Korea should aggressively take part in negotiations on the Trans-Pacific Partnership, a proposed trade bloc involving most of the key states in the Asia-Pacific rim, according to the chief of the Korea International Trade Association.

“Considering the process and maturity of the TPP, it is time for us to express an interest and join the ongoing bilateral negotiations (with each member),” KITA chairman Han Duck-soo told reporters Monday.

“It is desirable that the government should send off a positive signal, though it is yet too early to tell (whether Korea will actually join the bloc).”

The Korean government last week took a step closer to joining the U.S.-led trade pact by “expressing interest” in membership.

Because the TPP is a multilateral bloc, with 12 countries currently involved in the talks, it effectively creates a comprehensive regional supply chain, allowing member states low-cost access to the raw materials from each other, Han explained.

“Under the system, a final product may be recognized as Korean-made, even if its key raw materials are imported from another of the TPP member states,” he said.

But if Korea stays out of the loop, the industrial benefits Korea would have reaped from the TPP may concentrate in Japan, whose industrial structure is very similar to that of Korea, he added. Japan has been an active member of the negotiations since April.

“It is thus crucial that Korea should become an initial member before the TPP takes effect (before Japan takes dominance in the regional market),” the chairman said.

There still is a considerable chance that Korea may acquire official membership before the final settlement of the deal, the KITA chief added, dismissing the concerns that it may be acting too late.

“The current member states are to hold their next round of talks in Singapore next week, aiming to round off the discussion within the year, but the remaining process is expected to take more time,” Han said.

The Asia-Pacific partnership may also add momentum to the ongoing Korea-China FTA talks, rather than being an obstacle, he added.

“Of course, the FTA with China takes priority over the TPP, considering our intimate trade relations with China,” Han said.

“But the bilateral talks with TPP member states may provide a breakthrough in our stalled negotiations with China.”

By Bae Hyun-jung (tellme@heraldcorp.com)