South Korea will renew tariff negotiations with the United States on Friday during a high-stakes gathering of Asia-Pacific trade leaders, as Seoul scrambles to protect its export-driven economy from steep new levies imposed by Washington.
The talks are taking place on Jeju Island during the Asia-Pacific Economic Cooperation (APEC) trade ministers’ meeting, where attention is firmly focused on US Trade Representative Jamieson Greer.
The negotiations follow a tense period of trade upheaval triggered by President Donald Trump’s announcement of sweeping tariffs on multiple US trading partners. The move has unsettled global markets and placed countries like South Korea — which heavily rely on exports — in a challenging position. Friday’s meeting marks a critical opportunity for Seoul to seek relief from tariffs targeting its key industries, particularly the automotive sector.
South Korea’s Minister of Trade and Industry, Ahn Duk-geun, is scheduled to meet Greer to discuss Seoul’s proposed “July Package,” a trade proposal first introduced during a visit to Washington in April. The package is expected to include plans to boost US liquefied natural gas (LNG) imports and deepen cooperation in shipbuilding, areas where South Korea holds strong global positions.
South Korea had a $66 billion trade surplus with the United States last year, making it one of the top surplus countries after Vietnam, Taiwan, and Japan. This imbalance has drawn the attention of the Trump administration, which has used it to justify tariffs of up to 25 percent on South Korean goods, particularly vehicles. Automobiles make up over a quarter of South Korea’s exports to the US, and the sector has already been hit hard by tariffs announced in early April.
Although Trump’s latest batch of tariffs, billed as “reciprocal,” were announced last month, they were temporarily suspended until early July. This delay has opened the door for negotiations, giving South Korea a brief window to strike a deal that might soften or reverse the planned measures.
In an effort to build goodwill, South Korean officials have pushed for closer economic ties in shipbuilding. On Friday, Greer met with Chung Ki-sun, vice chairman of HD Hyundai, which operates the country’s largest shipbuilding company. The meeting was described as a milestone — the first between a US trade chief and South Korea’s shipbuilding industry. HD Hyundai later confirmed that the conversation included plans for potential collaboration with US shipbuilder Huntington Ingalls Industries.
Greer is also expected to meet executives from Hanwha Ocean, another major shipbuilder with existing partnerships tied to US Navy operations. Following news of these meetings, shares of both companies saw a boost, with Hanwha Ocean rising nearly three percent and HD Hyundai Heavy Industries gaining over 3.5 percent.
South Korea’s government is hoping these engagements signal progress toward a broader understanding. With time running short before the July tariff deadline, Friday’s talks could shape the economic relationship between the two countries for years to come — especially as Trump continues to reshape US trade policy in his second term.