Overview
- President Donald Trump said tariffs on South Korean autos, lumber, pharmaceuticals and other reciprocal categories will rise to 25% from 15%, blaming the National Assembly for not enacting last year’s trade framework.
- South Korea’s presidential office said it received no prior notice and is dispatching Industry Minister Kim Jung-kwan to Washington for talks with U.S. Commerce Secretary Howard Lutnick.
- It is not clear when the higher duties would take effect, and U.S. trade agencies had not issued formal implementing notices or responded to requests for comment.
- The move ties back to a 2025 agreement that lowered U.S. tariffs to 15% in exchange for a roughly $350 billion South Korean investment plan, which officials in Seoul have signaled could be delayed given a weak won and phased annual caps.
- Analysts warned of pressure on Korean exporters and renewed market volatility, noted the tariff threat may be a negotiating tactic, and pointed to a pending U.S. Supreme Court review of presidential tariff authority.