On September 24, 2018, U.S. President Donald Trump and the Republic of Korea’s President Moon Jae-in signed an updated U.S.-Korea Free Trade Agreement (KORUS).
The U.S. Trade Representative (USTR) has released a fact sheet highlighting some of the new outcomes for U.S. exporters:
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Korea will extend the 25% U.S. tariff on trucks until 2041;
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Korea will double the number of U.S. automobile exports that can meet U.S. safety standards;
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U.S. exporters will be able to show compliance with Korea’s emission standards using the same tests they conduct to show compliance with U.S. regulations;
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Korea will recognize U.S. standards for auto parts necessary to service U.S. vehicles, and reduce labeling burdens for parts;
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Korea will expand the amount of “eco-credits” available to help meet fuel economy and greenhouse gas requirements;
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Korea will address concerns with the verification procedures through agreement on principles for conducting verification of origin of exports and establish a working group to monitor and address future issues that arise;
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Korea will amend its Premium Pricing Policy for Global Innovative Drugs to make it consistent with Korea’s commitments under KORUS by the end of 2018.
The USTR’s fact sheet may be found here:
The text of the KORUS agreement may be found here:
https://ustr.gov/sites/default/files/files/Press/Releases/KORUS%20Texts%20Outcomes.pdf
