Although there were some encouraging signs earlier in the spring that the Obama Administration was prepared to move the pending Free Trade Agreements with Panama, Colombia and Korea forward, recent actions and statements by President Obama unfortunately indicate that the Administration has put trade on the back burner until at least the fall or possibly next year.

Delaying action on these FTAs is due primarily to political considerations and continuing opposition to trade among a significant number of Congressional members and the public. The cascading loss of jobs during this economic crisis has only exacerbated the negative perception and lack of support for trade.
This is despite the fact that:

- Exports accounted for a record 13 percent of the U.S. GDP last year. In the three years leading up to the global recession, export expansion accounted for almost half — 47 percent — of America's overall GDP growth.
- Up until the full effect of the global recession last fall, every FTA that entered into force resulted in a significant increase of U.S. exports to an FTA partner.
- One in six American manufacturing jobs is already supported by trade and agricultural exports support nearly a million more. Jobs supported by exports pay 13 to 18 percent more than the national average.

The United States-Korea Free Trade Agreement (KORUS FTA) includes numerous export market-opening measures across all sectors and is the most economically significant agreement. The International Trade Commission estimates that implementation of the FTA would increase annual U.S. goods exports to Korea by $10-11 billion and increase U.S. GDP by $10-12 billion annually. Ratification would greatly benefit Southern California's ports and key sectors including agriculture, entertainment, high-tech, medical device and IP-related industries.

Trade and exports will play an integral part in any long-term economic recovery for the Southern California region and therefore, support from the Chamber, its members, as well as businesses and communities will be critical for ensuring ratification of the KORUS FTA and the other two pending FTAs. The Global Initiatives Committee will continue to monitor the U.S. trade agenda and serve as a conduit to build and vocalize support for free and fair trade.

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Brian Peck, an adjunct professor at the University of Southern California, is the Global Initiatives Committee co-chair.

Free and Fair Trade
The Chamber is committed to collaborating with partnering organizations to effectively work together to support enforcement of trade agreements, protection of intellectual property and promotion of direct foreign investment and constructive dialogue. Read more.

Latin America Trade Market Overview, July 21
Join the Chamber, in partnership with SCORE, to learn about current business opportunities in Latin America. U.S. exports are growing rapidly in Latin America. Learn how to grow your business by expanding internationally. Topics include a Latin America business outlook, moving your goods, trade financing and local resources. Register now or contact Jasmin Sakai-Gonzalez, 213.580.7569 or [email protected].

Global Initiatives Committee Meeting, July 22
Join the Chamber's Global Initiatives Committee as L.A. City Councilmember Janice Hahn presents an overview of her role as chair of the City Council's Trade, Commerce and Tourism Committee, which oversees the Port of Los Angeles, the Los Angeles International Airport and LA Inc., The Los Angeles Convention & Visitors Bureau.  Register now or contact Jasmin Sakai-Gonzalez, 213.580.7569 or [email protected].