Prime Minister Kim Min-seok has reaffirmed the government's position that South Korea’s tariff agreement with the United States, inked as a memorandum of understanding(MOU), does not require National Assembly ratification.

Kim repeated the top office’s stance on the matter during an audit led by the National Assembly's special committee on budget and accounts on Thursday.

He said that because the MOU directly affects the burdens companies carry, the new legislation required to enable it must be passed quickly.

Opposition parties have argued that the National Assembly must ratify investment agreements signed with the U.S.

An official from the presidential office stated, however, that the recently signed trade MOU is not legally binding and therefore does not require ratification, but added that the agreement's outcomes need to be fully explained to parliament.

The government said it will soon prepare a bill establishing a 350 billion U.S. dollar South Korea-U.S. investment fund, including the fund's foundation and operational framework.

The bill will be submitted to the National Assembly for a vote.

During the parliamentary audit, Kim also rebutted claims that the 10-year investment period cited in the agreement is too long, arguing that South Korea could profit at both the national and corporate levels during that decade.

He added that the CEOs of participating companies are fully aware of the situation and have reviewed the agreement favorably.

When asked about the potential liberalization of the nation's agricultural and fishery market, Kim said to his knowledge, there have been no substantial discussions or agreements on the matter.