New industry minister vows all-out efforts for successful tariff negotiations with US

Industry Minister Kim Jung-kwan speaking during his parliamentary confirmation hearing held at the National Assembly in Seoul, July 17. Yonhap

Korea will work to achieve the "best possible" outcome in the ongoing tariff negotiations with the United States in terms of national interest, the country's new industry minister said Monday, with less than two weeks left until the Aug. 1 deadline for trade talks with the Donald Trump administration.

"We are in a very serious situation with all possibilities on the table in the ongoing tariff negotiations with the U.S.," Industry Minister Kim Jung-kwan said.

"The industry ministry is currently refining its negotiation strategy in close collaboration with other relevant ministries and will put in all-out efforts to ensure the trade talks are concluded smoothly."

Kim's remarks were made at an emergency meeting on the strategy for trade negotiations with the Trump administration, attended by officials from major business organizations and trade experts.

"We are fully aware of the concerns being raised regarding tariff negotiations, and by taking these sensitivities into careful consideration, we will work to achieve the best possible outcome from the perspective of our national interest," he said.

The Ministry of Trade, Industry and Energy has been facing fierce backlash from local agriculture and livestock industries after Trade Minister Yeo Han-koo said some trade-offs in the sectors could be strategically considered for a broader trade deal with the U.S.

Last week, major farmers' groups called on Yeo to step down over his comments, threatening to take collective action if the government agrees to further open the country's agro-livestock market as a bargaining chip.

The farming and livestock industries have emerged as some of the most sensitive issues in the ongoing tariff negotiations between Seoul and Washington, with the U.S. pressuring Korea over a wide range of non-tariff measures, including its import ban on American beef from cattle aged 30 months or older due to concerns over mad cow disease.

In a report on foreign trade barriers released earlier this year, the U.S. Trade Representative (USTR) also criticized Korea's regulatory system for agricultural biotechnology, such as living modified organisms (LMOs), and strict rules on agrochemical residues of imported agricultural products.

Regarding possible damage to domestic industries from U.S. tariff measures, Kim said his ministry will push to expand support measures for the private sector to help the sector "effectively" mitigate risks.

Later, Kim said he will do his utmost to reduce uncertainties surrounding the country's exports and businesses due to the Trump administration's tariff policies and the rise of global trade protectionism.

He also stressed the need for policies to foster sustainable and balanced growth of Korean industries amid an intensifying tech war between major economies.

"In the midst of global competition driven by the artificial intelligence (AI) and energy revolutions, we must strengthen the capabilities of our companies to help them take the global lead in those areas," he said in his inauguration speech, vowing to devise support measures for advanced industries, such as AI, semiconductor, robotics and future mobility.

The industry ministry will also work to create a new energy policy centered on renewable energy to secure energy security and achieve carbon neutrality, he added.

Kim, former president of marketing at major power equipment builder Doosan Enerbility, took office Monday as Korea's new industry minister after the National Assembly adopted his confirmation hearing report last week.