The U.S. Chamber of Commerce and a bipartisan group of congressional leaders on Tuesday urged the Trump administration not to withdraw from the U.S.-South Korea Free Trade Agreement (KORUS).
"The U.S. Chamber of Commerce opposes U.S. withdrawal from KORUS in the strongest possible terms. We do not believe this move would create a single American job - but it would cost many," Thomas J. Donohue, President and CEO of U.S. Chamber of Commerce said in a statement.
Donohue said the trade deal has boosted U.S. exports in a number of areas, including aerospace, service and agriculture, warning U.S. exports would be at risk if South Korea restored tariffs against U.S. products.
"Ironically, states across mid-America that voted for the president would take the hit from withdrawal as their agricultural and manufactured goods exports fell in the wake of such a move," he argued, saying the move would also damage White House relations with allies in the business and agriculture communities and in Congress, greatly complicating Trump's other initiatives such as tax reform.
"It's difficult to imagine a move that would bring more self-harm to our economy and national security, with no benefit in return, than withdrawing from KORUS. We urge the administration not to make this rash and irresponsible move," he said.
House Ways and Means Committee Chairman Kevin Brady and Ranking Member Richard Neal, and Senate Finance Committee Chairman Orrin Hatch and Ranking Member Ron Wyden also emphasized the importance of U.S.-South Korea relations amid tensions in the Korean Peninsula.
"The U.S.-South Korea agreement, negotiated under two presidents and approved by Congress, is a central element of that alliance", the four lawmakers said in a joint statement, adding South Korea is a significant economic partner and the seventh largest export market of the United States.
"Our trade relationship can be enhanced ... To be effective and constructive, however, we must not withdraw from the agreement while we do so," they said, urging the two sides to have bilateral discussions to strengthen the economic ties.
U.S. President Donald Trump has long blamed the KORUS trade deal for U.S. trade deficit with South Korea. The stance is rejected by Seoul.
The two sides last month held the first special session of the Joint Committee under the KORUS FTA to discuss trade imbalance, but reached no agreement.
According to U.S. media, the Trump administration was considering initiating the process of withdrawing from the trade deal as early as this week.
But U.S. Trade Representative (USTR) Robert Lighthizer said on Tuesday that he hoped the two countries could have a successful discussion to amend the agreement, appearing to back away from Trump's threat of withdrawing from the trade pact.
"The U.S. Chamber of Commerce opposes U.S. withdrawal from KORUS in the strongest possible terms. We do not believe this move would create a single American job - but it would cost many," Thomas J. Donohue, President and CEO of U.S. Chamber of Commerce said in a statement.
Donohue said the trade deal has boosted U.S. exports in a number of areas, including aerospace, service and agriculture, warning U.S. exports would be at risk if South Korea restored tariffs against U.S. products.
"Ironically, states across mid-America that voted for the president would take the hit from withdrawal as their agricultural and manufactured goods exports fell in the wake of such a move," he argued, saying the move would also damage White House relations with allies in the business and agriculture communities and in Congress, greatly complicating Trump's other initiatives such as tax reform.
"It's difficult to imagine a move that would bring more self-harm to our economy and national security, with no benefit in return, than withdrawing from KORUS. We urge the administration not to make this rash and irresponsible move," he said.
House Ways and Means Committee Chairman Kevin Brady and Ranking Member Richard Neal, and Senate Finance Committee Chairman Orrin Hatch and Ranking Member Ron Wyden also emphasized the importance of U.S.-South Korea relations amid tensions in the Korean Peninsula.
"The U.S.-South Korea agreement, negotiated under two presidents and approved by Congress, is a central element of that alliance", the four lawmakers said in a joint statement, adding South Korea is a significant economic partner and the seventh largest export market of the United States.
"Our trade relationship can be enhanced ... To be effective and constructive, however, we must not withdraw from the agreement while we do so," they said, urging the two sides to have bilateral discussions to strengthen the economic ties.
U.S. President Donald Trump has long blamed the KORUS trade deal for U.S. trade deficit with South Korea. The stance is rejected by Seoul.
The two sides last month held the first special session of the Joint Committee under the KORUS FTA to discuss trade imbalance, but reached no agreement.
According to U.S. media, the Trump administration was considering initiating the process of withdrawing from the trade deal as early as this week.
But U.S. Trade Representative (USTR) Robert Lighthizer said on Tuesday that he hoped the two countries could have a successful discussion to amend the agreement, appearing to back away from Trump's threat of withdrawing from the trade pact.
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