South Korea says framework US trade deal possible by August, farm market access on table
Minister for Trade Yeo Han-koo, who held high-level talks with US officials last week, said South Korea was seeking to avoid 'unfair' US tariffs on sectors key to its industrial prowess that would undermine industrial cooperation with its main security ally and trading partner, media reports said.
'I believe it's possible to reach an agreement in principle in the US tariff negotiations, and then take some time to negotiate further,' the Newsis news agency quoted Yeo as telling local media reporters. 'Twenty days are not enough to come up with a perfect treaty that contains every detail.'
'We need to make a strategic judgment in the case of the agriculture and livestock sectors,' Yeo was quoted as saying, adding 'sensitive' areas may need continued protection but some aspects may be considered as part of the overall framework.
There was 'considerable progress' in the discussion with US officials over cooperation in key industrial sectors as part of the trade talks, Yeo was cited as saying, but Washington needed to cut industry-specific tariffs on autos and steel.
On Sunday in Maryland, US President Donald Trump told reporters, 'South Korea wants to make a deal right now', without elaborating on what would cement a deal or speculate on a time frame for getting negotiations done.
BT in your inbox
Start and end each day with the latest news stories and analyses delivered straight to your inbox.
Sign Up
Sign Up
South Korea is in a race to reach a compromise trade pact in the hope of avoiding a 25 per cent tariff slapped on its exports by Trump that is set to kick in on Aug 1, after a late start to negotiations with a new president voted in last month.
President Lee Jae-myung took office on Jun 4 following the ouster of his predecessor Yoon Suk-yeol, over a failed martial law attempt. The six months of political turmoil forced Seoul to initially focus on technical discussions over Trump's demands.
Top South Korean officials held meetings in Washington after Trump's announcement, including to negotiate cuts or exemptions from import duties on steel and autos.
A senior South Korean trade official said earlier this month Washington had shown a willingness to consider exemptions on sectoral tariffs, as it had when agreeing a deal with Britain, if South Korea proposed a clear offer to reduce trade deficits.
South Korea earned a record US$55.6 billion trade surplus with the US in 2024, up 25 per cent from 2023, led by rising car exports, according to Korea Customs Service data.
South Korea's effective tariff rates stand at near-zero under a free trade agreement first signed in 2007, then revised in 2018 under Trump's first term, according to economists. REUTERS
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Straits Times
26 minutes ago
- Straits Times
While You Were Sleeping: 5 stories you might have missed, July 16, 2025
Trump lands Indonesia trade deal US President Donald Trump on July 15 announced a trade deal with Indonesia, the latest pact in a bid to cement better terms with trading partners and reduce a massive trade deficit. 'Great deal, for everybody, just made with Indonesia. I dealt directly with their highly respected President. Details to follow!!!' Mr Trump said in a post on Truth Social. Indonesia's total trade with the US – totalling just under US$40 billion (S$51.4 billion) in 2024 – does not rank in the top 15, but it has been growing. US exports to Indonesia rose 3.7 per cent in 2024, while imports from there were up 4.8 per cent, leaving the US with a goods trade deficit of nearly US$18 billion. The top US import categories from Indonesia, according to US Census Bureau data retrieved on the International Trade Centre's TradeMap tool, in 2024 were palm oil, electronics equipment including data routers and switches, footwear, car tyres, natural rubber and frozen shrimp. READ MORE HERE Trump says Zelensky should not target Moscow US President Donald Trump said on July 15 Ukrainian President Volodymyr Zelensky should not target Moscow and that Russian President Vladimir Putin should agree to a ceasefire deal by a 50-day deadline or sanctions will kick in. His comments came after The Financial Times, citing people briefed on discussions, reported on July 15 that Mr Trump had privately encouraged Ukraine to step up deep strikes on Russia. Top stories Swipe. Select. Stay informed. Singapore Las Vegas Sands' new development part of S'pore's broader, more ambitious transformation: PM Wong Singapore Economic headwinds do not dampen outlook for new Marina Bay development: Las Vegas Sands president Business MAS records net profit of $19.7 billion, fuelled by investment gains Singapore Man charged with attempted murder of woman at Kallang Wave Mall Singapore CDL's long-time director Philip Yeo to depart after boardroom feud Singapore Ex-cleaner jailed over safety lapses linked to guard's death near 1-Altitude rooftop bar Life The Violinist, Singapore's first animated historical film, set for August 2026 release Singapore 'Nobody deserves to be alone': Why Mummy and Acha have fostered over 20 children in the past 22 years The newspaper added that Mr Trump asked Mr Zelensky whether he could strike Moscow if the US provided long-range weapons. READ MORE HERE Waltz says US needs strong voice to counter China The United Nations needs reform and the United States must have a strong voice to counter China, Mr Mike Waltz, US President Donald Trump's pick to be his UN envoy, said on July 15, adding that he is 'confident we can make the UN great again.' Mr Waltz - a retired Army Green Beret and former Republican lawmaker from Florida - is the last member of Mr Trump's Cabinet awaiting likely confirmation by the US Senate. On July 15, he appeared before the US Senate Foreign Relations Committee as part of that process. 'We should have one place in the world where everyone can talk, where China, Russia, Europe, the developing world can come together and resolve conflicts,' Mr Waltz told the committee. 'But after 80 years, it's drifted from its core mission of peacemaking. We must return to the UN's charter and first principles.' READ MORE HERE Men jailed 4 years for felling Britain's 'Robin Hood' tree PHOTO: AFP Two men were each jailed for over four years on July 15 for cutting down Britain's 'Sycamore Gap' tree, a much-loved and well-known global landmark whose dramatic silhouette had featured in a Hollywood movie. The sycamore, estimated to be almost 200 years old, stood at the centre of a dramatic dip in the landscape alongside the historic Hadrian's Wall in northern England, making it a popular spot for photographers, hikers and even marriage proposals. Daniel Graham, 39, and Adam Carruthers, 32, were found guilty in June of travelling from their homes in the middle of the night in September 2023 to deliberately cut it down with a chainsaw. READ MORE HERE Severance leads Emmy nominations with 27 PHOTO: APPLE TV+ Apple TV+'s dark sci-fi office drama Severance on July 15 led the contenders for the Emmy Awards, television's version of the Oscars, with a whopping 27 nominations. The Penguin, HBO Max's Batman villain spinoff series, came in second with 24, while HBO Max's The White Lotus and Apple's The Studio tied for third, with 23 nominations each. The announcement from the Television Academy was the official start of the race to the 77th Emmy Awards, set for Sept 14 in Los Angeles.
Straits Times
an hour ago
- Straits Times
How real is Trump's U-turn on Ukraine?
The reversal is significant given the US President's previous views on Putin, but the sanctions grace period and Trumpian fickleness are reasons for caution. For the first time since he returned to power, US President Donald Trump is now explicitly blaming Russia for the continuation of Europe's bloodiest conflict since World War II. 'We want to make sure Ukraine can do what it wants to do.' That statement from US President Donald Trump on July 14 marked a U-turn on his previous position on support for the Ukrainians , locked in a brutal, bloody war against Russian invaders, now in its fourth year. In typical Trump fashion, the remarks made at a White House meeting with Nato secretary-general Mark Rutte were both imprecise and an exaggeration. It is still far from clear how much in terms of weapons and money Mr Trump is willing to contribute to Ukraine's war against Russia. And it's doubtful that the American President truly intends to give the Ukrainians a free hand to decide their future.
Straits Times
an hour ago
- Straits Times
Ukraine says Russian strikes kills three in the east
Find out what's new on ST website and app. A man riding a bicycle beneath anti-drone nets in Orikhiv, in Ukraine's Zaporizhzhia region, on July 15. KYIV - A combined Russian strike on the afternoon of July 15 killed three people in eastern Ukraine, local authorities said, after US President Donald Trump gave Moscow 50 days to reach a peace deal with Ukraine. Russia has been stepping up its summer offensive campaign as Washington-mediated ceasefire talks stall, claiming more ground in eastern Ukraine while pounding it with combined drone, artillery and missile strikes. 'Two dead and two injured: law enforcement officers recorded the consequences of another enemy attack in the Kupiansk district,' the Kharkiv region prosecutor's office said on social media, adding that the victims were 67 and 69 years old. Regional authorities in Sumy said a 50-year-old local resident had died after 'the enemy fired artillery at the outskirts of the Velykopysarivska community'. Elsewhere on the front line, Russian forces claimed two more villages in the Donetsk region, increasing the pace of their advance. A Ukrainian drone attack on Russia's western city of Voronezh wounded 27 people, local officials claimed on July 15. Mr Trump said he had struck a deal with Nato to supply American air defence systems and weapons to Ukraine and threatened Russia with tariffs and sanctions, as he grows frustrated with Russian leader Vladimir Putin for rejecting a ceasefire and instead intensifying attacks. AFP
