Chapter SEVEN. ECONOMIC AND TECHNICAL COOPERATION
Article 7.1:
Basic Principles
1.
Recognizing the importance of economic and technical cooperation in further strengthening trade, investments, and economic relations between the Parties and in support of the full utilization and implementation of this Agreement, the Parties shall undertake cooperation initiatives in areas of mutual interest and benefit in accordance with their domestic laws and regulations.
2.
The Parties shall undertake cooperation between their respective governments, where necessary and appropriate, and shall endeavor to encourage and facilitate the participation of the private sector, academe, and other relevant organizations in the identification and implementation of cooperation initiatives.
3.
Reaffirming the value of existing economic and technical cooperation mechanisms, other than those established under this Agreement, the Parties shall respect and encourage the continued implementation of their
existing cooperation mechanisms.
Article 7.2:
Scope
of Cooperation
1.
The Parties, on the basis of mutual benefit, shall explore and undertake cooperative activities focusing on
the following areas:
(a)
industrial development, including health and life sciences-related manufacturing and cooperation on processing of technology metals;
(b)
innovation and research and development;
(c)
micro, small and medium enterprises (MSMEs);
(d)
creative and cultural industries,
including cooperation on film;
(e)
intellectual property;
(f)
standards, technical regulations,
and conformity assessment procedures;
(g)
sanitary and phytosanitary measures;
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(h)
e-commerce; and
(i)
other areas as may be agreed by the Parties.
2.
The areas of cooperation shall cover priority sectors for trade and investment promotion as agreed by the Parties.
3.
The Parties shall also pursue cooperation as set out in Annex 7-A, Annex 7-B, and Annex
7-C.
Article 7.3: Forms of Cooperation
The forms of economic and technical cooperation may include, but are not limited to:
(a)
information exchange;
(b)
sharing of best practices;
(c)
training of human resources (HR);
(d)
exchange of experts;
(e)
trade and investment promotion;
(f)
business fora;
(g)
technical assistance;
(h)
joint research and development;
(i)
transfer of technology and new business models; and
(j)
other forms of cooperation as may be agreed by the Parties.
Article 7.4: Resources
1.
The Parties shall cooperate to employ the most effective means and endeavor to make available necessary
financial and other resources for the implementation of economic and technical cooperation under this Chapter in accordance with their respective laws and regulations.
2.
Taking into account the different levels of development and capacity,
Taking into account the different levels of development and capacity,
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the Parties shall contribute appropriately to the cost of implementation, according to mutual agreement.
Article 7.5: Committee on Economic and Technical Cooperation
1.
For purposes of the effective implementation and operation of this Chapter, a Committee on Economic and Technical Cooperation (hereinafter referred to as the ?Committee?) shall be established to be co-chaired by senior officials from both Parties.
2.
The functions of the Committee include,
but are not limited to:
(a)
reviewing, evaluating,
and approving proposals for cooperation;
(b)
collecting and consolidating the work plans of cooperation developed by each of the committees formed within this Agreement;
(c)
agreeing on and developing areas of cooperation between the Parties and establishing a work plan for the development of cooperation;
(d)
monitoring and evaluating the progress of the implementation of cooperation projects and activities;
(e)
providing regular reports to the Joint Committee under Article 11.1
(Joint Committee)
of this
Agreement; and
(f)
carrying out other functions as may be agreed by the Parties.
3.
The Parties agree to employ efficient mechanisms and guidelines for the implementation of cooperation projects and activities under this Agreement, subject to their respective laws and regulations.
4.
The Parties recognize the role of the Joint Commission on Trade and Economic Cooperation (JCTEC) established under the Memorandum of Understanding between the Department of Trade and Industry of the Republic of the Philippines and the Ministry of Trade, Industry and Energy of the Republic of Korea on Trade and Economic Cooperation
in facilitating consultations, and promoting trade, investment, and economic cooperation between the private and public sectors of the Parties.
5.
Unless the Parties agree otherwise, the Committee shall meet at least once a year. The meeting may be conducted in person or by any technological means available to the Parties.
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6.
The Parties
agree on an Implementing Arrangement building upon and complementing existing bilateral and regional economic cooperation projects, initiatives,
and activities.
7.
The Committee may establish sub-committees, as may be necessary, to effectively implement the cooperation projects and activities under this Chapter and those in the Implementing Arrangement.
Article 7.6: Non-Application of Dispute Settlement
Dispute settlement mechanisms in this Agreement shall not apply to any matter arising under this Chapter.
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Annex
7-A
Cooperation
to Alleviate
the Socioeconomic Impact of a
Public Health Emergency of International Concern and Pandemic
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General Provisions
1.
The Parties recognize the right of each Party to institute measures necessary to secure national interests and safeguard public health, in accordance with GATT 1994, GATS,
and other WTO covered agreements.
2.
The Parties acknowledge that the Coronavirus disease 2019 (COVID-19) has presented a global challenge that
requires a coordinated response
to ensure the continued flow of goods, services,
and personnel in the global supply chains.
3.
The Parties recognize the potential for developing and undertaking appropriate activities in line with their development objectives to reinforce efforts to alleviate the socioeconomic impact of a Public Health Emergency of International Concern (PHEIC)
and pandemic,
including the COVID-19 pandemic.
4.
The Parties agree to cooperate in strengthening the capacities to address future PHEIC and
pandemics to facilitate an inclusive and sustainable economic recovery of both Parties, by working to ensure the flow of goods in global supply chains, facilitating the essential movement of people,
and implementing cooperation activities and programs on trade and investments.
Working to Ensure the Flow of Goods in Global Supply Chains
5.
The Parties acknowledge the importance of facilitating the flow of essential goods, particularly food, critical health and medical products including personal protection equipment and its raw materials, to the
extent possible, in accordance with the Trade Facilitation
Agreement
and domestic laws and regulations.
6.
The Parties shall endeavor to refrain from the introduction of export prohibitions or restrictions,
and non-tariff barriers on essential goods, including food, pharmaceuticals, critical medical supplies, and its raw materials ensuring that such measures are targeted, proportionate, transparent, temporary and consistent with WTO rules.
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