Analyzing Export Competitiveness of Korea’s Major Automobile Parts to U.S Market due to KORUS FTA

Abstract

The purpose of this study is to analyze how the entry into force of the Korea-U.S. FTA Agreement affects the export competitiveness of Korean automobile parts to the US. In particular, we will focus on whether the export competitiveness of Korean auto parts, one of the major products that were expected to benefit the most from the Korea-US FTA, has increased. To achieve research objectives, We collected related data through import and export statistics provided by KITA and used MSI (Market Share Index), EBI (Export Bais Index), MCA (Market Comparative Advantage) index as an analytical method. The main results of this study are as follows: ) When compared to before and after the Korea-U.S Fta, the most important items that have been risen in the U.S market are 892, 894 and 899 items. ) It is necessary to identify the cause of the decline in the US market competitiveness after the Korea-US FTA is concluded, and policy support should be provided for items with stagnant competitiveness.