Latest news with #KORUSFTA
Korea Herald
01-04-2025
- Business
- Korea Herald
S. Korea to continue negotiations with US on trade barrier issues raised in USTR report: ministry
The South Korean government will continue negotiating with Washington on non-tariff measure issues ahead of the planned announcement of US reciprocal tariffs, the industry ministry said Tuesday, shortly after the office of the US Trade Representative released an annual report on foreign trade barriers. The government will work to address US concerns over non-tariff measures with Washington through various communication channels, including working-level consultative bodies and the implementation committee of the Korea-US Free Trade Agreement, the Ministry of Trade, Industry and Energy said. Earlier in the day, the USTR issued the 2025 National Trade Estimate Report on Foreign Trade Barriers, which is expected to play a crucial role in the Donald Trump administration's announcement of country-by-country reciprocal tariffs, set for Wednesday. The ministry said the report assessed South Korea more favorably compared to other US trade partners, noting that some 80 percent of duties on bilateral trade in industrial and consumer goods have been eliminated under the KORUS FTA. The 2025 report mentioned a total of 21 non-tariff barriers by South Korea, which increased from the previous year but is smaller in number compared with reports issued prior to 2023, the ministry explained. The 21 barriers included sanitary and phytosanitary barriers on agricultural products, such as restrictions on US beef products deriving from animals more than 30 months of age, and digital trade barriers, such as network usage fees, proposals to regulate online platform operators for fair competition and restrictions on the export of location-based data. For the first time, the report also mentioned South Korea's defense offset trade program, under which Seoul has set certain conditions for foreign defense contractors to meet for defense industrial cooperation when they engage in key government procurement projects. The ministry said the latest NTE report listed many issues already cited in last year's edition and that it has been working to address Washington's concerns. Earlier this year, Industry Minister Ahn Duk-geun and Trade Minister Cheong In-kyo visited Washington to meet with US trade officials, including Commerce Secretary Howard Lutnick and USTR Jamieson Greer. The government will closely analyze the NTE report to devise response measures, while continuing its tariff negotiations with the US, the ministry said. (Yonhap)
Korea Herald
21-03-2025
- Business
- Korea Herald
US industry group asks USTR to help reduce or eliminate S. Korea's 'screen quota' system
A US industry group has called for South Korea to lower or remove the Asian country's "screen quota" system that mandates theaters fill part of their screening time with domestic firms, in comments made to the United States Trade Representative. The Coalition of Services Industries submitted the comments to the USTR last week to assist in the review and identification of "unfair trade practices and harm from non-reciprocal trade arrangements." The USTR is likely to examine the case for its calculation of "reciprocal" tariffs for Korea, set to be rolled out April 2. "In 2006, prior to the KORUS FTA negotiations, the Korean government agreed to reduce its screen quota requiring exhibition of Korean films to 73 days per year," the coalition said in the comments viewed by Yonhap News Agency. KORUS FTA is short for the South Korea-US free trade agreement. "Over 16 years later, amidst rapid development of its cultural industries and the success of many Korean films and television productions internationally, now is the time for Korea to show leadership in the region, trust the choices of its consumers and further reduce or eliminate its screen quota," it added. South Korea's screen quota system was initiated decades ago to protect local films from big-budget Hollywood flicks. The 73-day quota was fixed in 2006, down from the previous 146 days. The coalition also took issue with Korea's small de minimis duty exemption for imports from the US. "Korea only applies the $200 de minimis mentioned above to imports from the US and has not implemented it globally on a most-favored nation basis. This has undermined the main benefit of a higher de minimis level, namely a streamlined process for rapid border clearance of these goods," it said. "Conversely, Korea's interpretation has added to the complicated web of regulatory restrictions that inhibit trade facilitation while requiring the dedication of more automated resources to distinguish shipment values for separate customs procedures according to origin." The comments came as US President Donald Trump's administration plans to impose country-by-country reciprocal tariffs that will be customized based on US trading partners' tariff and non-tariff barriers, and other factors, such as exchange rates and unfair trade practices. (Yonhap)
