Trump says South Korea trade deal being updated

Cheryl Sanders
March 26, 2018

According to industry sources on March 25, major South Korean steel companies recently chose to reduce the use of materials imported from China to at least maintain their exports to the United States.

Mnuchin said U.S. Trade Representative Robert Lighthizer reached "a very productive understanding" with South Korea on the tariffs to reduce imports and the existing trade deal known as KORUS.

The Trade Ministry said Kim will brief on the outcome of the trade negotiation to media Monday morning. Reducing South Korean non-tariff barriers to US automotive exports has been a priority for the Trump administration.

Commerce Secretary Wilbur Ross said Washington and Seoul also are nearing agreement on the steel and aluminum tariffs Trump recently imposed.

Despite fears of a tit-for-tat trade war that have sent global markets tumbling, Trump said many countries are now coming to the table to negotiate "fair" trade deals with the United States.

Trump was elected in 2016 after promising to punish what he saw as unfair trade practices by other countries, particularly China.

South Korea is one of seven economies temporarily exempt from the duties that went into effect Friday and were mainly aimed at overproduction by China.

On cars, which is an area of particular interest for the Trump administration, the United States will maintain tariffs on Korea's exports of pick-up trucks until 2041, from the previously agreed 2021.

The US trade deficit with South Korea has declined since 2014, to $10.3 billion previous year. Korea will ease some of its safety and environmental regulations on imported USA cars, the statement shows.

South Korea also said it will "take into account US standards and global trends" when Seoul decides its fuel economy and emissions rules from 2021 to 2015. Mnuchin called the agreement "an absolute win-win".

While not elaborating, Kim said South Korea made no concessions to further open its agricultural market to US exporters - something he described as a red line.

"This is not a free trade, but a managed trade".

Other reports by iNewsToday