Kirk pledges to work closely with S. Korea on FTA ratification

By Hwang Doo-hyong
WASHINGTON, May 12 (Yonhap) -- U.S. Trade Representative Ron Kirk said Tuesday
that he will work closely with South Korea, Colombia and Panama for ratification
of the pending free trade agreements with the countries so that enhanced trade
can help revive the falling economy.
"In order to ensure a speedy revival of the U.S. and global economies, it is
imperative that we work with our trading partners to further open markets as well
as working with members of Congress and stakeholders on new and pending free
trade agreements in order to expand the free flow of trade," Kirk said in a
statement.
The statement was released to respond to data from the Commerce Department
earlier in the day that showed that trade shrank by 17 percent for the first
three months this year, compared with the same period last year, amid the worst
recession in decades.
"The March 2009 trade data reiterates the current challenges in our global
economy, specifically the decline in world trade," Kirk said. "USTR will continue
our dialogue with Congress and with our trading partners to accomplish President
Obama's agenda of making trade work for American families."
U.S. government statistics show a possible increase of up to US$20 billion in
annual trade with South Korea, the seventh biggest trade partner for the U.S, if
the agreement is implemented.
U.S. officials, however, said they need to address an imbalance in auto sales and
restricted shipments of U.S. beef before bringing the deal, signed in 2007, to
Congress for a vote.
South Korea's chief trade negotiator, Kim Jong-hoon, will meet with Kirk Thursday
to discuss the sensitive issues. Kim flew here Tuesday.
Deputy Trade Representative Demetrios Marantis recently said that the U.S. will
try to address the issues without revising the text of the deal itself.
"It is USTR's first preference to address those concerns outside the texts of the
agreement, but (we) will explore all options in close consultation with you and
members of the committee," Marantis said in a written statement to Senate Finance
Committee Chairman Max Baucus (D-Montana) on April 30 ahead of his confirmation
hearing.
Marantis said at that time he had concerns "particularly with respect to autos,
and that there is a need for further progress on reopening Korea's market to U.S.
beef," despite the potential for the FTA to provide "significant benefits" to the
U.S.
South Korean Ambassador Han Duck-soo said last week that his government has "no
intention of reopening already-concluded agreements," although he said that Seoul
will address the stumbling blocks to ratification.
South Korea's National Assembly foreign affairs and trade committee has approved
the pact, signaling possible ratification by the plenary parliamentary session in
June.
Obama has yet to send the Korea FTA to Congress for a vote amid growing
protectionist sentiment among Democrats.
South Korean officials hope that the Kim-Kirk meeting will make preparations for
a possible deal ahead of the upcoming summit on June 16 in Washington between
Obama and South Korean President Lee Myung-bak.
At a summit in London last month, the first of its kind, Lee and Obama "agreed
that the U.S.-Korea Free Trade Agreement could bring benefits to both countries
and committed to working together to chart a way forward."
Obama has taken issue with what he has called lopsided auto trade, although South
Korea disputes the U.S. figures, which include hundreds of thousands of autos
produced by Hyundai Motor's plant in Alabama.
South Korea counters that GM Daewoo, General Motor's Korean subsidiary, sold more
than 110,000 cars in Korea last year, 11.7 percent of the Korean market, which is
much more than Hyundai and Kia Motors' market share in the U.S., at about seven
percent for the first several months this year.
hdh@yna.co.kr
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