The Korea-U.S. Free Trade Agreement is unlikely to be passed by the U.S. Congress in August, Korean Trade Minister Kim Jong-hoon said Monday.
Kim said that the negotiations for raising the U.S. government debt-ceiling, and difficulties surrounding the process, have taken center stage making it unlikely that the trade pact with Korea will be processed within the next month.
 |
Korean Trade Minister Kim Jong-hoon. (The Korea Herald) |
“The situation becoming difficult is not because of the FTA but due to (U.S.) government debt,” Kim said adding that “everything appeared to be going according to plan” until early July. He added that the impact the trade pact was expected to have on the U.S. trade figures was not on a scale that will prove “burdensome to the U.S. economy.”
Regarding the situation in Korea, Kim said that some progress could be made in August.
“If (the process) starts in September, time will be significantly delayed,” Kim said citing processes such as the annual parliamentary audit as potential causes of the delay.
“From such perspective, it is necessary to regard it not as an issue that should be seen through to the end once started, but one should be conducted in stages.”
Asked whether the progress in August the Trade Ministry hopes for is approval from the National Assembly’s Foreign Affairs, Trade and Unification Committee he said that such development would be “good” and that he will work toward that result.
Regarding the talks on possible FTA negotiations with China, Kim said that while difficulties remained, the two sides’ differences have been narrowed and that China has been the more eager party in trying to begin negotiations.
He added that Korea should seek opportunities among China’s high-income groups for its agriculture industry to benefit from the pact. As with other free trade pacts, Korea’s agriculture industry is among those expected see the largest negative effect from a deal with China.
By Choi He-suk (
cheesuk@heraldcorp.com)
