US, South Korea Agree On Need to Amend KORUS

A common understanding has been reached between the U.S. and South Korea on the need to amend the five-year-old U.S.-Korea Free Trade Agreement (KORUS) trade agreement in order to increase benefits for both countries, the South Korean government said after a meeting Wednesday.While agreeing in a meeting between the top two trade officials from both countries on the need to amend the deal, there was no suggestion of what parts of the deal they want to address. Of note, the countries are aiming to change the deal rather than start from scratch with a complete renegotiation.Seoul said it will begin consultations with its legislature and stakeholders — including an economic assessment and public hearings — to fully engage in potentially amending the agreement. U.S. Trade Representative (USTR) Robert Lighthizer said there will be "intensified engagement" with South Korea to amend the pact. A USTR spokesperson said the two sides anticipate further discussions and/or meetings to be scheduled in the coming weeks.Seoul had originally taken the position that they would "not agree to the unilateral proposal" to amend the deal until they first examined the cause of the trade imbalance. President Donald Trump wants to close the trade deficit largely fueled by South Korea's exports of cars and mobile phones.But the agreement has big defenders in Congress, including those from agricultural states.