S Korean trade minister defends FTA negotiations with US
Yonhap News, Seoul
S. Korean trade minister defends FTA negotiations with U.S.
16 March 2007
South Korea’s trade minister on Friday defended his country’s negotiations with the United States for a free trade agreement, saying that he disagreed with some claims that Seoul is getting an unfair deal with Washington.
"Final results of the negotiations aren’t out yet," Kim Hyun-chong told lawmakers in a special parliamentary meeting. "I don’t agree with some claims that we have earned less than we earn in South Korea-U.S. FTA talks."
Kim added Washington’s request to change South Korea’s taxation on imported U.S. vehicles is feasible and his government is "positively" reviewing the demand.
Kim’s comments came as the two sides are set to begin a series of informal high-level talks next week in Washington and Seoul to conclude their 10-month-old negotiations. Disagreements over agriculture and automobiles were considered key hurdles for both sides to wrap up the negotiations.
On Monday, South Korea and the U.S. wrapped up their eighth and final formal round of talks in Seoul with both sides citing "significant" progress, reinforcing the belief that a deal can be clinched by an end-of-March deadline, both sides said.
However, negotiators acknowledged that gaps remain in the areas of automobiles and some sensitive agricultural products, but insisted that those outstanding issues can be successfully tackled through informal talks which will involve a small number of top-level officials.
The stakes are high. South Korea and the U.S. did US$74 billion in two-way trade last year. Some studies show that an FTA would increase trade volume by 20 percent.
If successful, the deal would be the biggest for the U.S. since the North American Free Trade Agreement in 1994.
