Washington: South Korea's top trade negotiators have conducted a crucial meeting with U.S. Commerce Secretary Howard Lutnick in Washington, where both parties reinforced the necessity of finalizing a tariff agreement before the critical Aug. 1 deadline. This was announced by Seoul's industry ministry on Friday.
According to Yonhap News Agency, Industry Minister Kim Jung-kwan and Trade Minister Yeo Han-koo engaged in discussions with Lutnick on Thursday, focusing on improving trade relations between the two nations. The agenda included the potential establishment of a bilateral manufacturing partnership, as reported by the Ministry of Trade, Industry and Energy.
During the meeting, both sides committed to achieving a "mutually beneficial" trade agreement before the Aug. 1 deadline. This date is significant as it marks the imposition of reciprocal tariffs by the Donald Trump administration. The parties intend to conduct another round of negotiations as soon as possible.
The U.S. president has indicated that South Korea could face a 25 percent reciprocal tariff if a deal is not reached before the deadline. Minister Kim emphasized the importance of reducing the reciprocal tariff rate for South Korea and eliminating sectoral tariffs on imported cars and steel products. He also suggested collaboration in strategic manufacturing sectors such as shipbuilding, semiconductors, and batteries, as stated by the ministry.
Kim expressed the South Korean government's determination to safeguard the interests of its companies in the global market. "We will make every effort to ensure that our companies are not placed at a disadvantage compared to competitors from other countries," he stated in a press release. He further affirmed the trade delegation's commitment to securing the best possible outcome by Aug. 1.
In related developments, Kim held discussions with U.S. Energy Secretary Chris Wright on Wednesday to explore enhanced cooperation in renewable energy and energy security. Concurrently, Yeo engaged in virtual talks with Alabama Governor Kay Ivey as part of his outreach to U.S. officials.
Continuing their diplomatic efforts, Kim also met with U.S. Interior Secretary Doug Burgum, who leads the National Energy Council, on Thursday. Discussions centered on collaboration in sectors such as liquefied natural gas (LNG), power generation equipment, and critical minerals.
The Trump administration's deregulation efforts in the energy sector have reportedly expanded opportunities for bilateral cooperation, with the U.S. requesting active participation from South Korean companies.
Yeo also conducted separate meetings with U.S. Trade Representative Jamieson Greer and Texas Governor Greg Abbott. During his meeting with Greer, Yeo addressed key trade issues, including non-tariff measures, and emphasized fair treatment for Korean firms compared to their competitors.
A scheduled "2+2" high-level trade consultation was postponed due to a scheduling conflict with U.S. Treasury Secretary Scott Bessent. The meeting was intended to involve discussions about a proposed investment package worth at least US$100 billion aimed at reducing Seoul's trade surplus with Washington. However, the Korean government has not confirmed such plans, citing the sensitivity of the negotiations.