China-Korea Pact Means Stronger Cosmetics Trade

China and South Korea signed a preliminary agreement that will remove tariffs on more than 90 percent of products traded between the two countries. Expected to become a formal treaty in 2015 once both countries acquire domestic legislative ratification, the proposed law will cover various consumer products, including cosmetics and personal care. Under existing trading regulations in China, South Korean cosmetics are assessed with tariffs as high as 130 percent, which puts them in the luxury and high-end market.