On Thursday, the White House announced its response to the U.S. administration’s initiation of an investigation into unfair trade practices involving 16 economic entities, including South Korea, based on Section 301 of the Trade Act. The government stated that it plans to actively engage in consultations with the U.S. to ensure that the balance of benefits secured in the existing Korea-U.S. tariff agreement is not compromised and that we receive treatment that is not disadvantageous compared to other major countries.
A Blue House official conveyed this message during a press briefing, stating that the U.S. position was to restore existing tariffs through Section 301 following the ruling on the legality of reciprocal tariffs.
On Wednesday, the Office of the United States Trade Representative (USTR) published a notice announcing the launch of an investigation into unfair trade practices, such as overproduction, involving South Korea, Japan, China, the European Union (EU), and 12 other economic entities.
This action is a response from the Donald Trump administration following a ruling by the U.S. Supreme Court last month, which deemed the reciprocal tariffs imposed under the International Emergency Economic Powers Act (IEEPA) illegal. The Trump administration is expected to impose new tariffs to replace the reciprocal tariffs based on the results of this investigation.
USTR representative Jamieson Greer stated in a pre-briefing that this investigation will examine the policies and practices of specific economic entities related to structural overcapacity in the manufacturing sector. He added that it anticipates uncovering various unfair trade practices linked to overproduction.