Tariff talks between the United States and South Korea have ended without progress, as U.S. President Donald Trump warned of reimposing 25 percent reciprocal tariffs on Korean goods due to delays in the National Assembly's handling of a special law on U.S. investment. Seoul has explained the Assembly's procedural realities to dispel misunderstandings, but the risk remains. Democratic Party policy chief Han Jeoung-ae stated the bill will be processed in late February or early March.
Tariff negotiations between South Korea and the United States have hit a snag. President Donald Trump has warned of reimposing 25 percent reciprocal tariffs on Korean goods, citing delays in the National Assembly's processing of a special law on U.S. investment. Trade, Industry and Resources Minister Kim Jung-kwan traveled to Washington for two rounds of discussions with U.S. Commerce Secretary Howard Lutnick but returned home earlier this week without a resolution.
Minister Kim's comments upon return indicate that Washington believes Seoul is intentionally delaying the legislation. Although Seoul has clarified the Assembly's procedural realities to address misunderstandings, indications that the U.S. is preparing an official gazette notice heighten the risk of the 25 percent tariff's reinstatement in a worst-case scenario. This urgency was highlighted when Democratic Party policy chief Han Jeoung-ae held a holiday press briefing, outlining plans to process the bill in late February or early March—a move fueling speculation that Washington may maintain the tariff threat until passage.
The America First approach of the Trump administration shows little regard for allies. The most realistic goal is to resolve the standoff without reinstating the 25 percent tariff, which would severely impact Korean industry. Ruling and opposition parties should consult based on national interest rather than partisan rivalry and swiftly pass the legislation. The government must also anticipate repeated U.S. tariff threats in future talks on deferred issues, including U.S. investment site selection and scale.
Separately, Seoul should track U.S. follow-up on last year's Korea-U.S. trade and security fact sheet commitments, such as cooperation on nuclear-powered submarines, reprocessing spent nuclear fuel, and uranium enrichment. Foreign Minister Cho Hyun recently mentioned a possible U.S. negotiating team visit in February, urging a tangible conclusion soon. Since the start of the year, Korea-U.S. relations have been precarious across trade and security matters.