Page last updated at 11:01 GMT, Friday, 20 November 2009

Korea says no to US trade talks

President Obama shakes hands with South Korea's Lee Myung-bak
The US is concerned about the impact of the trade treaty on the car industry.

South Korean officials have dampened speculation that the country is willing to re-negotiate a free trade agreement with the US.

The move comes a day after President Lee Myung-bak indicated he was willing to talk about US concerns at a press conference with President Barack Obama.

However, the Foreign Minister Yu Myung-hwan said the Korean president's comments didn't mean "renegotiation".

The two countries have yet to ratify a treaty signed in June 2007.

US officials have expressed repeated concerns about the free trade agreement's (FTA) impact on the country's ailing car industry.

In 2008, South Korea shipped about 600,000 cars to the US compared to roughly 7,000 cars shipped by the US to South Korea.

South Korean officials counter that the FTA would negatively impact the country's agricultural sector.

In 2008, two-way trade between South Korea and the US amounted to $84.8bn (£50.8bn), making Washington South Korea's fourth largest trading partner behind China, the European Union and Japan.

The Korea Institute for International Economic Policy has previously said the FTA could boost South Korea's long-term growth by 6% and create about 340,000 jobs.

Likewise, in early November the US Chamber of Commerce said that failure to ratify the FTA was putting 350,000 American jobs and export sales at risk.

Print Sponsor

Obama urges North Korea to change
19 Nov 09 |  Asia-Pacific
South Korea approves India deal
06 Nov 09 |  Business
EU and South Korea in trade deal
15 Oct 09 |  Business

The BBC is not responsible for the content of external internet sites

Has China's housing bubble burst?
How the world's oldest clove tree defied an empire
Why Royal Ballet principal Sergei Polunin quit


Sign in

BBC navigation

Copyright © 2018 BBC. The BBC is not responsible for the content of external sites. Read more.

This page is best viewed in an up-to-date web browser with style sheets (CSS) enabled. While you will be able to view the content of this page in your current browser, you will not be able to get the full visual experience. Please consider upgrading your browser software or enabling style sheets (CSS) if you are able to do so.

Americas Africa Europe Middle East South Asia Asia Pacific