Vice Minister Park Seong-taek of the Ministry of Trade, Industry and Energy said on the 28th, "There is no possibility of an agreement with the United States before the next government's launch."
On the same day, Vice Minister Park responded to a question during a background briefing related to the visit to the U.S. about the possibility of a decision being made before the launch of the next government, stating, "It's not 'big' but 'nonexistent.'"
However, he noted, "Even if the next government is installed, it is impossible to address all these extensive issues in just a month," adding, "We will clarify the interests of the United States and expedite the parts that can be advanced without disagreement." The timing for the U.S. tariffs is set for July 8, with 71 days remaining.
He remarked, "In the past, the U.S.-Korea Free Trade Agreement (FTA) discussed simple matters, but this negotiation is non-standardized, and just framing the issues will take a long time," and emphasized, "There is no reason to rush in negotiations with the United States, nor is there time to hesitate." He continued, "I believe it would not be advisable to burden the next government during the relay, so I will do my utmost until the presidential election."
Earlier, Deputy Prime Minister Choi Sang-mok and Minister of Industry An Duk-geun conducted 2+2 negotiations in Washington, D.C. on the 24th (local time) with U.S. Treasury Secretary Scott Bessent and U.S. Trade Representative (USTR) Jamieson Greer. This followed a call between Acting Prime Minister Han Duck-soo and U.S. President Donald Trump, which occurred two weeks prior.
Korea and the United States reached a consensus to discuss four main areas: ▲ tariff and non-tariff measures ▲ economic security ▲ investment cooperation ▲ monetary policy, and aimed to create the July package by July 8. The exchange rate sector will be discussed through a separate channel between the Ministry of Strategy and Finance and the U.S. Treasury Department.
Our Ministry of Trade, Industry and Energy and the U.S. USTR plan to form about six working groups in the remaining three areas through technical consultations this week. The two sides will continue working-level consultations by working group starting next week. The head of the Technical Consultation will be the Director General of Trade Policy at the Ministry, and departments involved will participate in each working group. During USTR Greer's visit to Korea in mid-May, they plan to evaluate the progress of each working group through ministerial-level consultations.
Vice Minister Park explained that the U.S. was most interested in the 'shipbuilding industry' during the 2+2 discussions. Both sides discussed trends in partnerships with U.S. corporations and cooperation in technology, personnel, and new shipbuilding.
Vice Minister Park stated, "The United States is vulnerable not only in the military sector but also in the commercial shipping sector, and there are limitations without our alliance," and added, "More than 150 U.S. shipyards are significantly outdated, and we are looking for solutions on how to increase productivity and meet demand."
He maintained a cautious stance regarding participation in the Alaska liquefied natural gas (LNG) project, explaining, "The process of confirming the project's feasibility must come first," and stated, "The Deputy Minister of Energy at the Ministry is coordinating the schedule for local inspections in Alaska."
Regarding the elimination of non-tariff barriers, he noted, "There may be things that feel regulatory because our country cannot keep up with global standards," adding, "As of now, the United States has not proposed any non-tariff barriers to be removed, and once a working group on non-tariff measures is established, we will concretize the agenda."
Vice Minister Park drew a line, stating that the U.S. has not demanded participation in sanctions against China nor received separate messages from China. He said, "During discussions with the United States, there was no discussion at all about needing to take specific actions against specific countries."
Meanwhile, the Ministry of Trade, Industry and Energy plans to decide whether to follow the procedures of the Trade Treaty Act according to future trade agendas. Generally, procedures of the Trade Treaty Act are followed when there is a significant impact on the national economy or when there is external openness during discussions with other countries.
Some believe that if the procedures of the Trade Treaty Act are followed, there is a possibility that the negotiation deadline could exceed the implementation date for tariff imposition. Vice Minister Park commented, "At this stage where only the outline of the discussions has been set, we cannot know whether public hearings or reports to the National Assembly will be necessary, and we will make a judgment once the agenda is established."