China and Korea are the two most vigorous economies in East Asia and both are accelerating the FTA process. A China-Korea FTA would be a key leverage point from which to move forward multilateral institutional economic cooperation in Northeast Asia, as well as a major move to strengthen economic and trade interactions between China and Korea. The strong growth in economic and trade relations and industrial complementariness (revealed comparatine advantage index and trade specialization coefficient calculations) between both sides has laid the solid foundations for an FTA. Partial eguilibrium model calculations reveal that a China-Korea FTA would have remarkable economic effects on both sides and bring much more benefit to Korea than a Korea-US FTA. The so-called barriers (agriculture, hollowing-out, SMEs) are not the major issues of a China-Korea FTA. The real problem blocking the process of a China-Korea FTA is geopolitical. Deciding on a China-Korea FTA is dependent on the Korean government and experts in different fields changing their worrying minds about China. We suggest that China and Korea complete feasibility studies and enter into negotiations for the purpose of enjoying mutual benefits from an FTA at the earliest possible time. Should Japan's political position remain substantially unchanged, a China-Korea FTA is likely to be signed before a Korea-Japan FTA.