U.S., South Korea Discuss Bilateral Trade Pact

In a meeting that could lead to progress on the long-delayed U.S.-S. Korea free-trade agreement, U.S. Trade Representative Ron Kirk held his first meeting with South Korea's Minister for Trade Kim Jong-Hoon Thursday to discuss a range of multilateral and bilateral trade issues.

"Korea is a crucial ally of the United States and an important trading partner," Ambassador Kirk said. "The U.S.-Korea Free Trade Agreement has the potential to bring significant economic and strategic benefits to both countries, while demonstrating the U.S. commitment to expanding our economic engagement and leadership in Asia.” Kirk said he discussed with Kim how the Obama administration plans "to consult with Congress and stakeholders regarding their concerns."

Kirk added, "I look forward to working closely with the Minister to address such concerns, while also taking into account Korea's interests, so that we can best determine how to move this important Agreement forward," said Ambassador Kirk.

The U.S.-Korea Free Trade Agreement would be by far the most important bilateral U.S. trade pact in terms of economic impact. South Korea is the seventh-largest trading partner of the United States, with bilateral trade in goods amounting to $83 billion in 2008. The International Trade Commission has estimated that implementation of the agreement would annually increase the export of U.S. goods to South Korea by $10 billion to $11 billion, as well as increase the U.S. GDP by $10-12 billion each year.

However, approval of the agreement has been stymied because of widespread concern by U.S. automakers, trade unionists and beef producers about its provisions for improving market access in South Korea for U.S. exporters of automobiles and beef.

Contact Alan Field at afield@joc.com.