NAM says Korea is a vital supply chain partner

Executives with the Washington DC-based Global Cold Chain Alliance (GCCA), told SCMR earlier this year that Korea was “the one area where perishable commodities might see some benefit is the advancement of free trade agreements.”

By ·

The National Association of Manufacturers (NAM), which has been largely critical to current administration, issued a note of praise today for its U.S.-Korea Free Trade Agreement.

“Manufacturers congratulate President Obama and U.S. Trade Representative Ron Kirk for their tireless efforts to reach this agreement, which is vital for manufacturers in America and means jobs,” said NAM President John Engler.

While he noted that it was important to manufacturers to improve the supply chain auto provision, Engler was pleased to see it has been addressed.

“We are anxious to work with the Administration to get this agreement to Congress for action,” he added.

Executives with the Washington DC-based Global Cold Chain Alliance (GCCA), told SCMR earlier this year that Korea was “the one area where perishable commodities might see some benefit is the advancement of free trade agreements.”

NAM agrees, ?noting that this agreement will provide a broad scope of opportunities and generate billions of dollars annually in new U.S. exports to Korea. NAM said that nearly 60 percent of exports expected to go to Korea will be manufactured goods from a wide range of industrial sectors in every state in U.S.

“It is important to point out that this trade agreement will eliminate tariffs on 95 percent of consumer and industrial products between the two countries within three years,” said Engler. “This is one of the largest bilateral trade deals the U.S. has ever undertaken.  Korea represents a manufactured goods import market of $250 billion. Without this agreement, U.S. exporters only have 11 percent of the market – and face a higher cost of doing business.

NAM and other shippers have argued that the European Union, Japan and other competitors are in a race to negotiate free trade agreements with Korea and various nations throughout the world, which could put U.S. manufacturing companies at a significant disadvantage.

“Data continue to show that the U.S. benefits greatly from free trade agreements – for the past three years, we have had a trade surplus with our free trade agreement partners,” said Engler.

The pending deal with Korea paves the way for the passage of additional agreements, particularly the Colombia and Panama agreements, and moving quickly on the Trans Pacific Partnership.  ??

“This agreement also shows the U.S. commitment to intensify its strategic role in Asia and increase its engagement in that important part of the world,” Engler said.


About the Author

Patrick Burnson, Executive Editor
Patrick Burnson is executive editor for Logistics Management and Supply Chain Management Review magazines and web sites. Patrick is a widely-published writer and editor who has spent most of his career covering international trade, global logistics, and supply chain management. He lives and works in San Francisco, providing readers with a Pacific Rim perspective on industry trends and forecasts. You can reach him directly at [email protected]

Subscribe to Logistics Management Magazine!

Subscribe today. It's FREE!
Get timely insider information that you can use to better manage your entire logistics operation.
Start your FREE subscription today!

Article Topics

All Topics
Latest Whitepaper
Supplier Relationship Micro Management
Optimizing Across Six Guiding Principles
Download Today!
From the July 2017 Logistics Management Issue
E-commerce continues to fuel a boom that’s tempered by overcapacity, rate pressures, sluggish demand and political doubt. The result: “cognitive dissonance” that finds a $1.4 trillion market scratching its head.
2017 Truckload Brokerage Roundtable: Technology continues to connect the dots
Cloud Transportation Management Systems (TMS): Weis Markets streamlines “both sides” of the DC door
View More From this Issue
Subscribe to Our Email Newsletter
Sign up today to receive our FREE, weekly email newsletter!
Latest Webcast
Women in Logistics: Breaking Gender Roles to Win the War for Talent
In this session you'll hear from a panel of women who are now leading top-level logistics and supply chain operations. The panel will share their success stories as well as advice for women who are now making their way up the ladder.
Register Today!
EDITORS' PICKS
28th Annual State of Logistics: Into the great unknown
E-commerce continues to fuel a boom that’s tempered by overcapacity, rate pressures, sluggish...
2017 Top 50 3PLs: Investment and Consolidation Maintain Traction
The trend set over the past few years for mergers and acquisitions has hardly subsided, and a fresh...

The Evolution of the Digital Supply Chain
Everyone is talking about terms like digitization, Industry 4.0 and digital supply chain management,...
2017 Salary Survey: Fresh Voices Express Optimism
Our “33rd Annual Salary Survey” reflects more diversity entering the logistics management...