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We set up a simple model to draw on some implications of tariff effects on wage differential andemployment in manufacturing and empirically analyzed the tariff effects in Korea from 2000 to 2006. We employed the System GMM with data obtained from the Survey of Mining and Manufacturing,Input-Output Table and SKTC trade statistics. Important findings are as follows. First, tariffreduction had a significant positive impact on manufacturing wage, but not on wage differential. Second, tariff reduction had a significant positive impact on manufacturing employment. Third, importpenetration ratio had a significant positive impact on the manufacturing employment and wage, andnegatively on wage differential. Fourth, global outsourcing had insignificant effects on employmentand wage in manufacturing.