To follow up on the U.S.-Korea tariff talks, Yeo Han-koo, head of trade negotiations at the Ministry of Trade, Industry and Energy, departed for the United States on the 15th.
The ministry said the Deputy Minister Yeo would depart for Washington, D.C., at 10 a.m. that day. Yeo is expected to meet with U.S. Commerce Secretary Howard Lutnick and U.S. Trade Representative (USTR) Jamieson Greer, among others, to continue follow-up consultations.
Earlier, in the tariff talks in Jul., the United States and Korea agreed to lower the tariff the United States planned to impose on Korea from 25% to 15%. Instead, Korea agreed to pursue investments in the United States totaling $350 billion (about 486 trillion won).
However, the two sides are at odds over the specifics of the $350 billion investment in the United States. Earlier, Minister Kim Jeong-gwan headed to the United States on the 11th, but the talks remain deadlocked.
The United States is said to have moved to exercise full authority over Korea's U.S.-focused fund. It is also reportedly pressuring Korea to "raise the share of direct investment like Japan." Korea, by contrast, is trying to minimize the share of direct investment in its U.S. investment and reduce the burden through guarantees.
Japan recently included in its agreement with the United States a provision that revenue would be split evenly until the investment is recouped, after which the United States would take 90% of the revenue. It also included a condition that if President Donald Trump designates an investment destination, investment must be executed within 45 days, and if this is not observed, the tariff will be restored to its original level.