White House Says “Korea Broke Its Promise” to Justify Trump’s Tariff Hike

[The Financial News] New York City – Reporter Lee Byung-chul.On the 27th (local time), the White House explained that President Donald Trump’s decision to raise tariffs on imports from the Republic of Korea (ROK) back to 25% was made because, in its view, "Korea failed to fulfill the commitments it agreed to in return for lower tariffs."
A White House official, responding to a question from Yonhap News Agency about President Trump’s Truth Social post foreshadowing higher tariffs on Korean imports, stated, "The simple reality is that Korea reached a trade agreement with the Trump administration in order to secure lower tariffs."
The official argued, "Under the United States–Korea Free Trade Agreement (KORUS FTA), the president lowered tariffs on Korea, but Korea has made no progress in carrying out the promises it was supposed to fulfill in return."
The United States had agreed to cut tariffs on key items such as automobiles from Korea, as well as bilateral tariffs, from 25% to 15%. In exchange, Korea agreed to implement $350 billion (about 505 trillion won) in investment in the United States. The White House appears to be taking issue with the fact that the Special Act on Investment in the United States, intended to support this investment pledge, has not yet been passed by the National Assembly of the Republic of Korea.
However, the White House official did not comment on when or how the tariff increase mentioned by President Trump would be implemented, offering no details on timing or procedures.
The previous day, President Trump wrote on the social media platform Truth Social, "The National Assembly of the Republic of Korea is failing to honor the agreement between Korea and the United States," and declared, "Accordingly, I am raising all bilateral tariffs on Korea, including on automobiles, lumber, and pharmaceuticals, from 15% to 25%."
The Special Act on Investment in the United States was introduced on November 26 last year by the ruling Democratic Party of Korea (DPK), after a joint fact sheet was released on November 13 outlining security and trade agreements reached between the presidents of South Korea and the United States. In response, the United States lowered tariffs on automobiles from Korea to 15%, retroactive to November 1, with publication in the Federal Register on December 4. The bill, however, still has not passed the National Assembly of the Republic of Korea.
Separately, the Republican Party (GOP) members on the United States House Committee on the Judiciary shared President Trump’s social media post on higher tariffs against Korea on X (formerly Twitter). They asserted, "This is what happens when American companies like Coupang are unfairly targeted."



pride@fnnews.com Reporter Lee Byung-chul Reporter