Mainland Market in the Crosshairs: Korea-China FTA’s Impact on the Korean Film Industry and “Hanryu” Culture

This article discusses the opportunities and challenges arising out of Annex 8-B of the Korea-China FTA regarding co-production of film from the perspective of the Korean film industry. Article 8-B aims to lift the trade barrier of import quota in China through treatment of co-production films as national films on condition of approval by the competent authorities. Co-production films can enjoy various economic advantages including subsidies and diverse cultural benefits from exchange of the creative contributions between two nations. However, Korea-China co-production will also face strong challenges standing in its way such as increased disputes between co-producers, piracy and copyright infringement in the Chinese market and threat of de facto censorship in the approval process. Therefore, both countries should endeavor to maximize its benefits and minimize its risks for success of the FTA, so that it could be a new breakthrough for further development of “Hanryu” culture.