The Trump administration is imposing additional tariffs of 10% to 12.5% on 60 trading partners, including South Korea, due to inadequate measures to prevent the import of products made with forced labor. South Korea will face a 12.5% tariff.
According to the U.S. Trade Representative (USTR) and the Associated Press, the tariffs will take effect at 12:01 a.m. Eastern Time on July 24.
The USTR has established a system to ban the import of forced labor products but decided to apply a 10% tariff to countries with insufficient enforcement and a 12.5% tariff to those lacking adequate regulations.
South Korea, along with Japan, has been included in the 12.5% tariff category. The USTR determined that South Korea has not implemented sufficient systems and enforcement to effectively block imports of products made with forced labor.
This 12.5% tariff is an additional charge on top of existing tariffs. However, it will not apply to products subject to separate tariffs, such as automobiles and steel, as well as certain exempt items. Not all South Korean products will incur a uniform 12.5% increase.
This action effectively replaces the 10% global tariff that is set to expire on the same day.
In February, the U.S. Supreme Court ruled that the tariffs imposed by the Trump administration under the International Emergency Economic Powers Act (IEEPA) were illegal. In response, the Trump administration implemented a temporary 10% tariff on all imports under Section 122 of the Trade Act.
Tariffs under Section 122 can only be maintained for a maximum of 150 days without congressional approval for an extension. As the expiration of the previous tariffs approached, the Trump administration invoked Section 301 of the Trade Act, which allows for retaliation against unfair or discriminatory trade practices.
In March, the USTR launched an investigation into the implementation and enforcement of systems to block imports of forced labor products in South Korea and 59 other trading partners. After announcing the proposed tariffs of 10% to 12.5% last month, the USTR finalized this action after gathering feedback from various countries.
* This article has been translated by AI.
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