The 'Korea-U.S. 2+2 trade negotiations', originally scheduled to take place in Washington, D.C., on the 25th (local time), have been unexpectedly postponed, raising concerns that an agreement may not be reached by the tariff imposition date of August 1. President Donald Trump is planning a visit to Scotland from the 25th to the 29th, and U.S. Treasury Secretary Scott Bessent is also scheduled to negotiate with China in Stockholm, Sweden, on the 28th and 29th, making it difficult for Deputy Prime Minister and Minister of Economy and Finance Koo Yun-cheol to meet before the tariff imposition date.
According to related departments on the 24th, the U.S. Treasury notified via email around 9 a.m. that, due to Secretary Bessent's urgent schedule, the meeting should be postponed. Deputy Prime Minister Koo, who was preparing to depart from Incheon Airport, had to turn back upon receiving news of the meeting's cancellation.
During a four-day visit to the U.S. starting from the 20th, National Security Office Director Wi Sung-lak also could not meet face-to-face with U.S. Secretary of State and National Security Advisor Marco Rubio. Although Director Wi and Secretary Rubio were scheduled to meet at the White House on the afternoon of the 21st, President Trump called Rubio just before the meeting, leading to its cancellation. Director Wi and Secretary Rubio conducted discussions over the phone on the 22nd.
The meeting between President Lee Jae-myung and President Trump, which was suggested to take place at the end of this month, remains uncertain.
As the high-level meetings between the two sides continue to fall through, concerns are spreading that the Korea-U.S. tariff negotiations may also fail. The government noted, 'Both sides are working to reschedule the meeting as quickly as possible,' and stated that negotiations led by Minister of Trade, Industry and Energy Kim Jung-kwan and Chief Negotiator Yeo Han-koo are proceeding as planned to alleviate concerns.
Amid sluggish Korea-U.S. trade negotiations, our exporting competitors, such as Japan and the EU, are reaching agreements with the U.S. or seeing a higher likelihood of agreements.
Japan has reached a deal with the U.S. on tariff negotiations, reducing mutual tariffs and the automobile tariff rate from 25% to 15%. Europe is also in a situation close to finalizing negotiations. In a speech at an artificial intelligence (AI) summit held in Washington, D.C., on the 23rd (local time), President Trump stated, 'We are in serious negotiations with the EU,' adding, 'If they (the EU) open their markets to U.S. corporations, I suggested lowering tariffs.'
In this regard, Jeong Cheol, head of the Korea Economic Research Institute, said, 'There is less than a week remaining, and any delay in negotiations is concerning,' noting that with Japan already successful in reaching agreements and Europe at the closing stage, Korea may lag in the competitiveness of key export products, including automobiles.
Some analysts speculate that the U.S. side has postponed this 2+2 trade negotiation schedule to secure a better negotiating position.
Choi Yong-min, former head of the Korea International Trade Association's International Trade Research Institute, stated, 'The most important issue for the U.S. Treasury Secretary is trade negotiations, and canceling the schedule without prior notice to Korea may be an intention to enhance negotiating power.' He added that it is also likely they determined that negotiations with the EU and China are more urgent.
President Donald Trump also pressured countries that have not reached an agreement, including Korea, through a post on his social media (Truth Social), saying, 'We will only lower tariffs for countries that open their markets; otherwise, we will impose much higher tariffs.'
Experts, however, assess that there is still about a week left until the negotiation deadline, so it is too early to discuss 'failed agreements.'
Kim Heung-jong, former head of the Korea Institute for International Economic Policy, remarked, 'I don't see that the situation has changed,' emphasizing that it is important to remain calm and respond to negotiations without panicking.
Choi Seok-young, a former special envoy for economic and trade affairs, commented, 'If we scrutinize the negotiations with Japan, there isn't much new content,' and added, 'If we adjust our negotiation proposals flexibly, we can reach an agreement within a week.'
Choi emphasized that for items related to defense costs or investment funds, lower levels should be proposed compared to Japan, considering the GDP gap between Korea and Japan, and for automobiles, negotiations should aim for a level lower than the 12.5% tariff, reflecting that Korea's automobile tariff was at 0%.