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Sheridan County School District #2 > Free Trade Agreement Chart

Free Trade Agreement Chart

Nevertheless, ratification can be a laborious process. The graph below shows the time it takes to negotiate a trade agreement, from the first round of negotiations to the signing and, on the other hand, between signing and ratification. Some trade pacts have lasted a year or less between the signing of the free trade agreement and the entry into force, but recent free trade agreements have experienced delays. Since 2006, the average gap between signing and implementing free trade agreements in the United States has been nearly 50 months. The ratification and implementation of the Korea-U.S. Free Trade Agreement took more than four and a half years after the first signing. The expansion of corn-based ethanol production in the United States is resulting in a large amount of residual products called distillers such as dry solubility grains (DDGS). About 75% of DDGS are used in the U.S. domestic market, but Chinese importers looking for feed raw materials have developed as an important export market. High feed prices and favourable tax treatment in China spurred an increase in U.S. DDGS imports in 2009/2011.

China`s potential demand for U.S. DDS depends on a variety of factors, including corn prices, Chinese policy, availability and price of other alternative food ingredients, such as grain processing by-products in China (residual products from alcohol production). Demand is robust, but slower growth in U.S. supply of DDGS and uncertainty about Chinese policy could limit export growth to China. This graph is found in the Chinese market for dried grains and major influences on its longer-term potential, FDS-12g-01, August 2012. The lengthening of the deadlines reflects many factors, including the need to pass implementing laws and allow for an internal debate between the UNITED States COMMERCIAL DÉPARTEMENTS, as demonstrated by the trade pacts of Colombia, Panama and Oman. U.S. agricultural exports to Korea can be divided into two groups: inputs for Korean industries and products that compete with Korean industry production. Input products include wheat, corn, soybeans, cotton and skins used in processing and imported at low or no tariffs. The reason is that they (1) do not supplant Korean production and (2) the industries that use them need cheap inputs to compete in the Korean and global market.

Among the products that the United States could benefit most from a U.S.-Korea trade agreement include: (1) where tariffs are currently high, (2) that are competitive with Korean producers, and (3) where Korean demand responds strongly to lower prices. This graph is from the ERS Selected Trade Agreements and Implications for U.S. Agriculture report, ERR-115, April 2011. Countries use bilateral and regional trade agreements to improve market access and expand trade in foreign markets. These agreements are called reciprocal trade agreements (RTAs) because members give each other special benefits. ATRs include many types of agreements, such as preferential regimes, free trade agreements, customs unions and common markets, in which members agree to open their markets to each other`s exports by removing trade barriers. In recent years, ATRs have become an increasingly important feature of the multilateral trading system. According to the World Trade Organization, 186 such agreements were in force in 2005, compared to 50 just before the 1994 Uruguay Round, less than 25 in 1985 and only 13 in 1975. With the expansion of the number of agreements, the RTA`s share of world trade increased from 22% in 1975 to more than 50% in 2005. This graph comes from reciprocal trade agreements: impact on bilateral trade expansion and contraction on the global agriculture market, ERR-113, April 2011.

Forecasts for the agricultural sector for 2021 are based on assumptions about macroeconomic conditions. The crusade