US / Korea Free Trade Agreement Finalized
For many years, since the Bush administration, the US has been attempting to close a free trade agreement with South Korea. Many European nations already have trade agreements with Korea, and the US and Korea were having difficulty closing a deal. This led to concerns that the US would be at a considerable competitive disadvantage.
Negotiators were finally able to agree to terms with Korea on November 3rd, and congress will finalize the agreement early next year. This means an increase in opportunity for jobs in the USA, as trade barriers and tariffs will be lifted and sales to Korean consumers will increase. The hope for the Automotive industry is that car sales will increase to Korea, as well as the aftermarket parts market along with automotive equipment, such as Car Lifts, parts washers, floor jacks and air compressors. Korea is one of the leading economies in the world, and their demand would welcome the high quality products that American workers produce. The US labor market is one of the most skilled in the world.
This follows the last significant trade agreement, which was the USA / Columbia Free Trade Agreement. We’ll keep you posted on any future deals.