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Chrysler opposes proposed FTA with South Korea

Yonhap News, Seoul

Chrysler opposes proposed FTA with South Korea

29 May 2007

WASHINGTON, May 29 (Yonhap) — American automotive giant Chrysler Group expressed opposition Tuesday to a proposed South Korea-U.S. free trade agreement (FTA), saying the accord fails to motivate the Asian nation enough to open its market to American-made cars.

"Chrysler has supported every free trade agreement ever negotiated by the U.S. government," it said in a statement dated Friday. "We are disappointed that we cannot support this agreement in its current form."

South Korea and the U.S. wrapped up FTA negotiations on April 1, sending the draft text for respective legislative review before a vote. The text was released last week, accompanied with evaluations by advisory committees representing various industries.

The reaction within the U.S. auto industry was split, with Ford opposing the trade pact while General Motors took a more neutral stance, saying the FTA does sufficiently address concerns of the American auto industry.

Chrysler’s position was not included in the evaluations.

"The agreement in its current form does not provide the Koreans with adequate incentives to open their market to increased U.S. automotive exports," the company said. "We welcome revisions to the agreement which would address these inadequacies."