Us and South Korea Trade Agreement

The United States and South Korea have a strong trade relationship that dates back to the signing of the U.S.-Korea Free Trade Agreement (KORUS) in 2012. This agreement is crucial for both countries as it promotes economic growth, job creation, and increased investment opportunities.

The KORUS agreement is a comprehensive free trade agreement that eliminates tariffs on most products and services traded between the two countries. It also includes provisions for intellectual property protection and dispute resolution mechanisms.

Since the implementation of the KORUS agreement, U.S. exports to South Korea have increased significantly. In 2019, the U.S. exported $67.5 billion worth of goods and services to South Korea, making it the United States` sixth-largest export market.

Among the top U.S. exports to South Korea are civilian aircraft, machinery, chemicals, and agricultural products. On the other hand, South Korea`s exports to the United States include automobiles, electronics, and steel products.

The KORUS agreement has not been without its challenges. In 2018, the United States and South Korea negotiated modifications to the agreement, which addressed concerns about market access for U.S. automakers and South Korean steel imports.

The modifications also included provisions for a currency side agreement, which aims to promote transparency and prevent currency manipulation. This agreement was a significant achievement as it was the first time a U.S. trade agreement included a currency side agreement.

The U.S.-Korea trade relationship also faces challenges from global trends, such as the rise of China`s economy and the COVID-19 pandemic. However, both countries remain committed to strengthening their ties and continue to work together to address challenges and expand their economic relationship.

In conclusion, the U.S.-Korea Free Trade Agreement is a vital agreement that benefits both countries and promotes economic growth and job creation. Despite challenges, the relationship remains strong, and both countries continue to work together to enhance their bilateral trade relationship.

Us and South Korea Trade Agreement