July 1, 2010 – The aviation community has applauded the White House initiative led by President Obama and announced at this weekend’s G20 Summit in Toronto, to complete a free trade agreement with Korea by November, significantly benefiting the U.S. economy and building on recent efforts to open travel from Korea to the United States.  

The United States and the Republic of Korea signed the United States-Korea Free Trade Agreement (KORUS FTA) on June 30, 2007. If approved, the Agreement would be the United States' most commercially significant free trade agreement in more than 16 years. 

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.

As the first U.S. FTA with a North Asian partner, the KORUS FTA could be a model for trade agreements for the rest of the region, and underscore the U.S. commitment to, and engagement in, the Asia-Pacific region. The Obama Administration will seek to promptly and effectively address the issues surrounding the KORUS FTA, including concerns that have been expressed regarding automotive trade.

“At United, we have long advocated governmental action to remove barriers to international trade, and along with our Star Alliance partners including Korea-based Asiana Airlines, we provide the connections that enable people, businesses and communities to participate in an increasingly global economy.” 

“The Korean-U.S. Free Trade agreement will significantly benefit the U.S. economy and create U.S. jobs, and we welcome this important initiative by the Obama Administration,” said Glenn Tilton, United Airlines chairman and CEO. “We have long advocated governmental action to remove barriers to international trade, and along with our Star Alliance partners including Korea-based Asiana Airlines, we provide the connections that enable people, businesses and communities to participate in an increasingly global economy.”  

United provides more air service to Korea than any other US carrier with daily nonstop service from San Francisco and daily connecting service over Tokyo. Travel from South Korea to the United States is rising following Korea being added to the list of visa-waived countries, and providing greater connectivity between the U.S. and South Korea, the 14th largest economy in the world.  

CEOs of Boeing, Xerox Pledge Support to Obama for Passage of Korea-US Free Trade Agreement. Jim McNerney, chairman, president and CEO of Boeing and Ursula Burns, chairman and CEO of Xerox stated "we applaud President Obama's decision to move the Korea-U.S. Free Trade Agreement closer to ratification.