The original KORUS was born out of bilateral consultations that began at the end of 2004, when the idea of a trade agreement between the two countries had already been launched in the 1980s. An agreement was reached in April 2007, which was revised next month to reflect the demands of Democrats in Congress and signed by the parties on June 30, 20073. Reducing the burden imposed by The various Korean tax and regulatory policies; 4 When President George W. Bush began negotiating a free trade agreement with Seoul in 2006, the idea was to give U.S. companies easy access to South Korea`s growing and prosperous consumer market. President Barack Obama continued negotiations and Congress ratified the pact in 2011. It came into force a year later. Since then, KORUS has had mixed results: the U.S. trade deficit with South Korea has doubled. Some U.S. industries have grown and prospered under the agreement, but it has increased South Korean exports to America even more. 31 Office of the United States Trade Representative, “New U.S. Trade Policy and National Security Outcomes with the Republic of Korea,” fact sheet, March 28, 2018.

During the 2016 U.S. presidential campaign, Republican presidential candidate Donald Trump called the U.S.-Korea free trade agreement a “jobs trade agreement.” [32] [33] The United States and Korea continued negotiations on amendments and amendments to the U.S.-Korea Free Trade Agreement (KORUS FTA) on January 5, 2018. The United States and Korea met from January 31 to February 1 in Seoul, Korea, to advance negotiations on amendments and negotiations on their free trade agreement. On March 28, 2018, the United States and Korea agreed on the principle of amendments and amendments to the free trade agreement between the United States and the Republic of Korea (KORUS Free Trade Agreement). 35 “S. Korea to file an appeal against an earlier decision in favour of the Iranian company,” Yonhap News Agency (Seoul), July 4, 2018. Open-form certification can be used by Korean manufacturers and exporters and U.S. importers as an alternative to original certification when they invoke compliance with the Korea Free Trade Agreement. CUTTING THE RED TAPE ON U.S. EXPORTS AND HOLDING TRADE PARTNERS ACCOUNTABLE: The Trump administration`s negotiations will eliminate the incriminating South Korean rules that have hampered U.S. exports and ensure that trading partners get away with it.

The trade agreement will exclude South Korea from steel tariffs in exchange for the country limiting its exports to the United States to 70 percent of the average level of exports between 2015 and 2017. Korea will continue to face tariffs on aluminum. The agreement is not subject to congressional approval to enter into force. But political obstacles still need to be removed in South Korea – a process that could be complicated, Cutler said, if Mr. Trump`s administration recommends new tariffs on foreign-made cars that could hit Korean automakers particularly hard. Mr. Trump has repeatedly threatened to impose tariffs on cars and spare parts, even though he has not yet implemented them.

Andrew Verboncouer • (920) 562-9601 •