After the pre-signing of the Strategic Economic Cooperation Agreement (SECA), which was held in Seoul on October 10, full ratification of the trade agreement between Ecuador and South Korea is expected with the final signature.

Ecuador anticipates a positive effect for 99.8% of its non-oil exports and anticipates an increase of at least 27% of these shipments to the Asian country. However, Ecuador also seeks products from South Korea, which are divided into capital goods, inputs and raw materials, and consumer goods.

In the first category, they reach 84 percent of total imports, while the remaining 16 percent are supplemented by consumer goods, according to the Ministry of Foreign Trade.

Rolled flat iron or steel, mechanical shovels or excavators, vaccines and chemical inputs are some of the products that make up 70% of imports of capital goods, inputs and raw materials. On the other hand, the car and auto parts segment accounts for 73% of consumer goods.

Korean product stores in Ecuador expect a 15% to 75% reduction in consumer prices due to trade agreement with South Korea

The Ministry of Production indicated that they have taken precautions as part of the agreement to protect sensitive sectors in the country. A total of 594 tariff lines distributed in the following sectors were excluded: clothing (54%): agriculture (27%); metal processing (11%); white line (5%); wood (2%); and footwear (1%).

According to the Ministry of Support, the products that make up 70% of the import of capital goods, inputs and raw materials are:

These products represent $211 million worth of imports from the Korean market this year, according to the entity.

These are the products that will enter with zero duty when the trade agreement between Ecuador and South Korea goes into effect

On the other hand, in consumer goods, after cars and auto parts, which make up 73% of imports, there are:

In the meantime, in order for the trade agreement to enter into force, it is expected that there will be an official signature, and then the process will continue in other instances of the Ecuadorian state. It will go to the Constitutional Court (CC) where it will ensure that the conditions do not violate the constitutional norm.

Subsequently, with a favorable report from the Constitutional Court, the commercial instrument goes to the National Assembly, where a discussion and vote will be held for subsequent entry in the Official Register.