U.S.-Korea FTA News

Washington and Seoul will hold consultations under the auspices of the U.S.-Korea Free Trade Agreement to discuss revising the rules of origin for textile products that are not commercially available in either country.

“As we have reflected the U.S. concerns in the auto sector in the revised KORUS FTA, we will put utmost efforts to get relief from the U.S. auto tariffs based on the agreement.”

President Trump on Monday will sign a retooled U.S.-Korea Free Trade Agreement in New York, according to the White House.

“The deal is done, it's been done with South Korea for a long time, it's been done for about two months, and we'll do a ceremonial signing over the next very short period of time.”

USTR said the documents outline the “amendments and modifications to KORUS as well as additional agreements and understandings to improve implementation of the trade pact.”

South Korean Trade Minister Kim Hyun-chong said last week he was confident the country would be exempted from any Section 232 restrictions on autos and auto parts, contending that provisions agreed to in the modernization of the U.S.-Korea Free Trade Agreement provided Seoul with protection.

If the U.S.-Korea Free Trade Agreement is terminated, U.S. households would face a consumption tax of $4.6 billion annually, according to a report to be released on Thursday.

The 20-year extension of the 25 percent U.S. duty on light and medium and heavy trucks agreed to in principle by the Trump administration and Korean government as part of the revised U.S.-Korea Free Trade Agreement would continue to dissuade Korean exporters from entering the U.S. truck market, the U.S. International Trade Commission reported Monday in an analysis requested by U.S. Trade Representative Robert Lighthizer.

The U.S. and South Korea have resolved remaining issues with the revised U.S.-Korea Free Trade Agreement and will release the text this month, sources told Inside U.S. Trade.