Lighthizer Requests Special KORUS Joint Committee Meeting to Consider Potential Amendments
U.S. Trade Representative Robert Lighthizer requested a meeting in Washington of the Joint Committee under the U.S.-Korea Free Trade Agreement to consider “possible amendments and modifications,” in a letter dated July 12 (here). The committee must meet in August, with the date selected by mutual agreement, the Office of the U.S. Trade Representative said in a news release (here). Lighthizer is looking to “resolve several problems regarding market access in Korea for U.S. exports,” and “most importantly, address our significant trade imbalance,” according to the letter.
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“The United States has had a persistent goods deficit with Korea for nearly two decades,” Lighthizer said. “When the KORUS Agreement was negotiated, expectations were high that both of our economies would realize significant gains. However, our overall deficit with Korea has increased, and our goods deficit has doubled since the Agreement entered into force. It is critical that we achieve real progress that fosters a truly fair and level playing field, and a more balanced trade relationship.” USTR will work closely with Congress, the Commerce Department, other relevant government agencies and stakeholders to achieve “the best outcome for the American people,” the agency said. Among USTR’s criticisms of the agreement is that the U.S. trade deficit in goods with South Korea rose from $13.2 billion to $27.6 billion between 2011 and 2016.
U.S. Chamber of Commerce Senior Vice President for Asia Tami Overby said in an emailed statement that KORUS has supported U.S. exports such as agricultural and manufactured goods. "The Chamber looks forward to working with the administration to identify possible ways to improve implementation and enforcement and to ensure that the agreement delivers on its potential to create jobs and grow our economy," she said. The South Korean Embassy in Washington didn't comment.