South Korea To Continue Negotiations With US To Avoid High Tariffs - Minister

SEOUL, Feb 5 (Bernama-Sputnik/RIA Novosti) -- South Korea will continue close consultations with the United States to resolve trade disputes before Washington formally imposes increased tariffs on South Korean goods, Trade Minister Yeo Han-koo said on Thursday, reported Sputnik/RIA Novosti.

"What is important is whether the US will immediately raise tariffs upon issuing a Federal Register or whether there would be a grace period of about one to two months… Since we still have time for consultations, the government will continue to engage in close discussions with the US and do our utmost to reach a conclusion that best serves our national interest," the minister was quoted as saying by the Yonhap news agency.

At the same time, the publication of such a notice itself is "unnecessary", as Seoul continues "good faith efforts" to fulfil the trade agreements, Yeo said.

The minister's statement came after his week-long trip to the US amid threats from US President Donald Trump to raise "reciprocal" tariffs and auto duties on South Korea to 25 per cent. Washington explains this warning as a delay in Seoul's adoption of a Bill necessary to implement the bilateral trade agreement, under which most US tariffs on South Korean goods were reduced to 15 per cent. Seoul, in turn, pledged to invest US$350 billion in US projects and purchase US$100 billion worth of energy resources, including liquefied natural gas.

During his visit, Yeo held meetings with the US deputy trade representative and about 20 US lawmakers. The minister confirmed Seoul's readiness to promptly advance a special Bill to implement the trade agreement and discuss non-tariff issues, including digital regulation.

Yeo also positively assessed the decision by South Korea's ruling and opposition parties to form a special committee to expedite consideration of the Bill on US investments. This step could help reduce trade tensions, as Washington cites the delay in passing the law as one of the key reasons for the planned tariff increase, the minister added.

-- BERNAMA-SPUTNIK/RIA NOVOSTI