[THE INVESTOR] Finance Minister Yoo Il-ho on June 30 refuted criticism of the Korea-US free trade agreement -- most recently by Republican presidential candidate Donald Trump -- that the deal hurt the American economy and jobs.

“Despite the fact that the KORUS FTA has brought enormous benefits to consumers and investors of the two countries, it is no secret that some criticize it based on the increased U.S. current account deficit,” Korea’s top economic policymaker said during a meeting with members of the American Chamber of Commerce in Korea.

“However, I would like to contend that the KORUS FTA‘s advantages easily outweigh the disadvantages.”

Trump called the bilateral pact a “job-killing deal” in an economic speech in Pennsylvania on June 28, claiming claimed that the 2012 deal “doubled our trade deficit with Korea and destroyed nearly 100,000 American jobs.”

His argument is also contrary to the US trade agency’s 2016 report released earlier in the day.

The International Trade Commission said the Korea-US trade resulted in an increase of US$4.8 billion-$5.3 billion in total American exports, the second-largest among a 13 FTAs the U.S. has concluded.

Yoo said consumers in both countries enjoy benefits from wider choices and reasonable prices, using the example of American auto sales in Korea.

“The sales (of American automobiles) soared by 28 percent on an annual average, which makes Korea the second-largest market for US carmakers exceeding Japan,” he said. “Investors also enjoy profits from enlarged markets and more productive use of resources, leading to creating more decent jobs in both countries.”

Yoo took note of the massive investment by leading Korean companies, including Samsung and Lotte, which built factories in U.S. and created jobs for Americans.

“Indeed, it is fair to say that the KORUS FTA has been the foundation for the mutually beneficial partnership between the two countries,” he said.

The finance minister pledged to work with the business community and officials to reduce the remaining trade barriers and carry out restructuring efforts to tackle economic challenges.

“The Korean government acknowledges the need to upgrade regulations where necessary, a goal which will require close communication between policy makers and businesses,” he said.

Yoo said the alliance between the two nations “took a leap forward” when the FTA was concluded, stressing concerted efforts to deal with rising uncertainties in the global economy following Britain’s recent vote to leave the European Union.

“Expanding the horizon of Korea-U.S. cooperation will not only create quality jobs but provide an opportunity to reverse the low-growth trend,” he said.

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