Minister Kim Jung-kwan of the Ministry of Trade, Industry and Resources said on the 5th that, regarding concerns that the United States could raise the tariff on Korea to above 15%, U.S. Commerce Secretary Howard Lutnick said, "Don't worry."
The Minister appeared on MBN Newswide that evening and, introducing the details of a video meeting with Secretary Lutnick on the 3rd, stated accordingly. Earlier, the Office of the United States Trade Representative (USTR) on the 2nd (local time) announced the results of a Section 301 investigation related to forced labor and signaled a 12.5% tariff on Korea.
With an additional Section 301 investigation result on excess production still to be announced, raising concerns that the final tariff rate could exceed 15%, Secretary Lutnick first proposed a video meeting, the Minister explained.
Korea last year, through tariff negotiations with the United States, pledged $350 billion (about 540 trillion won) in investment in the United States and lowered the reciprocal tariff from 25% to 15%, but the Trump administration raised concerns about an additional tariff increase by introducing a Section 301 investigation after the reciprocal tariff received an unlawful ruling.
The Minister said, "I was contacted to hold a meeting at 7 p.m. on election day (the 3rd)," and added, "In a situation where the reciprocal tariff received an unlawful ruling and a Section 301 investigation was introduced, a 12.5% tariff was mentioned, so I was curious and concerned as well, but Secretary Lutnick said, 'Don't worry. As initially agreed, it is in the process of keeping 15% as is.'"
The Minister said, "The basic premise of trust is that what the two leaders (of Korea and the United States) agreed on is the foundation," and noted, "If the United States goes beyond 15%, the United States is breaking the agreement." He added, "Then it could become a bigger issue, so from the U.S. standpoint as well, proceeding based on the spirit of that agreement is right for business, and we think so too."
Regarding investment in the United States, the Minister said, "On June 18, the Korea-U.S. Strategic Investment Corporation will launch. Based on whether it meets commercial rationality and mutual benefit between the two countries, many discussions are underway among working-level officials," and emphasized, "The trust built over the past year, especially between the two leaders, is being maintained very firmly. (Discussions on investment in the United States) are proceeding on that basis."