South Korea’s Industry Minister, Kim Jung-kwan, expressed that talks with U.S. Commerce Secretary Howard Lutnick in Washington helped clear up “unnecessary misunderstandings” regarding trade tensions. Kim, returning from the U.S., highlighted the deepened mutual understanding following the discussions that took place at the Commerce Department. The meetings, held over two days, did not result in a final agreement.
Kim’s visit followed U.S. President Donald Trump’s threat to increase tariffs and auto duties on South Korea. Trump aimed to raise tariffs to 25 percent from 15 percent due to delays in South Korea’s legislative process supporting a trade deal. Last year, both countries agreed on a trade deal involving a $350 billion investment by South Korea in the U.S. in exchange for reduced tariff rates.
Despite the lack of a conclusion, Kim emphasized that South Korea’s government is committed to implementing the tariff agreement without delay. He assured that the special bill related to the trade and investment deal is expected to be expedited. Kim also elaborated on the reasons for the delay to the U.S. side, aiming to provide clarity on the situation.
During the talks, Kim and U.S. Commerce Secretary Lutnick discussed ways to bridge their differing positions. Both parties acknowledged a deepened understanding of each other’s stances but noted that further discussions are necessary to reach a consensus. Kim highlighted the need for continued dialogue to find common ground and resolve the ongoing trade tensions.
