Korea-U.S. FTA

Why did Roh do it?

Wonhyuk Lim wonders why the Roh Moo-hyon government chose to pursue an FTA with the United States: KORUS FTA: A Pragmatic and Strategic View (Nautilus Policy Forum Online, June 13, 2006).

The decision was a surprising policy change:

FTA negotiations in Seoul

The second round in the U.S. Korea FTA negotiations took place in the Shilla Hotel in Seoul the week of July 10. 

The American delegation was led by Wendy Cutler from the USTR's office, the Korean delegation was led by Kim Jong-hoon of the Korean Ministry of Foreign Affairs and Trade (MOFAT). (This image is from a story on the Korean Embassy web site.)  Everyone looks pretty happy here, but disagreements over the treatment of pharmaceuticals in the Korean national health care system caused problems.

This Korean Ministry of Foreign Affairs and Trade press release describes the Korean delegation, and Korean preparations for the sessions: Launching of the Second Round of Korea-U.S. (KORUS) FTA Negotiations (July 7). 

KORUS FTA: Round #2

The second round of FTA negotiations between the U.S. and South Korea take place this week ("KORUS FTA" is the acronyn at the USTR web site).

Jon Herskovitz reports on the first day's negotiations: South Korea-U.S. hold free trade talks amid protests (Reuters via Washington Post, July 10)

The chief Korean negotiator is Ambassador Kim Jong-hoon and the Chief U.S. Negotiator is AUSTR for Japan and Korea, Wendy Cutler.  The Korean Embassy contains lists of the key issues, and the key players on the two negotiating teams for each of the issues: Free Trade Agreement .

This was originally posted at Ben Muse as KORUS FTA: Round #2 on July 9, 2006.

Kaesong

The U.S. and So. Korea are working on a Free Trade Agreement (FTA).  The first round of negotiations was held in Washington in early June; the next begins July 10 in Seoul.  The potential economic and political benefits are attractive for both countries (Are there large potential benefits from a U.S.-S. Korea FTA? , June 18). 

Jeffrey J. Schott, Scott C. Bradford, and Thomas Moll  provide a useful overview of the issues in their recent report: Negotiating the Korea–United States Free Trade Agreement (Institute of International Economics, June 2006).

They point out that one of the key issues is a So.Korea joint venture with No. Korea in an industrial park at Kaesong in No. Korea.  This is an important project for the So. Koreans: