Trump sets August deadline for Korea tariffs

On Monday (local time), U.S. President Donald Trump announced that he has imposed a 25% reciprocal tariff (comprising a base tariff of 10% and a country-specific tariff of 15%) on all imports from South Korea. However, the tariff is scheduled to take effect on the 1st of next month. Until then, the South Korean and U.S. governments are expected to engage in comprehensive negotiations encompassing tariffs, non-tariff barriers, and industrial cooperation measures.

President Trump released a series of “reciprocal tariff letters” through Truth Social that he plans to send to 14 countries, starting with South Korea and Japan. The tariff rate for South Korea remains at the 25% level initially set in April, while Japan’s rate has been raised by one percentage point to 25%.

In the letter addressed to President Lee Jae-myung, Trump said that he had reached the conclusion to “move away from these long-term and very persistent trade deficits engendered by Korea’s tariff and non-tariff policies and trade barriers,” outlining the reasons behind the letter in detail. He also warned, “Goods transshipped to evade a higher tariff will be subject to that higher tariff. Furthermore, he stated, “If for any reason you decide to raise your tariffs, then whatever the number you choose to raise them by will be added onto the 25% that we charge,” effectively signaling retaliatory measures should South Korea attempt to evade or counter the new tariffs.

However, Trump added that the tariffs could be adjusted up or down depending on the bilateral relationship, suggesting that if South Korea sufficiently accommodates U.S. demands before the tariff takes effect on August 1, the rate may be lowered.

Meanwhile, National Security Adviser Wi Sung-rak met with U.S. Secretary of State and National Security Advisor Marco Rubio in Washington and emphasized the importance of an early summit between the two countries to make mutually beneficial progress on all pending issues, according to the presidential office. Secretary Rubio responded, saying, “Although the tariff letter was sent today, we still have time until the actual imposition on August 1. I hope the two countries will communicate closely to reach an agreement before then.” While both sides reportedly agreed on the need for a summit, a specific date has not yet been discussed.

At a ministerial-level meeting on U.S. trade issues held on Tuesday afternoon, Presidential Policy Chief Kim Yong-beom said, “While swift negotiations are important, prioritizing national interest is an even greater value.” He added, “Since we have secured time until the end of July, please ensure that negotiations with the U.S. are carried out with the utmost focus on our national interest.”


워싱턴=신진우특파원 niceshin@donga.co