Korea pulls out all stops to delay Trump’s reciprocal tariffs

Trade Minister Yeo Han-koo, right, shakes hands with U.S. Trade Representative Jamieson Greer in Washington, Saturday (local time). Courtesy of Ministry of Trade, Industry and Energy

Korea has dispatched its trade minister and national security adviser to Washington in a concerted diplomatic push to persuade the Donald Trump administration to extend a pause on "reciprocal" tariffs, as the 90-day grace period is set to expire on July 8.

Trade Minister Yeo Han-koo, who arrived in Washington just one week after his previous trip, held talks with U.S. Trade Representative Jamieson Greer on Saturday (local time), while National Security Adviser Wi Sung-lac departed for the U.S. capital Sunday.

Their visits come amid rising concern in Seoul, as Trump said he had signed letters to 12 countries detailing the tariff levels their exports to the United States would face.

However, speaking to reporters ahead of his meeting with Greer, Yeo expressed optimism that the Trump administration may extend the pause, saying that it would be difficult to reach a full-fledged trade deal within the three days remaining before the deadline, though he did not rule out the possibility of reaching a broad agreement in principle.

"Even if the U.S. unveils a new reciprocal tariff rate for Korea and other countries after the July 8 deadline, we expect there could be a little more time before implementation," he said when asked about Trump’s recent remarks that new tariffs ranging from 10 to 70 percent will take effect Aug. 1.

The Ministry of Trade, Industry and Energy also said Sunday that Yeo and Greer discussed the extension of the tariff pause, as they agreed on the importance of finding common ground.

Asked whether Korea is among the 12 countries to which Trump will send letters on Monday, Yeo said he does not know. Trump also declined to specify which countries would be in the first batch of letters.

"Honestly, many things are uncertain and fluid at this point," Yeo said. "Through today’s negotiations, we want to learn more about the U.S. plan and will focus on finding ways to maximize our practical interests."

He added that the government seeks "positive-sum" negotiations by combining issues of industrial and technological cooperation between Korea and the U.S. for the mid- and long-term period of four to five years, alongside tariff talks.

Artificial intelligence, semiconductor, automobile, battery and energy sectors were mentioned as areas for cooperation. There is also speculation that Korea is considering importing apples from the U.S. to satisfy Washington’s request to lower its nontariff barriers.

"Yeo presented Korea's vision for a framework on mutually beneficial cooperation in manufacturing," the trade ministry said.

Given the Trump administration’s prioritization of U.S. manufacturing protection, the trade minister admitted that it could be difficult to convince Washington to accept Seoul’s request to exempt its cars and steel products from item-specific tariffs.

However, the trade ministry said Yeo told Greer that exemptions or easing of sectoral tariffs must be included in the final deal between the two countries.

"We have repeatedly emphasized that it is crucial to get exceptions or ensure that the rates are significantly reduced and we plan to reiterate that again today," Yeo said.

The trade minister visited Washington only a week after his previous trip to meet his U.S. counterparts.

To arrive at the U.S. capital as early as possible, he transited through John F. Kennedy International Airport in New York and took a train to Washington Union Station. He also purchased a one-way flight ticket to proceed with negotiations without a set deadline.

National Security Adviser Wi Sung-lac speaks to the press at Incheon International Airport, Sunday, before his departure for Washington. Yonhap

Meanwhile, Wi said before his departure that he will become involved in the tariff discussions — an unusual role for a national security adviser, underscoring the gravity of the issue.

"Korea and the U.S. have discussed a wide range of topics related to trade and security," Wi told reporters at Incheon International Airport Sunday. "As the negotiations are in critical phases, I decided to visit the U.S. to engage more in the discussions."

He is moving forward with plans to meet his U.S. counterpart, acting White House National Security Adviser and State Secretary Marco Rubio, to discuss a summit between the two countries’ leaders.