Overall, Korea and the United States have kept cooperative ties within their economic relationship but tension still exists stemming from the friction between the two countries on a number of trade issues, the screen-quoto problem surrounding the bila...
Overall, Korea and the United States have kept cooperative ties within their economic relationship but tension still exists stemming from the friction between the two countries on a number of trade issues, the screen-quoto problem surrounding the bilateral investment treaty, and the anti-dumping duties which the U.S. continuously brings to the table. In this situation, the Korea-U.S. Free Trade Agreement will be an opportunity to resolve most of the trade issues between the two countries. However, even with the successful conclusion of the Korea-U.S. Free Trade Agreement, trade conflict will continue to surface in certain sectors beginning with medicine supplies. There is still a wide difference between Korea and the U.S. on trade regulation issues such as the anti-dumping duties which Korea seeks to be set in place. As a result, tough negotiations are expected between the two countries. From an economic perspective there is a high possibility for competitive liberalization to arise in the East Asian region. The only strategic choice that can be taken by nations seeking to tap into the integrated market of Korea and the U.S. is competitive liberalization. Ultimately, there will be an increase of nations wanting to enter into a Free Trade Agreement with the U.S. or Korea. In the end, this may lead to the possibility of Korea becoming the leading nation in liberalizing this area.
The Korea-U.S. FTA is an economical matter but the conclusion of the Korea-U.S. FTA will strengthen the economic ties between the two nations and is expected to upgrade the quality of the diplomatic ties between Korea and the United States. Once the economic ties deepen between the two countries through the FTA, the connection between Korea's stability and peace to the economic returns to the U.S. will be strengthened. When this happens, America's commitment to promote Korea's security and peace on the Korean peninsula will naturally grow.