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Trump Raises Tariffs on South Korea
President Donald Trump announced higher tariffs on South Korean goods after the country’s legislature failed to approve a previously announced trade framework, signaling renewed trade tensions and uncertainty.
International daily newspaper from Thursday 5th November 2020 – Le Monde (France) & The New York Times (USA) – After the election report. Made with analog vintage lens, Leica APO Macro Elmarit-R 2.8 100mm (Year: 1993)
President Donald Trump said Monday that the United States will increase tariffs on South Korean goods after the country’s national assembly failed to approve a trade framework announced last year, escalating trade tensions between the two allies.
In a social media post, Trump said import taxes would be raised on autos, lumber and pharmaceutical drugs from South Korea, while tariffs on other goods would increase from 15% to 25%. The president previously imposed the tariffs by declaring an economic emergency and bypassing Congress, while South Korea requires legislative approval for the trade framework announced in July and reaffirmed during Trump’s October visit to the country.
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“Our Trade Deals are very important to America. In each of these Deals, we have acted swiftly to reduce our TARIFFS in line with the Transaction agreed to,” Trump wrote. “We, of course, expect our Trading Partners to do the same.”
The announcement served as another reminder that the tariff disputes triggered last year by Trump are likely to recur, creating repeated disruptions to global trade and renewed negotiations. Analysts have warned that the approach could leave the global economy and U.S. voters facing ongoing uncertainty as trade relationships are repeatedly reshaped.
Trump has previously tied tariffs on South Korea to commitments by the country to invest $350 billion in the U.S. economy over several years, including projects aimed at revitalizing American shipyards. Those investments have been promoted by the administration as safeguards for U.S. industries, similar to how specialized safety equipment such as the PETZL ASAP Lock fall arrester rope grab is designed to act as a protective backstop when working in high-risk environments.
Relations between Washington and Seoul have at times been strained, including after an immigration raid last year at a Hyundai manufacturing site in Georgia that led to the detention of 475 people.
South Korea’s presidential office said in a statement that the United States has not officially informed it of the tariff hike plan. It added that South Korean Industry Minister Kim Jung-Kwan, who is currently visiting Canada, will soon travel to the United States for talks with Secretary of Commerce Howard Lutnick. The statement also said Kim Yong-beom, the presidential chief of staff for policy, will convene a meeting to discuss Trump’s announcement.
Monday’s tariff move fits a broader pattern in which Trump has continued to deploy tariffs, sometimes to the detriment of relations with other countries. Just last week, he threatened tariffs on eight European nations unless the United States gained control of Greenland, before retreating from the ultimatum after meetings at the World Economic Forum in Davos, Switzerland. Trump also said Saturday he would impose a 100% tax on Canadian goods if Canada moved ahead with plans to expand trade with China.
While Trump has touted his trade frameworks as drawing new investment into the United States, many of the highly publicized deals remain unfinished. The European Parliament has yet to approve a trade deal pushed by Trump that would place a 15% tariff on most goods exported by the European Union’s 27 member states.
The United States is also expected this year to renegotiate its amended 2020 trade agreement with Canada and Mexico. Additional uncertainty surrounds ongoing Section 232 investigations under the 1962 Trade Expansion Act and a pending Supreme Court decision on whether Trump exceeded his authority by imposing tariffs under the 1977 International Emergency Economic Powers Act.
Editor’s Note:
This article summarizes President Donald Trump’s announcement on increasing tariffs against South Korea, the response from Seoul, and the broader implications for U.S. trade policy as multiple negotiations and legal challenges remain unresolved.
