Connect with us


US-South Korea Free Trade Agreement Derails



US-South Korea Free Trade Agreement: President Donald Trump instructed his assistants to prepare documents on the US withdrawal from the free trade agreement with the Republic of Korea (South Korea). This was reported on Saturday by The Washington Post referring to sources in the US administration.

According to sources, Trump tries to dissuade several leading advisers from such a step, including “Pentagon chief James Mattis, national security aide Herbert McMaster and director of the National Economic Council under the head of state Gary Kon.” Their main argument is that withdrawing from the agreement “could lead to a trade war with Seoul” and “substantially weaken the position of the South Korean government, while the tension caused by ballistic missile tests” that Pyongyang conducts on the Korean peninsula has sharply increased.

Representatives of the White House did not respond to TASS’s request to confirm or deny the newspaper’s message. If Trump still signs the appropriate decree in the next few days, then, according to the provisions of KORUS, his action ends in six months – in March 2018.

Attempts to Review Arrangements

The Free Trade Agreement between the Republic of Korea and the United States was signed in July 2007 and entered into force in March 2012. The parties agreed gradually – within three years – to abolish customs duties for almost 95% of the names of consumer and industrial goods included in the trade turnover between the two countries. Seoul is currently the sixth largest partner in terms of trade in Washington.

Last year, the turnover between them exceeded $ 112 billion. American companies exported goods to South Korea for $ 42.3 billion, South Korean to the US – $ 69.9 billion. Thus, the US deficit in trade with the South Korea was $ 27.7 billion.

During the presidential election campaign, Trump repeatedly criticized KORUS, calling it dishonest and unprofitable for America, which allegedly lost 100,000 jobs because of this. Entering the presidency in January of this year, he ordered to hold negotiations on changing the terms of the agreement and to make it become “more fair”.

In July, the US representative in trade negotiations, Robert Lightheiser explained what displeased Trump. “Since 2012, the trade deficit with the South Korea has doubled, while the volume of exports of American goods is declining, which does not correspond to the picture painted by the previous administration, urging the American people to support the conclusion of the agreement,” he said.




Expert Reviews2 hours ago

Why US-Led Alliance Of Asian Nations – India, Japan & Australia Could Fail To Tame China?

Amidst China’s aggressive advances at land and at sea, the United States led Quadrilateral Security Dialogue (QSD) alliance with India,...

EurAsian Region4 hours ago

Russia, China, Pakistan, Iran Start One Of World’s Most Fiercest Military Drills

Russia launched a major military drill on Monday, involving almost 80,000 servicemen. Kavkaz-2020 (Caucasus-2020) is the final stage of annual...

army-soldiers army-soldiers
Featured4 hours ago

Can India’s Indigenous ‘Lightest Bullet Proof Jacket’ Be A Saviour At LAC Against China?

India has successfully developed an armour jacket for security personnel that is capable of protecting against bullets of different threat...

Chinese-Military-Base-Australia Chinese-Military-Base-Australia
Asia Pacific5 hours ago

China’s 3rd Aircraft Carrier Makes ‘Significant Progress’ Amid Conflict With India, Taiwan

China’s second indigenous aircraft carrier and the third in its fleet, the second Type 002’s construction details have surfaced over...

India-Pakistan ties India-Pakistan ties
Featured5 hours ago

Pakistan Rejects Nomination Of ‘Senior’ Indian Diplomat

Pakistan has rejected the nomination of an Indian diplomat for the post of its Charge d’Affaires in Islamabad, terming him...

Putin-Trump Putin-Trump
EurAsian Region7 hours ago

Escorted By Su-35 Jets, Russian Strategic Bomber Tu-160 Breaks World Record

The Russian Tu-160 strategic bombers broke their own world record by taking a non-stop flight of 25 hours. The previous...

rafale-jets rafale-jets
Featured13 hours ago

Indian Rafale Jets, For The 1st Time, Conduct Sorties Over Ladakh

French-origin Dassault Rafale jets, for the first time known, have commenced conducting ‘familiarization’ sorties over Ladakh as tensions between two...

qatar-saudi qatar-saudi
Featured21 hours ago

Qatar Affirms Its Position On Israel-Palestine Issue; Says Ending Israeli Occupation A Must

Qatar on Sunday said it stands by Palestinians and that the long-standing conflict with Israel should be resolved by addressing...

F-15EX-india F-15EX-india
Featured1 day ago

No More Rafales! Why Indian Air Force Could Reject Second Batch Of Dassault Rafale Jets?

As the Indian Air Force (IAF) looks to further bolster its aerial fleet after the successful acquisition of French Dassault...

Americas1 day ago

US To Re-Impose Biting UN Sanctions On Iran Despite Global Objections

The US will reimpose biting UN sanctions on Iran that were removed as part of a 2015 nuclear pact struck...