[Congressional Record Volume 157, Number 152 (Wednesday, October 12, 2011)]
[Extensions of Remarks]
[Pages E1832-E1833]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




      UNITED STATES-KOREA FREE TRADE AGREEMENT IMPLEMENTATION ACT

                                 ______
                                 

                               speech of

                            HON. JEFF DUNCAN

                           of south carolina

                    in the house of representatives

                       Tuesday, October 11, 2011

  Mr. DUNCAN of South Carolina. Mr. Speaker, I rise today to speak in 
opposition to H.R. 3080, the Korean Free Trade Agreement.
  Earlier today, I voted to support free trade agreements with Colombia 
and Panama because I recognize the value of promoting trade with our 
neighbors.
  Unfortunately, the Korean trade agreement that we're debating right 
now is deeply flawed, poorly negotiated, and will cost American jobs by 
picking winners and losers in the market place.
  The textile provisions alone in the agreement will cost Americans 
nearly 40,000 jobs over the next 7 years. Sadly, many of those jobs 
will be lost in my own state of South Carolina.
  While this agreement gives South Korean goods duty-free entry into 
the U.S. market, American exports to South Korea will still be 
subjected to a 10 percent Tax. That amounts to an automatic 10 percent 
tariff on certain US goods, putting our manufacturers at an immediate 
competitive disadvantage. Additionally, this agreement opens US markets 
to Korean goods, but doesn't guarantee the Korean market will be open 
for US goods.
  Finally, I'm concerned about this agreement's impact on our national 
security as it relates to the extended domestic supply chain for 
industrial and military applications. These include fuel cells, oil 
booms, rapidly deployable shelters and tents, radar covers, Kevlar body 
armor for our troops, and many more advanced applications. This trade 
agreement could have a major negative impact on the private sector's 
ability to innovate and supply our military.
  I strongly urge my colleagues to send this trade agreement back to 
drawing board. For the sake of our economic and military security, I 
urge a NO vote. Thank you, and may God Bless America.
                                                 January 20, 2011.
       Dear Representative, As representatives of the domestic 
     textile and apparel sector and its nearly 600,000 workers, we 
     strongly urge you to oppose the U.S.-South Korea Free Trade 
     Agreement (KORUS). In regards to textiles and apparel, the 
     FTA is seriously flawed and will result in the continued 
     outsourcing of valuable textile, apparel and other 
     manufacturing jobs. With our nation struggling through one of 
     the worst economic periods in its history, we believe the 
     current agreement sends the wrong message to our workers and 
     to American voters.
       During the past forty years, Korea has developed a 
     sophisticated industrial and apparel fabrics sector and, as a 
     consequence, is the second largest exporter of textile yarns 
     and fabrics to the United States. Although the U.S. textile 
     sector is one of the most efficient and quality-driven 
     producers in the world, the Korean economy presents virtually 
     no export opportunities to Korea for U.S. textile producers. 
     As a measure of this one-way trading relationship, the U.S. 
     trade deficit in textiles and apparel totaled $708 million in 
     2009.
       As a result, the textile industry asked the Obama 
     Administration to make three fixes

[[Page E1833]]

     to the KORUS agreement in order to ensure that U.S. textile, 
     apparel and fiber jobs were not outsourced to Korea and 
     China. These fixes concerned (a) loopholes in the enforcement 
     portions of the agreement that benefit China, (b) a tariff 
     schedule that gives Korean exporters better terms than U.S. 
     companies and (c) the exclusion of textile components in the 
     agreement's rules-of-origin that advantage non-signatories to 
     the agreement such as China.
       These mistakes not only hurt our manufacturing workers but 
     also damage our industry's ability to supply our military 
     with essential goods for our men and women in uniform. In 
     particular, Korea's producers get longer phase-out schedules 
     than U.S. producers on a number of sensitive product lines 
     that include products that are needed by the U.S. military. 
     Damaging surges by Korean producers because of this 
     inequitable arrangement will hurt U.S. companies that the 
     military depends on for a number of important products.
       Unfortunately, the Administration chose not to address the 
     concerns of textile workers in your districts, and we are 
     concerned that their jobs are now in jeopardy.
       Polls have shown a rising concern by the American voter 
     regarding the outsourcing of American jobs, particularly 
     manufacturing jobs, and the decline of the U.S. as an 
     economic power. Recent Wall Street Journal and Pew polls show 
     voter dissatisfaction regarding badly written trade 
     agreements is at a record high.
       An analysis by the Economic Policy Institute estimates that 
     159,000 good paying American jobs will be destroyed if the 
     KORUS agreement in its present form passes Congress. Of that 
     total, we estimate that between 9,300 and 12,300 jobs will be 
     lost specifically in the U.S. textile and apparel sector as a 
     result of legal KORUS trade. U.S. government figures show 
     that approximately three additional jobs are lost to the U.S. 
     economy for each textile job that is eliminated. In addition, 
     U.S. job losses from illegal Chinese exports are not included 
     and these would be significant. Total U.S. job losses because 
     of the flawed KORUS textile text are expected to be at least 
     40,000 jobs.
       With job creation a central concern in the country, we do 
     not believe that this agreement meets that goal. We continue 
     to urge that the textile portions of the agreement be 
     renegotiated in order to ensure that textile jobs are not 
     imperiled. Until that time, we ask you to stand firm on 
     behalf of textile workers in your district and oppose the 
     Korean FTA when it comes before a vote in Congress.
           Sincerely,
     Auggie Tantillo,
       Executive Director, American Manufacturing Trade Action 
     Coalition.
     Karl Spilhaus,
       President, National Textile Association.
     Paul O'Day,
       President, American Fiber Manufacturers Association.
     Cass Johnson,
       President, National Council of Textile Organizations.
     Ruth Stephens,
       Executive Director, U.S. Industrial Fabrics Institute.

                          ____________________