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South Korea has officially become the fourth member of the Digital Economy Partnership Agreement (DEPA), a move to amplify global digital trade initiatives (via Straits Times).

South Korea Joins Digital Economy Partnership Agreement

Initially founded by Singapore, New Zealand, and Chile, the agreement establishes digital trade rules, including aspects like digital identities, cross-border data flows, and artificial intelligence.

According to a joint statement by DEPA members, South Korea's addition is celebrated as a pivotal moment, reinforcing the agreement's ethos of openness and collaboration.

The process leading to South Korea's inclusion began with substantial discussions concluded in June 2023, followed by the completion of legal procedures.

Singapore's Minister for Sustainability and the Environment, Grace Fu, expressed optimism about the future of Depa, emphasizing the importance of maintaining its openness and inclusivity to all economies that can meet its high standards.

In response, South Korean Trade Minister Cheong In-kyo affirmed his country's commitment to expanding Depa's reach and acting as a bridge between existing and new members.

Officials from Chile and New Zealand echoed this sentiment, welcoming South Korea's accession and acknowledging its significant expertise in the digital economy domain.

Global Digital Trade Pact Gains Momentum as More Countries Seek Membership

Depa, established in June 2020 by Chile, New Zealand, and Singapore, aims to facilitate digital trade, reduce operational costs, enhance business efficiency, and provide easier access to overseas markets.

The agreement has garnered interest from other nations, with China, Canada, Costa Rica, and the United Arab Emirates negotiating to join.

Meanwhile, outside experts have weighed in on the significance of Depa's expansion. In 2021, Matthew P. Goodman, senior vice president for economics at the Center for Strategic and International Studies, suggest that joining agreements like Depa could shape digital governance rules and norms, particularly in the Indo-Pacific region.

The Biden administration is considering joining Depa to demonstrate its commitment to the region and address the concerns of Asian allies and partners.

Similarly, China is willing to collaborate with Depa members on technical consultations and cooperation in the digital economy sector.