The most recent agreement, which was announced ahead of his , August 1 deadline for the imposition of steep tariffs on dozens of nations, was Donald Trump’s announcement to a trade deal with South Korea.
Trump stated on his Truth Social platform on Wednesday that US exports will not be subject to duties under the “full and complete” trade agreement, while South Korean goods will be subject to a 15% tariff.
According to Trump, South Korea will pay $ 350 billion for US-owned and controlled investments as well as the purchase of $ 100 billion worth of liquefied natural gas and other energy products.
The East Asian nation also consented to the United States’ agreement to invest a “large sum” of money in its own investment projects, according to Trump, who will make the announcement “within the next two weeks” when South Korean President Lee Jae-myung makes a White House visit.
According to Trump, “It is also agreed that South Korea will be Totally Open to Trade with the US, and that they will accept American products, including agricultural products, cars and trucks, etc..”
After months of a leadership vacuum caused by impeached former president Yoon Suk-yeol’s brief-lived declaration of martial law, Lee, who took office in June, said the agreement “eliminated uncertainties” and made sure South Korea would pay tariffs at levels comparable to or lower than its rivals.
In a Facebook post, Lee stated that the secret is not to pursue unilateral benefits, but to obtain mutually beneficial outcomes.
This agreement is the result of balancing our desire to strengthen our businesses’ competitiveness with our commitment to revitalizing the US manufacturing sector. We anticipate that this will lead to further expansion of Korean-US industrial cooperation and the strengthening of the Korea-US alliance.
If there was no agreement, South Korea would be subject to a 25% tariff starting on August 1. This includes duties on cars and auto parts as well as steel, aluminum, and other products.
The benchmark stock index, which was up nearly 0.4 percent in early trading on Thursday, gave South Korea’s KOSPI a boost.
Source: Aljazeera
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