FOR IMMEDIATE RELEASE: September 17, 2010

Rep. Paulsen: Now is the time to pass stalled
South Korean Trade Agreement
Action by European Council puts American manufacturing further behind

Eden Prairie, MN– Representative Erik Paulsen (MN-03) today called on Congressional leadership to pass a stalled trade agreement with South Korea and open new markets to American goods and services. Rep. Paulsen made the remark at a Manufacturers Roundtable meeting he held at his District Office this morning. The meeting, attended by a dozen representatives from manufacturing companies in the Third District, addressed local and national employment, economic and trade issues.

“America’s manufacturing sector is the largest and most productive in world, and to hamstring that effectiveness because of Congressional inaction is truly unfortunate,” said Rep. Paulsen. “Congress has so far proven unwilling to extend tax relief to small businesses or reduce burdensome regulations. Moving forward on trade agreements that will open new markets for American exports would be an immediate and cost-free stimulus to our economy.”

Recent action by the European Council has paved the way for the European Parliament to approve a trade agreement with South Korea that will call on both sides to eliminate 98.7% of duties levied on industry and agriculture within five years and to almost fully eliminate any remaining tariffs over a longer period. If approved, the U.S.-Korean trade agreement would set a similar target. The U.S. International Trade Commission estimates that the reduction of Korean tariffs and tariff-rate quotas on goods alone would add $10 billion to $12 billion to annual U.S. Gross Domestic Product and around $10 billion to annual merchandise exports to Korea.

In June, Rep. Paulsen joined a bipartisan group of legislators in launching the U.S. – South Korea Free Trade Agreement (KORUS FTA) Working Group to build further support for efforts to resolve outstanding issues and prepare the agreement for congressional consideration. The bipartisan group is composed of: U.S. Rep. Dave Reichert (WA-08), U.S. Rep. Bobby Bright (AL-02), U.S. Rep. Peter Roskam (IL-06), U.S. Rep. Diane Watson (CA-33),U.S. Rep. Erik Paulsen (MN-03), and U.S. Rep. Adam Smith (WA-09).

For more information on Rep. Paulsen’s work in Congress, please visit www.paulsen.house.gov.

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