Congressman Kevin Brady (R-TX), Chairman, Subcommittee on Trade of the Committee on Ways and Means, today announced that the Subcommittee will hold a hearing on the pending trade agreement with South Korea.  This hearing is the third in the series of hearings on the pending trade agreements with Colombia, Panama, and South Korea.  The hearing will take place on Thursday, April 7, 2011, in the main Committee hearing room, 1100 Longworth House Office Building, beginning at 10:00 A.M. 

In view of the limited time available to hear witnesses, oral testimony at this hearing will be from invited witnesses only.  However, any individual or organization not scheduled for an oral appearance may submit a written statement for consideration by the Committee and for inclusion in the printed record of the hearing.  A list of invited witnesses will follow.

BACKGROUND:

            On June 30, 2007, the United States concluded a trade agreement with South Korea, which is still awaiting Congressional consideration.  On December 3, 2010, the United States and South Korea agreed to the terms of a supplemental autos agreement that will foster greater market access for U.S. automakers.

On January 25, 2011, the Ways and Means Committee held its first hearing on this agreement, along with the pending trade agreements with Colombia and Panama.  The South Korea trade agreement was also discussed at the Ways and Means Committee hearing with Ambassador Kirk, on February 9, 2011.  On March 7th, Chairman Camp agreed to Ambassador Kirk’s written request to begin technical discussions on the draft implementing bill, noting that discussions between Congressional and Administration staffs were scheduled for later that day.  Technical discussions are ongoing.

The U.S.-South Korea trade agreement would open new markets to U.S. exports and, in turn, benefit American businesses, farmers, workers, and consumers.  The Obama Administration estimates that implementing the agreement will support 70,000 jobs in the United States.  The independent U.S. International Trade Commission (ITC) has estimated that implementing the agreement would increase U.S. exports by at least $9.7 billion.  In addition, the tariff cuts alone will add at least $10.1 billion per year to U.S. GDP.  The benefits of trade agreements are also long-lasting.  Since 2000, U.S. exports to the 13 countries with which the United States has implemented trade agreements have grown almost twice as fast as our worldwide exports. 

            South Korea has concluded trade agreements with major trading partners and export competitors of the United States, so U.S. failure to implement our own trade agreement with South Korea could severely disadvantage U.S. exporters and jeopardize U.S. job creation.  The EU-South Korea trade agreement is expected to enter into force on July 1, 2011, removing significant South Korean tariffs for European exporters while similar tariffs remain in place against U.S. exports.  South Korea currently has trade agreements in place with Chile, India, and the ten countries of the Association of Southeast Asian Nations (ASEAN).  South Korea is also negotiating trade agreements with Canada, Australia, New Zealand, and China.

In announcing this hearing, Chairman Brady said, “South Korea is a dynamic market and key ally in the Asia-Pacific region.  Opening up the South Korean market for American goods and services is a critical priority for robust U.S. long-term growth.  Passing the U.S.-South Korea trade agreement, like our agreements with Colombia and Panama, will create good U.S. jobs and increase the competitiveness of U.S. exporters.  In addition, it will preserve U.S. influence and leadership on the Korean peninsula and in the broader Asia-Pacific region.  We cannot afford to lose these export opportunities by sitting on the sidelines as South Korea moves forward on trade agreements with our major competitors.  American workers, farmers, ranchers, manufacturers, service providers, and other exporters will simply be left behind.  I hope that the Administration will work with this Committee to allow Congressional consideration of all three pending trade agreements by July 1.”

FOCUS OF THE HEARING:

The focus of the hearing is on Congressional consideration of the pending trade agreement with South Korea.  The hearing will address the economic benefits this agreement will bring to American businesses, farmers, workers, consumers, and the U.S. economy.  In addition, the hearing will examine the national security and geopolitical implications of the agreement and will explore developments within South Korea that have occurred since the trade agreement was concluded.

DETAILS FOR SUBMISSION OF WRITTEN COMMENTS:

Please Note: Any person(s) and/or organization(s) wishing to submit for the hearing record must follow the appropriate link on the hearing page of the Committee website and complete the informational forms.  From the Committee homepage, https://waysandmeans.house.gov, select “Hearings.”  Select the hearing for which you would like to submit, and click on the link entitled, “Click here to provide a submission for the record.”  Once you have followed the online instructions, submit all requested information. ATTACH your submission as a Word or WordPerfect document, in compliance with the formatting requirements listed below, by the close of business on Thursday, April 7, 2011.  Finally, please note that due to the change in House mail policy, the U.S. Capitol Police will refuse sealed-package deliveries to all House Office Buildings. For questions, or if you encounter technical problems, please call (202) 225-6649.

FORMATTING REQUIREMENTS:

                    The Committee relies on electronic submissions for printing the official hearing record.  As always, submissions will be included in the record according to the discretion of the Committee.  The Committee will not alter the content of your submission, but we reserve the right to format it according to our guidelines.  Any submission provided to the Committee by a witness, any supplementary materials submitted for the printed record, and any written comments in response to a request for written comments must conform to the guidelines listed below.  Any submission or supplementary item not in compliance with these guidelines will not be printed, but will be maintained in the Committee files for review and use by the Committee.

1. All submissions and supplementary materials must be provided in Word or WordPerfect format and MUST NOT exceed a total of 10 pages, including attachments. Witnesses and submitters are advised that the Committee relies on electronic submissions for printing the official hearing record.

2. Copies of whole documents submitted as exhibit material will not be accepted for printing. Instead, exhibit material should be referenced and quoted or paraphrased.  All exhibit material not meeting these specifications will be maintained in the Committee files for review and use by the Committee.

3. All submissions must include a list of all clients, persons and/or organizations on whose behalf the witness appears.  A supplemental sheet must accompany each submission listing the name, company, address, telephone, and fax numbers of each witness.

The Committee seeks to make its facilities accessible to persons with disabilities.  If you are in need of special accommodations, please call 202-225-1721 or 202-226-3411 TTD/TTY in advance of the event (four business days notice is requested).  Questions with regard to special accommodation needs in general (including availability of Committee materials in alternative formats) may be directed to the Committee as noted above.

Note: All Committee advisories and news releases are available at http://www.waysandmeans.house.gov/