By Jack Kim
SEOUL (Reuters) -South Korea said it planned to intensify trade talks with the United States and considers U.S. President Donald Trump’s plan for a 25% tariff from August 1 as effectively extending a grace period on implementing reciprocal tariffs.
Trump said on Monday he would impose the tariff on goods from South Korea starting on August 1, posting a letter to President Lee Jae Myung on his social media platform along with one to Japan’s leader.
South Korea’s Industry Ministry said in a statement that the letter effectively extends a grace period on the implementation of reciprocal tariffs by the United States.
“We will step up negotiations during the remaining period to reach a mutually beneficial result to quickly resolve the uncertainties from tariffs,” it said.
“We also plan to use it as an opportunity to improve domestic systems and regulations to resolve the trade deficit that is a major interest of the United States and advance key industries through a manufacturing renaissance partnership between the two countries,” it said.
South Korea’s top trade envoy and presidential security adviser have traveled to the United States in recent days for trade and defence talks as Asia’s fourth largest economy races to seek an exemption from Trump’s threatened tariffs.
The Industry Ministry in the statement conceded it did not have enough time after the start of a new administration in South Korea to reach an agreement with the United States on all issues despite intense negotiations.
South Korean President Lee took office on June 4 after winning a snap election after his predecessor’s December martial law declaration, which he said had greatly impaired the country’s response to U.S. trade policy and new tariffs.
(Reporting by Jack Kim; Editing by Chris Reese and Deepa Babington)
Comments