Industry by the Numbers
The U.S.-Korea Free Trade Agreement (KORUS FTA) will provide America's farmers, ranchers, food processors, and the businesses they support with improved access to the Republic of Korea's 49 million consumers. This is the most economically significant trade agreement for the U.S. agricultural sector in 15 years.
- The U.S. is already Korea's top supplier of a broad variety of agricultural exports at $5.6 billion ($6.1 billion including fish and forest products) in 2008, making Korea the fifth largest export market for U.S. farm products. According to USDA, the new agreement is expected to expand those sales even further.
- Almost two-thirds of Korean imports of U.S. farm products will become duty free immediately - including wheat, corn and cotton.
- Market access for beef and pork will be improved with most tariffs for pork products phased out by January 1, 2016, and those for beef products (40%), by year 15 of the agreement.
- The U.S meat sector will experience the largest increase in output, and U.S. beef exports will increase by $600 million to $1.8 billion. (USITC).
- Korea's agricultural exports to the U.S. in 2011 were $506 million, consisting primarily of prepared agricultural products.
According to the USDA:
The tariff reductions will help the United States compete against China and Australia, which have increased their presence in Korea's $18.5-billion agriculture market. The KORUS FTA will help the United States compete against Korea's other major agriculture suppliers and help keep the United States on a level playing field with Korea's current free trade partners, such as Chile, and any future FTA partners.
Select your state below for information on local resources that can help you take advantage of opportunities from the U.S.-Korea Free Trade Agreement. These resources include groups in both the public and private sector.
Computers & Electronics, Chemicals, Machinery
Communications Equipment, Motor Vehicles, Semiconductors
In 2011, trade volume between the United States and Korea topped $100 billion for the first time.