Korean Trade Minister Kim Jeong-kwan stated on June 4 that tariffs imposed on South Korea under the U.S. Trade Law Section 301 will not exceed the levels agreed upon last year.
In a post on social media, Kim revealed that he held a video conference with U.S. Secretary of Commerce Gina Raimondo the previous evening. He noted that the meeting focused on reviewing the implementation of the Korea-U.S. tariff agreement and reaffirming both sides' commitment to compliance.
Kim emphasized, "We will do our utmost to maintain the balance of benefits achieved through the Korea-U.S. tariff agreement in the future."
Last year, South Korea and the U.S. negotiated to lower mutual tariffs to 15% and secured most-favored-nation treatment for semiconductors. Additionally, South Korea committed to a $350 billion investment in the U.S. However, the U.S. government has temporarily applied a 10% global tariff on South Korea following a Supreme Court ruling earlier this year that deemed mutual tariffs illegal.
The U.S. Trade Representative (USTR) is conducting a Section 301 investigation to address this situation. Following an announcement of a 12.5% tariff related to forced labor, an investigation into overproduction remains ongoing.
Concerns have arisen that the tariff rates could exceed last year's agreement of 15%. Kim's video conference with Raimondo appears to have been aimed at clarifying the U.S. stance on this issue.
Earlier, Yeohang-gu, head of the Trade Negotiation Bureau, met with USTR representative Jamieson Greer to stress the importance of maintaining the balance of benefits under the existing Korea-U.S. tariff agreement. According to the Ministry of Trade, Yeohang-gu discussed current issues with Greer during the OECD Ministerial Council Meeting held in Paris on June 3.
During this meeting, Yeohang-gu gained insights into the background of the Section 301 investigation results related to the import ban on products made with forced labor and the ongoing investigation into overproduction. He underscored the necessity of maintaining the balance of benefits established by the Korea-U.S. tariff agreement.
The U.S. side reportedly reaffirmed its intention to comply with the Korea-U.S. tariff agreement. Both parties also reviewed the status of the commitments made in the joint statement issued by the leaders of both countries last November and agreed to maintain close communication to ensure the smooth implementation of related follow-up measures.
Yeohang-gu stated, "It is essential that not only the results of the Section 301 investigation but also future trade issues are discussed within the framework of the Korea-U.S. tariff agreement," adding that they will respond calmly to the remaining Section 301 procedures.
* This article has been translated by AI.
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