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Forums > All Posts > US has free trade accord with South Korea!
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2010-12-03 09:18 PM
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LLBarry
Beverly, MA
Posts: 299
In the largest FREE trade agreement since 1994 for the US, we now have a free trade accord with South Korea.

Now what does this mean?

"The United States will phase out its 2.5 percent tariff on imported Korean autos over five years." This will obviously affect our automobile industry, but with the phasing should dampen the effects.

However,"South Korea will immediately cut its tariff on American autos to 4 percent from 8 percent, with the remainder ending over five years. Under the 2007 deal, the tariff was to end immediately. " This is a benefit to our auto industy.

In addition,

"It exempts 25,000 American-made vehicles a year from each manufacturer, from costly South Korean safety regulations that critics said were intended solely to discriminate against imports.

It gives American automakers that now have only a toehold in South Korea more leeway to comply with regulations on greenhouse gas emissions and fuel economy as they expand their market share.

It gives the United States more time to phase out a 25 percent tariff on trucks and requires Korea to more quickly reduce its tariff on electric cars.

It includes a safeguard, specific to the auto industry, that would allow tariffs to be reimposed if there were a sudden, unanticipated surge in South Korean auto imports as a consequence of the agreement."

See articles.
www.nytimes.com/2010/12/04/business/global/04trade.html
Do you think this is a good thing for the economy now and in the future?
2011-01-13 12:23 PM

Truthseeker
Otisville, MI
Posts: 5
We need to stop with all these free trade agreements with other countries and start making fair trade agreements with other countries and enforcing them. Then and only then will the agreements work for both sides equally.
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