Pakistan's bilateral trade with South Korea has declined in part due to the continuous economic integration of the latter with other regional economies such as free trade agreements with China and India. Haque(2009) argues that Pakistan is vulnerable to negative impacts of other regional trade agreements which are soon to be signed because of already less trade integration and weak resilience against competition in trade sector. Against the backdrop, this study examines the economy-wide impact of potential Pakistan-South Korea FTA and draws policy implications based on the research findings.