Waving off immediate confrontation, U.S. President Donald Trump declared his team would hammer out ‘some’ deal with South Korea over tariffs. The assurance caps a turbulent week marked by his bold threats to ramp up duties on the longstanding ally.
Trump fielded questions from the press at the White House, calmly noting a solution was forthcoming amid speculation of retaliatory measures. Expectations are high for South Korean Industry Minister Kim Jang-kwan’s upcoming talks with U.S. Commerce chief Howard Lutnick in Washington.
Roots of the rift lie in a hard-won trade agreement from late summer. Seoul vowed $350 billion in U.S. investments, earning tariff relief from 25% down to 15%. But perceived foot-dragging on compliance has irked Trump, leading to warnings of hikes on cars, lumber, and medicines.
White House sources lambasted South Korea’s lack of advancement Tuesday, despite America’s concessions. Broader U.S. anxieties involve ongoing scrutiny of Coupang’s data scandal and online firm regulations, plus the won’s slide against the dollar—threatening investment pledges.
This episode underscores persistent trade fault lines in the U.S.-South Korea relationship. Trump’s pivot from aggression to negotiation could stabilize markets, but success hinges on mutual concessions. Stakeholders from Detroit automakers to Wall Street traders await outcomes that could reshape trans-Pacific commerce.