The Trump administration could give notice to South Korea as early as this week that it plans to withdraw from a bilateral trade agreement that has been in effect since 2012, The Wall Street Journal reported Saturday.
The report cited "people familiar with the matter."
President Donald Trump has long slammed the U.S.-Korea Free Trade Agreement, or KORUS FTA, and the ensuing rise of the nation's trade deficit since it was implemented, the Journal reported.
However, negotiations this summer have been tense — and American officials say that Seoul remains unwilling to make significant changes to the agreement.
A White House spokeswoman told the Journal Saturday that "discussions are ongoing," adding only that "we have no announcements at this time."
The question remains of whether the White House is seriously considering leaving the agreement or is moving in that direction to draw South Korea back to the bargaining table, officials told the Journal.
"It’s a real question how serious this is," said one person outside the White House who is familiar with the talks.
The Trump administration is in talks with Mexico and Canada to improve NAFTA's terms — and the president has threatened to exit the accord should better provisions not be obtained for the United States.
Still, U.S. business groups that lobbied for KORUS during the Obama White House have called on its members to reach out to legislators to stop any withdrawal, the Journal reported.
The National Association of Manufacturers, for instance, sent an "alert" email to members shortly after 8 a.m. Saturday.
"We understand through multiple sources that... a notice of intent to withdraw... has been drafted," the email said, according to the Journal.
It also urged members "to weigh in as soon as possible with senior administration officials, members of Congress and governors."
© 2024 Newsmax. All rights reserved.