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US-Korea

The US-Korea free trade agreement (or KORUS FTA, as called in Korea) has been one of the most controversial since NAFTA, if one could measure in terms of social mobilisation. Millions of people have fought against this deal, taking to the streets and flying across the Pacific to try to defeat it.

Washington and Seoul talked about a possible free trade agreement for several years before anything got started. As it turns out, the US had four preliminary demands for the Korean government to fulfil before any FTA talks could start. The four prerequisites were:

 suspending regulations on pharmaceutical product prices so US drug firms could get a better deal in the Korean market (secured in October 2005)
 easing government regulations on gas emissions in imported US cars so that more American cars could be sold in Korea (secured in November 2005)
 resuming importation of US beef, which were stopped in 2003 because of mad cow disease in the US (agreed in January 2006) and
 reducing South Korea’s compulsory film quota for cinemas from 146 days per year to 73 days so that more American films could be shown (agreed in January 2006).

Once the Roh administration caved in to the last item, the two governments announced, on 2 February 2006, that FTA talks would start in May 2006 and end by June 2007.

The implications of the US-Korea FTA stretch far beyond Korean movie houses as the agreement would open the entire Korean economy to US corporate penetration. Korean farmers and workers organised a strenuous resistance to the deal, with support from actors, students, health professionals, consumers groups, environmental organisation, veterinarians, lawyers and other sectors. Alliances were also built with opponents to the deal in the US, including AFL-CIO, the country’s largest labour union.

The first round of negotiations took place in the US on 5-9 June 2006. Ten months and eight formal rounds (not to mention numerous side talks on side agreements) later, the deal was concluded on 2 April 2007 in Seoul, just hours after a Korean taxi driver commited self-immolation in protest to the signing.

This was not the end, however. Two weeks later, newly elected Korean President Lee Myung-Bak travelled to Washington to sign the FTA. While there, on 18 April, the two governments inked yet another side deal that the US insisted was necessary for the FTA to go through. This deal laid out explicit rules on how Korea was to open its market in the broadest way to US beef imports, despite concerns about mad cow disease. The adoption of this secret pact triggered off what became known as the "beef crisis" in Korea. Students, mothers and consumers raised a fury of candlelight protests and other actions that by June 2008 had ministers resigning and the president own tenure under threat.

After several more years of sustained opposition to the agreement, the US-Korea FTA was finally ratification by both countries’ parliaments and took effect in November 2011 However opposition to, and concerns about the FTA have not faded since it passed, with many worried about the implications of the investor-state dispute mechanism in the deal.

last update: May 2012

Photo: Joe Mabel / CC BY-SA 3.0


KORUS FTA having negative impact on South Korean agriculture
The damage to the overall agricultural sector during the five years since the KORUS FTA took effect has been “broad and deep” across nearly all products.
Agriculture remains hot button issue at 2nd FTA public hearing
Some representatives of the farming sectors urged the Seoul government to refuse Washington’s demands to further open up the market.
Farmers call on Korea to push back on US FTA
Korean farmers expressed concern about potential revisions to the Korea-US free trade agreement, arguing that opening up the market to American imports, especially beef and fruit, would harm the local industry.
US auto parts to be key issue at bilateral FTA talks
US auto parts are expected to be a key issue in the upcoming renegotiation for the bilateral free trade pact between Seoul and Washington.
Angry protesters disrupt public hearing on KORUS FTA
South Korea held a public hearing on the free trade agreement with the United States to collect opinions from different circles, but it was disrupted by angry farmers and livestock breeders who claimed massive damage from the market opening.
S. Korea, US to speed up FTA renegotiations
South Korea and the United States are expected to speed up the process to amend their free trade pact as US President Donald Trump called for fair deal that can correct the imbalance in the movement of goods between the two countries.
Notice of intent to submit claim to arbitration under Korea-United States free trade agreement chapter 11
First ISDS case against South Korea under Korea-US FTA.
Seoul agrees to amend US trade deal after Trump threats
South Korea will renegotiate free trade pact with Washington rather than see Donald Trump abandon the deal altogether
US pushing Seoul on trade amid tensions on Korean peninsula
Trump administration officials are set to push South Korea to buy more American cars and agricultural products even as tensions run high on the Korean peninsula.
White House steps back from ending Korea trade pact
After intense resistance from Capitol Hill and business groups, Trump administration tells lawmakers a withdrawal isn’t a priority

    Links


  • AMCHAM Korea
    The American Chamber of Commerce in Korea
  • Ben Muse - KORUS FTA
    A blog with a large number of links and references to the US-Korea FTA talks and analyses about them.
  • KAWAN
    Korean Americans Against War and Neoliberalism
  • Korea Policy Institute
    The US-based Korea Policy Institute produces policy briefs, organizes Congressional press briefings and sponsors policy roundtable on the proposed US-South Korea Free Trade Agreement.
  • Korean Civil Society Coalition against KORUS FTA on Intellectual Property Rigthts
    Korean Civil Society Coalition against KORUS FTA on Intellectual Property Rigthts (KCSC) is deeply worried about the Korea-US FTA negotiations especially on the issue of IPRs such as copyright, patent and trademark and strongly opposes the whole process of Korea-US FTA negotiations.
  • US-Korea FTA Business Council
    The US-Korea FTA Business Coalition is a group of over 100 leading US companies and trade associations that strongly support the conclusion and passage of a free trade agreement between the United States and the Republic of Korea.
  • VoiceofPeople
    The VoiceofPeople is a progressive internet press outfit in Korea covering the FTA struggle.