From Friday, US President Trump has announced new tariffs that vary depending on the country. In negotiations with South Korea there was now an agreement – and a lower customs rate than originally threatened. This costs South Korea billions.
In the trade dispute with South Korea, US President Donald Trump announced an agreement on tariffs of 15 percent on imports from the country. Trump announced a “comprehensive trade agreement” between the two countries in his online service Truth Social. “South Korea will provide the United States $ 350 billion (around 303 billion euros) for investments” and buy liquefied gas or other energy products worth $ 100 billion, wrote Trump. Another investment should be announced when visiting the South Korean president in Washington in the next two weeks.
The sentence of 15 percent lies under the customs surcharge of 25 percent, which was previously threatened by Trump for goods from South Korea, which was to come into force on Friday. According to Trump’s Minister of Commerce Howard Lutnick, the lower duty rate will also apply to auto imports. In addition, America is not burdened with tariffs, Trump wrote.
South Korea welcomes agreement
South Korea welcomed the agreement with the USA. According to President Lee Jae Myung, the country equates the country compared to other countries. It creates security for South Korean exporters. 150 billion dollars of the agreed investments of $ 350 billion are intended for a partnership in shipbuilding.
25 percent on imports from India
Trump had previously announced a 25 percent duty rate for imports from India. The United States had done “relatively few business” with India over the years, since the Indian tariffs “were among the highest world” and the country also has “the strictest and annoying” further trade obstacles, said the US President on Truth Social.
In addition, the country has always bought a “majority of its military equipment from Russia and is in addition to China Russia’s largest energy buyer, and at a time when everyone wants Russia to cease killing in Ukraine,” continued Trump. For this reason, the country will pay 25 percent imports from Friday and a “punishment” for the purchases of Russian weapons and energy. The Republican gave no further information on what punishment would look like.
Customs dispute with Trading partners all over the world
Trump had sparked a customs conflict with trading partners all over the world at the beginning of April. He announced high imports for numerous countries, but then lowered them to ten percent to lead negotiations. For some products, however, higher tariffs have already been applied, for example to steel and aluminum products that were occupied with an import exposure of 50 percent.
