Representatives from the U.S. and South Korea have reached an agreement to modify the United States-Republic of Korea Free Trade Agreement (KORUS FTA), as announced from the White House on Wednesday.
“The improved KORUS agreement reflects the President’s leadership in delivering more reciprocal trade outcomes benefiting U.S. workers, exporters, and businesses. – USTR Robert Lighthizer. More information about the agreement here: https://t.co/5RzgFgEgLi— USTR (@USTradeRep) March 28, 2018
South Korea is agreeing to reduce its steel exports by 30 percent and to double its import quota for U.S. cars, exempting them from steel tariffs.
Agriculture has been left out of the agreement, and the trade pact has been beneficial to this sector.
According to the U.S. Meat Export Federation (USMEF), red meat exports to Korea topped $1.7 billion, almost double that of 2012 numbers. The U.S. is the largest beef supplier to Korea and the country’s second largest supplier of pork.
These impressive gains are causing some farmers and ranchers to worry as the administration takes a hard line on trade.
“The American farmer and rancher has done such an unbelievable job at producing food, not only for us, but the world, that we really count on exports, [particularly] the beef industry,” said
Talks to modify the 2012 bilateral trade pact have been happening since January.