Industry Minister Kim Jung-kwan stated that the United States is unlikely to increase tariffs on South Korea if the National Assembly approves a special bill regarding Seoul’s $350 billion investment commitment to the US. Kim, who recently met with Commerce Secretary Howard Lutnick in the US to discuss tariff and trade issues following President Donald Trump’s tariff threats, highlighted the positive reception of the investment bill by the US side.
Kim emphasized that the US expressed appreciation for the proposed bill and indicated that tariff hikes would not proceed if South Korea fulfills its trade-related obligations. Trump had previously threatened to raise tariffs on South Korea, citing delays in passing the investment bill, but with the bill expected to pass soon, the situation is anticipated to stabilize.
The purpose of Kim’s visit was to address uncertainties surrounding US tariff policies, particularly after a US Supreme Court ruling overturned Trump’s reciprocal tariffs. Discussions also involved the imposition of a 10 percent “global tariff” by the Trump administration, with potential increases to 15 percent. Kim reassured that consultations were held to ensure fair treatment for Seoul in comparison to other nations.
Regarding a petition by US investors in Coupang Inc. for a Section 301 probe, Kim clarified that the issue stemmed from a domestic legal matter related to a data breach. He affirmed that appropriate actions would be taken in response. Additionally, discussions with Lutnick covered the oil price cap system instructed by President Lee Jae Myung, with preparations nearly finalized for its implementation based on market conditions.
Trade Minister Yeo Han-koo also concluded discussions with US Trade Representative Jamieson Greer on tariff and non-tariff matters, further enhancing bilateral trade relations.
