Seoul to communicate with Washington over USTR probe on forced labor-linked imports

Trade Minister Yeo Han-koo speaks during a meeting with medium-sized enterprises (SMEs) facing difficulties in exports amid the Middle East tensions at the Korea Trade Insurance Corporation in Seoul, Wednesday. Yonhap

The government said Friday it will continue close consultations with the United States to protect national interests after Washington opened new investigations into Korea and 59 other economies over imports of goods produced with alleged forced labor.

The Ministry of Trade, Industry and Resources said the government will closely communicate with the U.S. side under the principle of ensuring that the balance in profits from its trade deal with Washington is secured and that Seoul is treated no less favorably when compared with other major countries.

The ministry statement came after the Office of the U.S. Trade Representative (USTR) said it has initiated probes into 60 economies, including Korea, China and Japan, under Section 301 of the 1974 Trade Act to determine whether their governments have taken sufficient steps to ban the importation of goods produced with forced labor.

The announcement came just a day after the USTR opened a separate trade inquiry into Korea and 15 other economies to uncover what it calls "unfair" trade practices related to structural excess capacity and production, also under Section 301.

On Thursday, Korean Trade Minister Yeo Han-koo told reporters the USTR's move appears to be aimed at restoring trade-related measures it had imposed on partners before the U.S. Supreme Court struck down U.S. President Donald Trump's "reciprocal" tariffs.

Korea had faced 15 percent reciprocal duties before last month's ruling. It currently faces a 10 percent global tariff that was imposed by Washington to replace the reciprocal duties.