Kim made the comments at a meeting with opposition lawmakers and business association officials to discuss the investment package which forms part of a US trade deal agreed last year, which would see Washington lowering tariffs from 25% to 15%.
US Trump has threatened higher tariffs on goods from countries that “play games” with their existing US trade agreements, after the US Supreme Court struck down his universal tariffs. The Korean government said on Monday it will stick to its trade deal reached last year.
“I think that with the reciprocal tariffs now nullified, there may be increased pressure to raise sector-specific tariffs,” Kim told lawmakers.
“Should the 25% tariffs be materialised, the competitiveness of Korean companies will inevitably weaken, at a time when the entire industry is undergoing upheaval, including the ongoing transition to electric vehicles and the acceleration of competition for autonomous driving,” he said.
–Reuters–
