Seoul, South Korea (AP) — South Korean officials have officially reached out to the Trump administration in an effort to secure an exemption from the aggressive tariffs that the U.S. plans to impose on its trade partners. Emphasizing the existing low duties placed on American products as per the free trade agreement between the two nations, South Korea’s government made this request known on Friday. Deputy Trade Minister Park Jong-won, who was in Washington this week for meetings with key officials from the White House, the Department of Commerce, and the Office of the U.S. Trade Representative, was the bearer of this crucial appeal. While the South Korean Trade Ministry did not disclose the response received from the American side, Park highlighted the significant contributions made by South Korean companies to the U.S. economy through substantial business investments. Moreover, he underscored that South Korea is already implementing minimal duties on free trade partners like the United States, making a strong case for exclusion from the U.S.’s tariff escalation plans concerning trade partners and the proposed increase in duties on imported steel and aluminum.
Concerns over the impact of U.S. President Donald Trump’s tariff policies have been mounting in South Korea, with the country’s leading economic think tank revising its growth forecast for the nation for the second time within a few months. The Korea Development Institute, a state-run entity, downgraded its growth projection for the South Korean economy in 2025 to 1.6%, marking a 0.4 percentage point decrease from its earlier estimate. While the institute’s economists do not anticipate a significant blow to South Korea’s economy from the steel and aluminum tariffs due to their relatively minor share in the country’s exports to the U.S., they expressed apprehension regarding potential hikes in U.S. duties on semiconductors and automobiles, which could significantly impact the trade-dependent economy.
Acting president of South Korea, Choi Sang-mok, convened a meeting with trade and foreign policy officials to evaluate the potential repercussions of Trump’s trade policies, particularly the reciprocal tariffs and probable product-specific duties being considered for semiconductors, automobiles, and pharmaceuticals. Instructing officials to closely monitor the responses of other major economies like the European Union, Japan, and China to the U.S.’s trade directives, Choi, who also serves as South Korea’s finance minister, stressed the importance of effectively communicating South Korea’s stance to U.S. authorities. South Korea’s trade surplus with the U.S. stood at $55.7 billion in 2024, and the country maintains a tariff rate of approximately zero percent on U.S. manufacturing imports, as per information provided by the South Korean trade ministry.
