All-out Tariff Defense... Kim Jung-kwan: "U.S. Reaffirms It Will Not Exceed Last Year's Level"

S. Secretary of State Marco Rubio testifies at the Senate Appropriations Committee meeting held at the U. S. Capitol in Washington on the 3rd (local time). AP Yonhap News As the United States and the European Union (EU) successively raise trade barriers, the South Korean government is mobilizing all high-level trade channels. When the U. S.
5% ​​tariff on South Korean products based on the results of a Section 301 investigation regarding the ban on imports of goods produced with forced labor, Minister of Trade, Industry and Energy Kim Chung-kwan received reaffirmation from the U. S. side that tariffs exceeding the level of the existing Korea-U. S. tariff agreement would not be imposed. Ahead of the EU's introduction of the Tariff Rate Quota (TRQ) for steel, Minister for Trade Yeo Han-koo moved to secure quotas at the last minute.
According to the Ministry of Trade, Industry and Energy on the 4th, Minister Kim Chung-kwan held a video conference with U. S. Commerce Secretary Howard Lutnick the previous day. Minister Kim stated on Facebook that day, "I received reaffirmation that tariffs exceeding the level of last year's tariff agreement will not be imposed on Korea. " He continued by emphasizing, "We reviewed the implementation status of last year's Korea-U. S.
tariff agreement and confirmed both sides' commitment to continued compliance," adding, "We will do our utmost to ensure that the balance of interests achieved through the Korea-U. S. tariff agreement is maintained in the future. " Earlier on the 2nd, the U. S. 5% ​​tariff on 46 economic blocs, including Korea.
On the 3rd, Minister for Trade Yeo Han-koo also met with USTR Representative Jamieson Greer in Paris, France, to discuss overall bilateral trade issues, including the results of the Section 301 investigation. Minister Yeo emphasized that new tariff measures must not undermine the balance of interests established by last year's Korea-U. S. tariff agreement. The U. S.
side also reaffirmed its intention to comply with the agreement. However, within the United States, Korea's regulatory environment and the treatment of U. S. companies are being cited as trade variables. During a hearing before the House Foreign Affairs Committee, U. S.
Secretary of State Marco Rubio responded to a point raised by Republican Representative Darrell Issa that U. S. companies such as Coupang and Meta are facing discrimination in Korea, stating, "This is a factor in our engagement with Korea," and adding, "I believe it has affected our ability to conclude a trade agreement with Korea. " Steel negotiations with the EU have also entered a critical final stage. Director Ye visited Brussels, Belgium, to meet with key figures from the European Commission and the European Parliament, including EU Commissioner for Trade and Economic Security Marosš Šefčović, to convey the Korean government's concerns regarding the EU's measures to introduce duty-free steel import quotas. The EU is set to implement measures to address steel oversupply on July 1.
3 million tons, just over half. The tariff rate on imports exceeding quotas will be raised from the existing 25% to 50%. The government plans to minimize damage to the domestic steel industry and secure the maximum possible duty-free quota volume for Korean steel through comprehensive negotiations at both high-level and working-levels during the remaining period. During a meeting with Commissioner Šefčović, Director Ye emphasized that the stable trade and investment relationship and mutual trust maintained over the past 15 years based on the Korea-EU Free Trade Agreement (FTA) must not be damaged by these steel measures. The government maintains the position that special consideration for Korea is necessary during the process of allocating quotas by country. Director Ye stated, "As there is not much time remaining until the implementation on July 1, the government will concentrate all its capabilities on securing the maximum possible quota volume for our companies through comprehensive negotiations at both high-level and working-levels while communicating closely with the industry.
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aber@fnnews.com Park Ji-young Yoon Jae-jun Reporter