US Withdrawal From Korea FTA Postponed

Trade & Policy

US Withdrawal From Korea FTA Postponed

President Trump's proposal to have the United States withdraw from the South Korea-US Free Trade Agreement is on hold for now. The White House announced that Trump had instructed White House staff to prepare a letter to withdraw from KORUS. The president has complained that since KORUS went into effect in 2012, the US trade deficit has increased. The possibility of withdrawing from KORUS is a major concern to agriculture and business, but also with national security experts during a time of increasing tensions over the crisis with North Korea's nuclear weapons.

Withdrawing from KORUS met strong opposition from agriculture, business and Congressional leaders.

Industry leaders pointed out, "The idea that we're the only game in town when it comes to selling our agricultural products abroad is false. So is the notion that there's always another country that will buy our commodities. Furthermore, even the threat to withdraw from this or any trade agreement is a dangerous course of action. Repeatedly walking our trade relationships to the brink, or actually breaking them, only weakens our standing abroad."