Addressing Trade Misunderstandings

Jeong In-kyo, head of the Trade Negotiation Division at the Ministry of Trade, Industry and Energy (MOTIE), is set to visit the United States next week. His mission: to clarify misconceptions held by the Trump administration regarding Korea-U.S. trade relations, sparked by President Donald Trump's recent congressional speech.

Seeking Clarity and Cooperation

Jeong's visit aims to correct inaccuracies in President Trump's statements about South Korea's trade practices and to discuss the implementation of a working-level consultation group established between the two nations. The group focuses on key sectors including tariffs, non-tariff measures, and energy, marking a significant step in bilateral trade negotiations.

Facts Over Fiction

Contrary to President Trump's claims, the MOTIE emphasizes that the Korea-U.S. Free Trade Agreement has largely eliminated tariffs on traded goods, with the effective tariff rate on U.S. imports being approximately 0.79 percent. This figure underscores the minimal tax burden on companies in both countries, especially in the industrial goods sector where tariffs are nearly nonexistent.