Lim Yi-ja, a commissioner of the People Power Party who is serving as Chairperson of the Strategy and Finance Committee, stated that it is hard to see the South Korea-U.S. tariff negotiations as a favorable agreement.
Chairperson Lim said at a press briefing at the National Assembly on the 5th, "I have never seen a roadmap for the $350 billion investment, nor have I seen the agreement itself," adding, "It is not clear whether it combines existing investments or how the investment is to be made in terms of timing or method."
She noted, "While the Democratic Party and the government are applauding the negotiations as successful, there is no one among the public who thinks so," and she pointed out, "The result of this South Korea-U.S. tariff negotiations shows that Korea has lost its FTA status with the U.S. which is much more significant."
Chairperson Lim announced on the 6th that she will hold a full meeting of the Strategy and Finance Committee attended by Deputy Prime Minister and Minister of Economy and Finance Ku Yoon-chul to thoroughly examine the outcomes of the tariff negotiations. Deputy Prime Minister Ku led the South Korean delegation in the tariff negotiations with the U.S.
Chairperson Lim stated, "We need to consider whether the large corporations will shoulder the 15% tariff burden entirely and what kinds of burdens the partner companies will face," adding, "We must confirm what the varying statements from Korea and the U.S. concerning opening agricultural products entail."
She also pointed out the recently controversial tax reform plan. Chairperson Lim criticized, "During the Moon Jae-in administration, corporate taxes were raised to 25%, but in fact, tax revenues decreased," and she added, "Policy decisions on taxes should depend on market or economic conditions, but is increasing taxes correct at this difficult time for corporations?"
He mentioned, "The standard for the transfer income tax for major shareholders will inevitably have to be restored to 5 billion won," adding, "Seeing that public sentiment reacts more swiftly than the stock market, the Democratic Party will have many concerns."
There was also a mention that the postponement of taxation on virtual assets might be extended. The National Assembly had postponed the implementation date for the taxation of income from virtual assets to Jan. 1, 2027, during a plenary session last December. Chairperson Lim highlighted, "About 9.7 million people are currently trading virtual assets in Korea, and the proportion of young people among them reaches 47%," and she predicted, "With the local elections next year, I believe the Democratic Party will not mention the taxation on virtual assets."