Impacts of the Korea-U.S. Free Trade Agreement on Inter-Korean Relations

By Lee, SeungHyun | North Korean Review, Spring 2008 | Go to article overview

Impacts of the Korea-U.S. Free Trade Agreement on Inter-Korean Relations


Lee, SeungHyun, North Korean Review


Introduction

The KORUS FTA has various effects on intra-Korean relations. The KORUS FTA Document Annex 22-B describes "the effect on intra-Korean relations" as a precondition to be considered in discussing the rules of origin of products from Outward Processing Zones (OPZs). It is a very broad definition, but it is a good example to show that the KORUS FTA is closely linked to intra-Korean relations.

There are two perspectives on the KORUS FTA and intra-Korean relations; one is positive and the other negative. Kim, a senior researcher at the Korean Institute for National Unification (KINU), said in favor of the FTA that, "the KORUS FTA can be a strong ground enough to give two Koreas a win-win game."1 He argued that the relationship between the two Koreas, as well as their economic cooperation, will jump up to a higher level through the FTA. On that level, South Korea will be able to strengthen its industrial competitiveness. North Korea will also have a role in developing the KIC, and may gain recognition from the United States for the regime's legitimacy. These will result in stabilizing the Korean Peninsula and will lead to a peaceful process in solving the Korean problem. In this process, North Korea may expect to restore stability to its economy.

However, one precondition is necessary to realize all of these nice processes. This is recognition from the United States that products made in Kaesung can be regarded as products made in Korea. Dong, team director at Samsung Economic Research Institute, also takes a similar perspective. He has a broader viewpoint than Kim's. He sees that the KORUS FTA has an effect not only on the security environment of the Korean Peninsula, but also on intra-Korean relations.

In a perception that security has a direct influence on intra-Korean economic cooperation, he summarizes the effects of the FTA in three ways.2 First, the KORUS FTA will improve Korea-U.S. relations from a military basis to a combination of the economic and the military. Second, the KORUS FTA could bring about a fundamental change in intra-Korean relations and in policies on North Korea. Third, the KORUS FTA will stimulate cooperation between North East Asian countries. In this cooperation, North Korea will have a chance to develop its economy.

There is a view, however, that the KORUS FTA could have negative effects on intra-Korean relations. Chung, ex-secretary to President Roh, said, "President Roh is now going to fail his reform and if he goes on naively driving in KORUS FTA, he would face a difficult situation." Chung regards the FTA as a U.S. hegemonic strategy on North East Asia.3

What is the KORUS FTA? The KORUS FTA will drive the Korean people into infinite competition in global markets. In the past, the global economy meant competition among nations. Today, however, it means competition among people, competition among enterprises, and competition among states, all mixed up simultaneously.

First of all, from the legal perspective, the KORUS FTA is an agreement that makes trade between two countries free. The KORUS FTA is very meaningful if its purpose is to make trade between Korea and the United States free, without any tariff or non-tariff barriers. However, it can only be valuable if the FTA is mutually beneficial. The United States usually tries to maximize its own enterprises' profit. To accomplish this purpose, the United States demands that other countries modify their laws and institutions through FTAs.4 If the United States chooses to attach importance to modifying Korean laws and institutions, this cannot be a mutual benefit.

On the political side, the KORUS FTA reinforces Korea-U.S. relations and confirms that Korea is inferior to the United States in terms of national strength. Many people would consent to this view, even though not all Korean people would agree with the criticism5 that the United States has got everything that it wanted, while Korea didn't get anything that it wanted. …

The rest of this article is only available to active members of Questia

Already a member? Log in now.

Notes for this article

Add a new note
If you are trying to select text to create highlights or citations, remember that you must now click or tap on the first word, and then click or tap on the last word.
One moment ...
Default project is now your active project.
Project items
Notes
Cite this article

Cited article

Style
Citations are available only to our active members.
Buy instant access to cite pages or passages in MLA 8, MLA 7, APA and Chicago citation styles.

(Einhorn, 1992, p. 25)

(Einhorn 25)

(Einhorn 25)

1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

Note: primary sources have slightly different requirements for citation. Please see these guidelines for more information.

Cited article

Impacts of the Korea-U.S. Free Trade Agreement on Inter-Korean Relations
Settings

Settings

Typeface
Text size Smaller Larger Reset View mode
Search within

Search within this article

Look up

Look up a word

  • Dictionary
  • Thesaurus
Please submit a word or phrase above.
Print this page

Print this page

Why can't I print more than one page at a time?

Help
Full screen
Items saved from this article
  • Highlights & Notes
  • Citations
Some of your highlights are legacy items.

Highlights saved before July 30, 2012 will not be displayed on their respective source pages.

You can easily re-create the highlights by opening the book page or article, selecting the text, and clicking “Highlight.”

matching results for page

    Questia reader help

    How to highlight and cite specific passages

    1. Click or tap the first word you want to select.
    2. Click or tap the last word you want to select, and you’ll see everything in between get selected.
    3. You’ll then get a menu of options like creating a highlight or a citation from that passage of text.

    OK, got it!

    Cited passage

    Style
    Citations are available only to our active members.
    Buy instant access to cite pages or passages in MLA 8, MLA 7, APA and Chicago citation styles.

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn, 1992, p. 25).

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn 25)

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn 25)

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences."1

    1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

    Cited passage

    Thanks for trying Questia!

    Please continue trying out our research tools, but please note, full functionality is available only to our active members.

    Your work will be lost once you leave this Web page.

    Buy instant access to save your work.

    Already a member? Log in now.

    Search by... Author
    Show... All Results Primary Sources Peer-reviewed

    Oops!

    An unknown error has occurred. Please click the button below to reload the page. If the problem persists, please try again in a little while.