Jul 02, 2016
The free trade agreement between the United States and South Korea resulted in an increase of US$4.8 billion-$5.3 billion in total American exports, the second-largest among a total of 13 free trade deals the U.S. has concluded, the U.S. trade agency said in a report Wednesday.
The International Trade Commission (ITC) report shows that the Korea-U.S. pact, often dubbed “KORUS FTA,” is highly effective in increasing U.S. exports, contrary to claims by Republican presidential candidate Donald Trump that the deal brought little benefits.
According to the report, titled “Economic Impact of Trade Agreements Implemented Under Trade Authorities Procedures,” the 1994 North American Free Trade Agreement (NAFTA) brought about the biggest increase in U.S. exports, from $24.2 billion to $126 billion.
The report also said that the agreement with Korea is estimated to have improved bilateral merchandise trade balances by $15.8 billion last year. That represents the second-largest improvement after a $17.7 billion improvement in trade with Canada.
Trump and his aides have been highly critical of free trade deals.
In an economic speech Wednesday, the real-estate tycoon accused the pact of enlarging U.S. trade deficits and costing a number of American jobs, calling it “a job-killing deal.”
Trump also vowed to pull out of the 12-nation Trans Pacific Partnership if elected president. He also said he would immediately renegotiate NAFTA to get a better deal, and withdraw from the deal unless Canada and Mexico agree to a renegotiation.
Source: The Korea Times