Intelligent Vehicle Brief Webinar: Trump, Tariffs, Korea
Don Southerton
Trusted Korea business advisor, culture coach, mentor, and consultant. Hyundai Whisperer...Incheon-IFEZ
Here's a summary of my Intelligent Vehicle Briefs Webinar Intelligent Vehicle Briefs Wednesday, March 12th, 2025 presentation.
We still expect that trade discussions regarding South Korea will advance before the deadlines set by the Trump administration.
I focus on Korea’s perspective and how it will directly impact economies.
To summarize what we know…
25% Steel and Al hit today, March 12, 2025.
An April 2nd deadline 25% tariffs on other “Goods” could impact South Korea and other countries.
Korean automotive, pharma, and semiconductors have the most exposure.
Korea is seeking exceptions to the 25% tariff based on the current Korea-U.S. Free Trade Agreement (KORUS FTA). Trump has stated that there will be exceptions. We’ll have to see…
In response, the Korean government has indicated it will increase its U.S. oil and gas imports and strengthen discussions on joint shipbuilding.
Throwing Gas on the Fire…
Most recently, during President Trump’s speech before Congress, Trump first referred to an unfair Korean tariff advantage.
That said, and Korea responding --under the KORUS FTA, which took effect in 2012, both countries have eliminated tariffs on most goods. Not to overstate, but many feel Korean businesses and their investments in the U.S. have been Good for America.
Trump then mentioned South Korea’s potential participation in a significant natural gas pipeline project in Alaska, calling it one of the largest in the world.
“My administration is working on a gigantic natural gas pipeline in Alaska — one of the largest in the world — where Japan, South Korea, and other nations want to be our partners, with trillions of dollars being invested by them. It will truly be spectacular,” Trump said.
Amid a high transactional landscape…
With the pressure from Trump’s tariff proposals, participation in the Alaska liquefied natural gas project could be a potential negotiating chip for Korea and others. We’ll keep monitoring.