SEOUL: South Korea's top trade envoy Cheong In-kyo said on Thursday that U.S. President Donald Trump's tariff reprieve had provided room for negotiations, as the country seeks to reduce tariffs through talks.
Cheong met U.S. Trade Representative Jamieson Greer about lowering tariff rates slapped on the country and delivered concerns about U.S. tariffs, the trade ministry said on Thursday.
He flew to Washington to negotiate with U.S. officials after President Trump announced a 25% tariff on its key Asian ally among a new set of sweeping tariffs.
In a stunning reversal on Wednesday, Trump said he would temporarily lower the hefty duties he had just imposed on dozens of countries while further ramping up pressure on China.
Trump's 90-day pause on some tariffs means a new South Korean president set to be elected in early June is likely to face a daunting task to negotiate with its leading security ally over tariffs that pose a risk to the export-reliant economy.
Cheong found the reprieve “positive”, but swift consultations with Washington were still needed to minimise the impact, considering South Korea's exports to China, and any balloon effect, he told reporters.
South Korean Finance Minister Choi Sang-mok also assessed that the tariff shock had been reduced to some extent for the time being, following news of the pause.
Nonetheless, Trump left a base tariff of 10% in place for all countries, in addition to 25% duties on cars, auto parts, steel, and aluminium products which are among South Korea's key export items.
Trump spoke to South Korean interim leader Han Duck-soo late on Tuesday to discuss shipbuilding and potential energy deals in what Trump labelled a “great call”, as South Korea seeks to negotiate with Washington over tariffs.
Cheong, the trade envoy, said the Trump-Han dialogue had created favourable momentum for further negotiations, the ministry said in a statement.
