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Automakers Praise U.S. Action on Korea Auto Trade

1 October 1997

Automakers Praise U.S. Action on Korea Auto Trade

    WASHINGTON, Oct. 1 -- The American Automobile Manufacturers
Association (AAMA) today commended the U.S. government's decision to cite
Korean automotive trade practices under the U.S. unfair trade law known as
"Super 301."
    U.S. Trade Representative (USTR) Charlene Barshefsky today announced that
Korea's auto policies would be designated as "priority practices," initiating
new talks with Korea under a specific timetable to eliminate barriers to
trade.  AAMA filed a petition with USTR in July urging that Korea be
designated under Super 301 for violating a 1995 bilateral Memorandum of
Understanding (MOU) on automotive trade.
    "We want to reach consumers in Korea, but the Korean government has been
standing in the way.  The Super 301 designation is intended to gain Korea's
cooperation in implementing the goals of the 1995 MOU.  Those goals include
increased access to Korea's vehicle market and greater choice for Korean
consumers," said Andrew H. Card, Jr., AAMA President and CEO.
    "In 1995, the Koreans told the U.S., in effect, 'trust us, we will open
our market.' As a result, the U.S. accepted a minimal, first-step agreement.
Now, two years later the market is still closed.  Korea has violated even that
agreement and offered little more than crumbs in place of real market reforms.
This has left the U.S. no choice but to cite Korea under our Super 301 law.
Now the burden is clearly on Korea to open its market."
    AAMA is the trade association comprised of Chrysler Corporation ,
Ford Motor Company , and General Motors Corporation .
 Visit AAMA's site on the World Wide Web at http://www.aama.com.

SOURCE  American Automobile Manufacturers Association