Posted on 11/14/2010 9:06:01 AM PST by newbie2008
The Bush administration negotiated and signed a free-trade agreement with South Korea in 2007, but enough members of Congress found the deal unacceptable that it was never ratified. For years it gathered dust as Candidate and then President Obama paid lip service to the idea of renegotiating it, all the while claiming to share his colleagues’ concern that it did not do enough to open Korea’s markets to U.S. automobiles and U.S. beef. He announced the goal of having a new deal negotiated and signed by this month’s G-20 summit, now under way in Seoul.
You might have heard that he failed.
Do you want to know why? This one is actually funny.
Korea used to be one of the most protected automobile markets in the world. But it has gradually done away with most of the high tariffs and import restrictions that shut out foreign cars and trucks. An 8 percent tariff on cars and a 10 percent tariff on trucks remain, but the U.S.-Korea Free Trade Agreement would remove them immediately with respect to U.S. cars and trucks. As for our own markets, the ratification of the agreement would require us to immediately remove a 2.5 percent tariff on Korean cars, but would give us ten years to phase out a 25 percent tariff on Korean trucks. So it seems like Detroit is getting the better of this deal. What’s not to like? Here’s the punch line: U.S. automakers, their unions, and their allies in government — including most Democrats and Barack Obama — think Korea’s fuel-economy and environmental standards are too high. They are arguing that these standards act as a non-tariff barrier to cars and trucks made in U.S. factories, because, gosh darn it, we just don’t make cars and trucks that clean and green over here.
Sounds like the Liberal National Review is pushing more Liberal Free Trade Globalism.
Of course, they do not mention that Obama supports Free Trade like the NR does.
Only a fool or a Globalist will counter Obama Socialism with more Free Trade Statism/Globalism/Communism.
A Free Trade deal with Korea is not going to fix the US economy. Look at the economy...and see how all the other Free Trade deals are working...
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