START A PETITION 25,136,189 members: the world's largest community for good
START A PETITION
x

U.S. Trade Deficit With Korea Soars to Highest Point on Record Under FTA


Business  (tags: world, usa, ethics, government, freedoms, asia, economy, corporate, abuse, business, consumers, americans, dishonesty, finance, investments, marketing, money, society )

JL
- 551 days ago - citizen.typepad.com
The just-released monthly trade data from the U.S.International Trade Commission reveals an expanding U.S. trade deficit with the world as U.S. exports dropped and imports rose in January, relative to December of last year. But the deficit picture is ev



Select names from your address book   |   Help
   

We hate spam. We do not sell or share the email addresses you provide.

Comments

JL A. (275)
Sunday March 17, 2013, 5:34 pm
March 08, 2013
U.S. Trade Deficit with Korea Soars to Highest Point on Record under FTA

The just-released monthly trade data from the U.S. International Trade Commission reveals an expanding U.S. trade deficit with the world as U.S. exports dropped and imports rose in January, relative to December of last year. But the deficit picture is even starker for U.S. trade with Korea under the tenth month of the Korea Free Trade Agreement (FTA). While U.S. goods imports from all countries rose 3% in January, U.S. imports from Korea soared 18%. While U.S. goods exports to the world slipped 6%, exports to Korea fell 8%. And while the U.S. trade deficit with the world climbed 21% in January, the deficit with Korea jumped 81%. January's U.S. trade deficit with Korea topped $2.4 billion -- the largest monthly deficit with Korea on record. In short, another month of trade with Korea under the Korea FTA has produced another month of remarkably large job-displacing trade imbalances.

The U.S.-Korea trade imbalances of recent months are remarkable not just in comparison with most other U.S. trade partners, but in comparison to how U.S. trade with Korea looked before the Korea FTA took effect in March of last year. In nine of the ten first months of the FTA's implementation, including the most recent month, U.S. exports to Korea fell below pre-FTA levels (relative to the same months in the prior year), spelling an overall 9% fall in exports under the FTA. In six of those ten months, including the most recent month, U.S. imports from Korea exceeded pre-FTA levels, yielding a 2% increase in imports under the FTA. As a result, the U.S. trade deficit with Korea under the FTA's first ten months is 30% -- or $4 billion -- larger than in the same months before the deal took effect. The graph below summarizes this none-too-pretty picture for U.S. jobs, depicting the difference between Korea trade levels under the FTA (April 2012-January 2013) and those occurring in the same months one year earlier, before the FTA took effect.

As Obama administration trade negotiators meet in Singapore this week to hash out the details of the Trans-Pacific Partnership, a massive expansion of the Korea FTA model, they should take a gander at this data. If the Obama administration hopes to fulfill its promise of a rebirth in U.S. manufacturing, a restoration of middle-class wages, and a recovery of decent jobs, it cannot afford to sign another sweeping FTA that expands upon the Korea FTA's sorry track record.

March 8 Korea Trade
 

Terry V. (30)
Sunday March 17, 2013, 5:52 pm
more BAD news, noted :(
 

Kit B. (276)
Sunday March 17, 2013, 6:00 pm

It does seem that the United States get the short end of each of these "Free Trade" agreements. Perhaps it's time to completely rewrite the book on these?
 

JL A. (275)
Sunday March 17, 2013, 6:52 pm
You cannot currently send a star to Terry because you have done so within the last day
You cannot currently send a star to Kit because you have done so within the last day
 

D D. (102)
Sunday March 17, 2013, 11:46 pm
I don' t like hearing this news....I have to agree with Kit B.
 

Danuta Watola (1199)
Monday March 18, 2013, 1:10 am
noted
 

Lynn D. (0)
Monday March 18, 2013, 1:51 am
Interesting, thanks!
 

Ken Y. (3)
Monday March 18, 2013, 4:34 am
as the wheels keep on turning no one seems to be learning
 

Natasha Salgado (520)
Monday March 18, 2013, 6:44 am
Just stop doing any business at all with these pathetic corrupt countries in Asia...is it worth it???
 

paul m. (93)
Monday March 18, 2013, 7:07 am

Cheep inports killing jobs..
 

JL A. (275)
Monday March 18, 2013, 7:16 am
Please flag the SPAM above.
You are welcome Lynn.
 

JL A. (275)
Monday March 18, 2013, 7:18 am
You cannot currently send a star to Natasha because you have done so within the last day.
 

Michael Kirkby (85)
Monday March 18, 2013, 9:57 am
Noted and distressing. Will post.
 

Gene Jacobson (252)
Monday March 18, 2013, 10:58 am
"While U.S. goods imports from all countries rose 3% in January, U.S. imports from Korea soared 18%. While U.S. goods exports to the world slipped 6%, exports to Korea fell 8%. "

This one isn't so surprising as it may seem. Can you say Samsung? I'd venture their phones make up a large portion of that deficit. They are now the largest telecommunications company in the world and their Android phones rival Apple's - which are made in China, of course. They have a huge chunk of the smartphone market and their newest entry - I am two back of it - is said to compare very favorably to the iPhone 5. Superior in some ways in a review I read last week. I don't think we can "blame" South Korea for having this kind of success. Our 1% is who shipped American manufacturing jobs to Asia, they didn't start this ball rolling, we did.
 

Carol D. (109)
Monday March 18, 2013, 11:36 am
does nt sound too good


noted
 

JL A. (275)
Monday March 18, 2013, 4:34 pm
Thanks Michael. And thank you Gene for adding some specifics many wouldn't think about.
You cannot currently send a star to Gene because you have done so within the last day.
No, it sure doesn't Carol.
 

Tim C. (1893)
Monday March 18, 2013, 6:40 pm
thanks
 

JL A. (275)
Monday March 18, 2013, 6:41 pm
You are welcome Tim
 
Or, log in with your
Facebook account:
Please add your comment: (plain text only please. Allowable HTML: <a>)

Track Comments: Notify me with a personal message when other people comment on this story


Loading Noted By...Please Wait

 

 
Content and comments expressed here are the opinions of Care2 users and not necessarily that of Care2.com or its affiliates.