For everyone that is a fan of Korean cars they are about to get cheaper for those of you living in the US in five years:
The U.S. and South Korea have reached an agreement on America’s largest trade pact in more than a decade, a highly coveted deal the Obama administration hopes will boost U.S. exports and create tens of thousands of jobs at home.
After a week of marathon negotiations, representatives from both countries broke through a stalemate Friday morning on outstanding issues related to the automobile industry, which have been a sticking point in the talks. The agreement would be the largest U.S. trade deal since the 1994 North American Free Trade Agreement, or NAFTA, with Canada and Mexico and would bolster U.S. ties with the fast-growing South Korea economy.
South Korea is agreeing to allow the U.S. to lift a 2.5 percent tariff on Korean cars in five years, instead of cutting the tariff immediately. The agreement also allows each U.S. automaker to export 25,000 cars to South Korea as long as they meet U.S. federal safety standards and allows the U.S. to continue a 25 percent tariff on trucks for eight years and then phase it out by the 10th year. South Korea would be required to eliminate its 10 percent tariff on U.S. trucks immediately. [Associated Press]
Read the rest at the link, but not everything has been worked out with this agreement yet. For example they haven’t worked out a compromise on US beef. I do wonder how much the recent issues with North Korea went towards the two sides agreeing to get something passed?