Trade Minister Kim Jung-kwan delivers a congratulatory speech on the Protection AI Ecosystem Improvement Discussion board, Seoul, Wednesday. Yonhap
Uncertainties surrounding Korea’s exports have partially eased as the USA confirmed the reducing of tariffs on Korean car, plane and lumber imports on the Federal Register, Seoul Trade Minister Kim Jung-kwan mentioned Thursday.
“It’s lucky that the U.S. administration has finalized tariff reductions on our main export gadgets, akin to vehicles and auto components, plane and plane elements, and lumber merchandise, that are our largest export classes to the U.S.,” Kim mentioned in a press launch, noting the measure removes uncertainty for Korean exporters.
“We’ll actively make efforts to resolve difficulties confronted by corporations within the export course of, akin to customs clearance points, by way of consultations on tariff response and tariff-voucher packages,” he added.
Kim’s remarks got here only a few hours after the administration of U.S. President Donald Trump posted on the Federal Register a discover implementing sure tariff parts of a Korea-U.S. commerce deal, together with a diminished obligation charge of 15 % on Korean vehicles retroactive on Nov. 1.
The Division of Commerce and the Workplace of the U.S. Commerce Consultant posted the doc to implement tariff-related parts of the Korea-U.S. Strategic Commerce and Funding Deal forward of its official publication date set for Thursday (native time).
The discover affirmed that Korean vehicles and auto components — entered for consumption or withdrawn from warehouse for consumption on or after 12:01 a.m. on Nov. 1 — are topic to a 15 % tariff, down from the sector-specific charge of 25 %. The diminished charge is efficient Nov. 1.
It additionally spelled out a diminished “reciprocal” tariff charge of 15 % on Korean merchandise.
Imports of timber, lumber and their derivatives are topic to tariffs of as much as 15 %, efficient 12:01 a.m. on Nov. 14. Duties on sure plane and plane components additionally went into impact the identical day.
Korean merchandise, which fall underneath the World Commerce Group Settlement on commerce in civil plane, aside from unmanned plane, is not going to be topic to reciprocal tariffs and sector-specific tariffs on metal, aluminum and copper, in accordance with the discover.
The weather had been determined within the commerce deal finalized between the 2 international locations on Oct. 29, underneath which Seoul made a $350 billion funding dedication to the U.S. in change for tariff cuts.
The 2 sides launched a joint truth sheet on the deal on Nov. 13 and signed a memorandum of understanding for Seoul’s funding within the U.S. the next day.
