U.S. sent warning two weeks ago: "Implement the Korea-U.S. fact sheet" as Seoul scrambles to respond

[Financial News] The Federal Government of the United States sent a letter about two weeks ago to major Korean ministries, urging follow-up implementation of the trade-related commitments in the Korea-U.S. Joint Fact Sheet signed in November last year.
According to the Ministry of Science and ICT on the 27th, James R. Heller, Chargé d'Affaires ad interim of the United States to the Republic of Korea, sent the letter on the 13th to Bae Kyung-hoon, Deputy Prime Minister and Minister of Science and ICT. Minister of Foreign Affairs Cho Hyun, Minister of Trade, Industry and Energy (MOTIE) Kim Jung-kwan, and Chairperson of the Korea Fair Trade Commission (KFTC) Joo Byung-ki were reportedly copied as recipients for reference.
In the letter, Heller conveyed U.S. concerns over digital service regulations such as the Online Platform Fairness Act and called for implementation of the Korea-U.S. Joint Fact Sheet agreed to by South Korea and the United States last November.
The letter stated, "Our two countries committed to implement the joint pledge that 'U.S. companies will not be discriminated against or face unnecessary barriers in terms of laws and policies related to digital services, including network usage fees and online platform regulations.'" It continued, "We hope this joint pledge will be faithfully carried out across a wide range of digital service sectors, including app marketplaces, online platforms, mapping services, digital advertising, e-commerce, and cloud services." The letter added, "As part of this commitment, it is important to ensure that U.S. companies and their executives are treated fairly and are not subjected to discriminatory criminal liability or travel restrictions."
The letter went on to stress that "the presidents of both countries must honor what was agreed and ensure that U.S. digital companies are not disproportionately affected or excessively burdened."
Previously, South Korea and the United States pledged in November last year to ensure that U.S. companies would not face discrimination or unnecessary barriers in laws and policies related to digital services, including network usage fees and online platform regulation. On that basis, they issued a joint fact sheet that included measures such as exempting tariffs on Korean-made automobiles in return for US$350 billion (about 505 trillion won) in investment in the United States. However, on the 26th (local time), Donald Trump wrote on his social networking service (SNS) that the Korean legislature was not honoring the agreement and announced that he would raise reciprocal tariffs from 15% to 25%.
In response to this abrupt notification from the U.S. side, the Korean government has been scrambling to craft countermeasures. The Ministry of Economy and Finance of the Republic of Korea, which oversees U.S.-bound investment management and the creation and operation of related funds, said immediately after confirming Trump's social media remarks, "We are working to understand the intent of the U.S. side," adding, "The government plans to convey its commitment to implementing the tariff agreement to the United States while responding in a calm and measured manner."
Kim Jung-kwan, Minister of Trade, Industry and Energy, who is currently visiting Canada, plans to travel to the United States as soon as his schedule there ends to discuss the matter with United States Secretary of Commerce Lutnick. Minister for Trade Yeo Han-koo is also expected to visit the United States soon to hold talks with Office of the United States Trade Representative (USTR) head Jamieson Greer.
MOTIE stated, "In close coordination with the relevant ministries, we plan to actively engage with the U.S. side to convey our government's commitment to implementing the tariff agreement and to respond proactively."
mkchang@fnnews.com Jang Min-kwon, Jeong Sang-gyun, Park Ji-young Reporter