proceedings of the arbitral tribunal shall be conducted in accordance with the rules of procedure to be adopted at the first meeting of the Joint Committee, provided that the Parties to the dispute do not otherwise dispose of them. If such rules have not yet been adopted, the arbitral tribunal shall establish its own procedures, unless the parties to the dispute otherwise agree.

2. Notwithstanding para. 1, the procedures shall guarantee for all cases conducted by a arbitral tribunal:

(a)

That the parties to the dispute have the right to at least one hearing before the arbitral tribunal and to the possibility of submitting their initial arguments and rebuttal in writing;

(b)

That the parties to the dispute be invited to all hearings held by the arbitral tribunal;

(c)

All arguments and comments provided to the arbitral tribunal are available to the parties to the dispute, subject to any confidentiality requirements, and

(d)

All hearings, deliberations, initial and other written contributions to the attention of the arbitral tribunal and communications with the arbitral tribunal shall be confidential.

3. Within 20 days of the date of the filing of the request for the establishment of the arbitral tribunal, the Parties to the dispute shall not otherwise have the terms of reference, the terms of reference shall be as follows:

" Review, in the light of the relevant provisions of this Agreement, the matter set out in the application for the establishment of a arbitral tribunal under s. 9.4, make reasoned and factual findings and, where appropriate, make recommendations for the settlement of the dispute."

4. At the request of either of the Parties to the dispute or on its own initiative, the arbitral tribunal may search for scientific information and expert technical advice, as it deems appropriate.

5. The arbitral tribunal shall base its decision on the provisions of this Agreement, applied and interpreted in accordance with the rules of interpretation of public international law.

6. The decisions of the arbitral tribunal shall be made by a majority of its members. Any member has the authority to provide dissenting opinions on points that are not unanimous. No arbitral tribunal shall be allowed to disclose which of its members have been associated with the majority or minority of opinions.

7. The costs of the arbitral tribunal, including the remuneration of its members, shall be covered equally by the Parties to the dispute.

The complaining Party may withdraw its complaint at any time before the initial report is submitted. Such withdrawal shall not affect its right to initiate a new action on the same subject matter at a later stage.

The arbitral tribunal shall submit an initial report to the parties to the dispute within 90 days from the date of establishment of the arbitral tribunal.

2. The arbitral tribunal shall base its report on the arguments and arguments of the Parties to the dispute and on any scientific information and technical advice obtained in accordance with para. 4 of Art. 9.6.

The Parties to the dispute may submit to the arbitral tribunal their written comments on the initial report within fourteen days from the date of the submission of the said report.

4. In such a case, in consideration of written comments, the arbitral tribunal may, on its own initiative or at the request of one of the Parties to the dispute:

(a)

Request the opinions of any Party to the dispute;

(b)

Reconsider its report, and/or

(c)

Conduct any further review that it deems appropriate.

The arbitral tribunal shall submit the final report to the parties to the dispute within 30 days of the submission of the initial report. This final report will contain the subjects referred to in para. 2 of the art. 9.8, including all dissenting opinions on points that did not receive unanimous opinion.

(2) Unless the Parties to the dispute decide otherwise, the final report shall be published within 15 days from the date of the submission made to them.

The final report shall be final and binding on the Parties to the dispute. Each Party to the dispute shall be required to take the measures involved in the implementation of the final report.

2. Upon receipt of the final report submitted by the arbitral tribunal, the Parties to the dispute shall agree on:

(a)

The means to resolve the dispute, which will normally correspond to the elements determined by the arbitral tribunal and its possible recommendations, and

(b)

The period reasonably necessary to apply the means to resolve the dispute. If the Parties to the dispute cannot agree, either Party may request the original arbitral tribunal to determine, in light of the particular circumstances of the case, the reasonable period of time required. The arbitral tribunal shall fix and communicate the duration in question within 15 days from the date of the application.

3. If, in its final report, the arbitral tribunal determines that a Party has not complied with the obligations provided for in this Agreement or that a Party has taken a measure which nullified or referred for a preliminary ruling, the means committed to resolve The dispute shall, as far as possible, eliminate non-compliance, cancellation or prejudice.

4. If the Parties to the dispute fail, within 30 days of the submission of the final report, to agree on the means to resolve their dispute under para. 2, let. A, or if they have agreed on the means to resolve their dispute, but that the requested Party shall not implement them within 30 days of the expiration of the reasonable period defined in accordance with para. 2, let. B, the requested Party shall, if requested by the requesting Party, enter into consultations with a view to consent to mutually acceptable compensation. If such an agreement has not been reached within 20 days from the date of the application, the requesting Party shall be entitled to suspend the application of the benefits conferred by it under this Agreement to a measure equivalent to the damage caused to its Benefits to the extent that it has been determined to be in violation of the same Agreement.

5. At the time of the suspension of benefits, the requesting Party will first seek to suspend benefits in the same sector or sectors as those affected by the measure which the arbitral tribunal has found to be in violation of this Agreement. If the requesting Party considers that it is not feasible or effective to suspend benefits in the same sector or sectors, it may suspend benefits in other sectors.

6. The requesting Party shall notify the other Party of the benefits it intends to suspend with a minimum advance notice of 60 days before the date on which the suspension is intended to take effect. Within 15 days from the date of such notification, any Party to the dispute may request that the arbitral tribunal of origin establish whether the benefits that the requesting Party intends to suspend are equivalent or not equivalent to those affected By the measure recognized to violate this Agreement, and if the proposed suspension is in accordance with paras. 4 and 5. The decision of the arbitral tribunal shall be made within 45 days from the date of that request. The suspension of benefits shall not take effect until the decision of the arbitral tribunal has been rendered.

7. The suspension of benefits shall be a temporary measure which the requesting Party shall apply only until such time as the measure deemed to be in violation of this Agreement has been withdrawn or sufficiently amended to bring it into conformity with this Agreement, or until Parties to the dispute have agreed to resolve their dispute.

8. At the request of a Party to the dispute, the original arbitral tribunal shall decide on the conformity with the final report of any implementing measure adopted after the suspension of the benefits and, in the light of that decision, it shall decide whether to terminate The suspension of benefits or make changes to the benefits. The arbitral tribunal shall act within 30 days from the date of the request.

9. The decisions provided for in paras. 2, let. B, 6 and 8 are mandatory.

Any time limit referred to in this Chapter may be amended by mutual consent of the Parties involved.

Parties shall publish their laws or otherwise make publicly available their laws, regulations, administrative and judicial decisions of general application and their respective international agreements liable to affect The operation of this Agreement.

2. The Parties shall respond to specific questions promptly and shall notify each other on request of the information relating to the matters referred to in para. 1.

3. Nothing in this Agreement shall compel a Party to disclose confidential information which would impede the application of the law, which would otherwise be contrary to the public interest or for a preliminary ruling Legitimate business interests of an economic operator.

4. In the event of inconsistency between the provisions of this Article and the transparency provisions of other Chapters, the latter shall prevail to the extent of the inconsistency.

The Annexes and Appendices to this Agreement constitute an integral part thereof.

Amendments to this Agreement, other than those referred to in para. 7 of Art. 8.1, shall be submitted, after approval by the Joint Committee, to the ratification, acceptance or approval of the Parties, in accordance with the constitutional requirements of each Party.

2. Except as otherwise provided by the Parties, the amendments shall enter into force on the first day of the second month following the deposit of the last instrument of ratification, acceptance or approval.

3. The text of the amendments and instruments of ratification, acceptance or approval shall be deposited with the Depositary.

1. Any Member State of the European Free Trade Association may become a Party to this Agreement, provided that the Joint Committee decides to approve its accession to the terms negotiated between the candidate State and the existing Parties. The instrument of accession shall be deposited with the Depositary.

(2) In the case of a candidate State, this Agreement shall enter into force on the first day of the second month following the deposit of its instrument of accession or the approval of the terms of its accession by the existing Parties, the last of the two dates being Decisive.

(1) Any Party may withdraw from this Agreement by written notification to the Depositary. The withdrawal shall take effect six months after receipt of that notification by the Depositary.

2. If Korea withdraws, the Agreement shall terminate on the date specified in para. 1.

3. If one of the EFTA States withdraws from the Convention establishing the European Free Trade Association, that State shall withdraw from this Agreement in accordance with para. 1.

(1) This Agreement shall be subject to ratification, acceptance or approval. Instruments of ratification, acceptance or approval shall be deposited with the Depositary.

2. This Agreement shall enter into force on 1 ^Er July 2006 for those of the signatory States which have ratified it, provided that they have deposited their instruments of ratification, acceptance or approval with the Depositary at least one month before the entry into force, and That Korea be among the states that have deposited their instruments.

3. In the event that this Agreement does not enter into force 1 ^Er July 2006, it shall enter into force on the first day of the second month following the date on which Korea and at least one of the EFTA States have deposited their instruments of ratification, acceptance or approval with the Depositary, the Last of the two filing dates being determinative.

4. As regards an EFTA State which would deposit its instrument of ratification, acceptance or approval after the date of entry into force of this Agreement, it would take effect on the first day of the second month following the deposit of its instrument.

5. If its constitutional requirements permit, any EFTA State may apply this Agreement provisionally. The provisional application of this Agreement under this paragraph shall be notified to the Depositary.

The Government of Norway has the status of Depositary.

In witness whereof , the undersigned, duly authorized to that effect, have signed this Agreement.

Done at Hong Kong, on 15 December 2005, in a single original English language, which shall be deposited with the Government of Norway. The Depositary shall transmit certified copies to all signatory States.

(Suivent signatures)