In a post on his social media platform Truth, Trump said tariffs on South Korean automobiles, timber, pharmaceuticals and other goods would be raised from the current 15% to 25%. He alleged that Seoul had not honoured commitments made under a trade deal agreed with the US administration, despite repeated assurances at the highest political level.
Trump said the agreement was finalised with South Korean President Lee Jae-myung on July 30, 2025, and reiterated during his visit to South Korea on October 29 last year. “The Korean Parliament has not approved the deal they agreed to. This was their responsibility,” Trump wrote, calling the agreement “historic” and critical for US economic interests.
According to Trump, the deal envisaged South Korea investing about $350 billion in the United States, with the investments to be overseen by American authorities. He did not specify a timeline for when the higher tariffs would come into force, but his remarks suggest the administration is prepared to act if Seoul does not move quickly.
US trade data underscore the potential impact of such a move. The US Commerce Department estimates that South Korea exported goods worth around $132 billion to the United States in 2024. Key exports include automobiles and auto components, semiconductors, and consumer electronics. A sharp increase in tariffs could raise prices for US consumers and disrupt supply chains, particularly in the auto and technology sectors.
So far, the South Korean government has not issued an official response to Trump’s latest comments. Analysts note that trade agreements in South Korea require parliamentary ratification, a process that can be politically contentious and time-consuming.
Trump’s warning to Seoul comes amid a broader pattern of aggressive trade rhetoric. Last week, he threatened to impose a 100% tariff on Canadian goods if Ottawa pursued closer trade arrangements with China, arguing that such moves could undermine US economic and national security interests.
Trade experts say the renewed tariff threats could add volatility to global markets already facing uncertainty from geopolitical tensions and slowing growth. They caution that unilateral tariff hikes risk retaliatory measures and could strain diplomatic relations with long-standing partners.
For now, the future of the US–South Korea trade deal remains uncertain, with the prospect of higher tariffs adding pressure on lawmakers in Seoul to move forward with ratification.
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