Overview
- President Donald Trump announced an increase in U.S. tariffs on South Korean autos, lumber, pharmaceuticals and other reciprocal categories to 25% from 15%, citing inaction by South Korea’s legislature on a bilateral pact.
- No Federal Register posting or formal guidance from U.S. trade authorities has been issued, leaving the effective date and administrative path unclear.
- South Korea said it received no advance notice and is dispatching Industry Minister Kim Jung-kwan to Washington for discussions with Commerce Secretary Howard Lutnick.
- The pressure centers on a 2025 framework that lowered U.S. tariffs to 15% in return for a $350 billion South Korean investment pledge, which requires enabling legislation and has been slowed by currency weakness and governance steps.
- Trump said the two sides would “work something out” as his trade chief pressed Seoul over unmet commitments and a widened U.S. trade deficit, while lawmakers in Seoul target February for advancing the necessary bills.