The United States and South Korea have concluded a trade agreement under which a 15% tariff will be imposed on South Korea, Donald Trump announced on social media platform Truth Social. At the same time, the president noted that the US will be exempt from paying similar tariffs.
Trump also said that Seoul will provide $350 billion in investments, fully controlled by the American side and determined by him personally as president. In addition, South Korea intends to purchase liquefied natural gas and other energy resources from the US worth $100 billion.
South Korean President Lee Jae-myung will soon visit Washington, according to the American leader. Lee specified that the promised investments will help strengthen the strategic partnership between the two countries in key industries such as shipbuilding, semiconductor manufacturing, batteries, biotechnology and energy. Of the total amount, $150 billion will be allocated to promoting South Korean shipbuilding companies in the US market, according to the Yonhap news agency.
“We have overcome a serious obstacle,” Lee Jae-myung said. He also stressed that the new agreement removes uncertainty in the export sector and creates competitive conditions for Korean companies, which will now be able to compete on equal or even more favourable terms with leading global manufacturers.
In addition, the parties agreed to reduce tariffs on Korean cars from 25% to 15%, said South Korean Presidential Chief of Staff Kim Yong-bum. At the same time, South Korea refused to open its market to imports of rice and beef.
Earlier, Trump also announced the conclusion of a large-scale trade deal with Japan, calling it possibly “the largest in history.” It includes investments from Tokyo and a 15% import tariff.
