U.S. Tariffs on Steel and Aluminum Derivatives

Starting tomorrow, the United States will enforce a 25 percent tariff on 166 steel and aluminum derivative products from South Korea. This move extends high tariffs beyond primary steel and aluminum to include processed derivatives. While 87 items have been temporarily exempted, their tariff rates will be determined based on their steel and aluminum content.

The Ministry of Trade, Industry, and Energy (MOTIE) has announced that 166 items, including bolts, nuts, and springs, will be subject to this tariff. The U.S. Department of Commerce has provided guidelines to minimize confusion, listing the specific products affected. MOTIE is offering consulting support to SMEs and has conducted briefings to address industry concerns.

Products not immediately subject to tariffs, such as components for automobiles and aircraft, will receive a temporary exemption. The U.S. Department of Commerce will review these products to apply separate tariff rates. MOTIE plans to support SMEs with export records to the U.S., helping them prepare necessary documentation.

Minister Ahn Duk-geun highlighted the challenges for SMEs and the ministry's commitment to support them once tariffs on exempted items are imposed. South Korea's steel and aluminum exports to the U.S. last year were valued at approximately $6 billion, indicating the significant impact of these tariffs.