In the second quarter of this year, tariffs imposed on Korean exports in the United States ranked sixth in the world. This figure is 47 times higher than before the launch of the Donald Trump administration, marking the largest increase globally.
The Korea Chamber of Commerce and Industry (KCCI) said on the 21st that an analysis of U.S. International Trade Commission (ITC) tariff statistics for the top 10 countries exporting to the United States found that tariffs levied on Korean-made products totaled $3.3 billion in the second quarter.
China ranked No. 1 with $25.93 billion, followed by Mexico ($5.52 billion), Japan ($4.78 billion), Germany ($3.57 billion), and Vietnam ($3.34 billion).
Compared with the tariff amount in the fourth quarter of 4th, before the launch of the second Trump administration, Korea's tariff increase came to $3.23 billion. Converted into a growth rate, it was 4,614%, the highest among the 10 countries. Canada recorded 1,850%, Mexico 1,681%, Japan 724%, Germany 526%, and Taiwan 377%.
Until 1st, Korea was hardly subject to tariffs under the South Korea–United States free trade agreement (FTA). However, starting in the second quarter, the Trump administration applied a 10% universal tariff and high, item-specific tariffs on automobiles and parts, and on steel and aluminum, sharply increasing tariffs on exports to the United States.
By item, automobiles and parts accounted for $1.9 billion, or 57.5% of the total tariff amount. Since April, the Trump administration has imposed a 25% tariff on finished vehicles and, since May, on parts.
The effective tariff rate, calculated by dividing the tariff amount by the export amount, was 10% in the second quarter. This ranked third among the top 10 exporters to the United States, after China (39.5%) and Japan (12.5%). Given that Korea ranks eighth in exports to the United States, this is interpreted to mean that the tariff burden is large relative to the size of exports.
Kang Seok-gu, head of research at KORCHAM, said, "Assuming exporters bear one-fourth of the 15% reciprocal tariff, it means they shoulder 3.75% of exports to the United States as tariffs," adding, "Given that domestic manufacturing corporations' operating profit margin was 5.6% 4th, it is hard to deny that tariffs are acting as a major burden for our corporations."
He emphasized, "As this is a difficult time when our corporations must adapt to a new trade environment, we should join forces to seek measures that ease burdens and help them not fall behind in competition, rather than policies that impose additional burdens on corporate management."