Trump's Welcome Change of Heart on South Korea Trade Deal

  • Trump's Welcome Change of Heart on South Korea Trade Deal

Trump's Welcome Change of Heart on South Korea Trade Deal

Countries expecting to wrangle over automotive rules.

"I now look forward to intensified engagement with Korea in an expeditious manner to resolve outstanding implementation issues as well as to engage soon on amendments that will lead to fair, reciprocal trade", Lighthizer said in a statement. They point out that America's trade deficit in goods with South Korea has more than doubled, to $27 billion, since the treaty came into effect in 2012.

Wednesday's meeting was the second round of talks on USA demands for an amendment. Since Seoul announced the suspension of operations at Kaesong last February, satellite imagery has shown North Korea has run and re-located South Korean-owned buses.

No date was given for a third round of talks between the two countries, which comes as Lighthizer is also focused on revamping the North American Free Trade Agreement with Mexico and Canada.

Lifting that cap would boost USA -made vehicle imports Matt Blunt, president of the American Automotive Policy Council, a Washington lobbyists for General Motors Co., Ford Motor Co. and Fiat Chrysler Automobiles NV on trade issues told Bloomberg.

The first meeting held in Seoul in August reportedly ended in an impasse. "The US has placed a priority on reducing its trade deficit with Korea, which it says has more than doubled since KORUS took effect in 2012, and particularly in the automotive sector, which in 2016 accounted for almost 90% of the total deficit of $27.6bn". "We think a way to cut through that would be to remove that 25,000-vehicle cap".

South Korean Trade Minister Kim Hyun-chong and U.S. Trade Representative Robert LighthizerRobert (Bob) Emmet LighthizerMORE said the two trading partners would get more aggressive in working out what they characterized would be a better agreement for both nations after a second set of talks in Washington on Wednesday.

"Hyundai has always supported free trade and highly values the trade pact between the United States and Korea", it said in a statement.