President Donald Trump has announced plans to raise tariffs on imports from South Korea from 15% to 25%, citing the country's incomplete implementation of a 2025 framework trade agreement. The proposed hike would target critical imports such as cars, lumber, and pharmaceuticals, intensifying trade friction between the two allied nations.
As reported by Supply Chain Dive, the trade framework was agreed upon in late 2025, with the U.S. offering a tariff cap in exchange for expanded market access and investment commitments from South Korea. While parts of the agreement were addressed in South Korea’s 2026 budget, the country’s National Assembly has yet to pass comprehensive enabling legislation.
Trump announced the proposed tariff increase via Truth Social, criticizing South Korea for failing to uphold the pact and signaling that the U.S. would no longer tolerate what he called “unequal terms.”
The administration has not yet provided a timeline or issued a formal notice for implementation.
The move is expected to impact U.S. companies with supply chain ties to South Korea, particularly in the automotive, electronics, and pharmaceutical sectors. It also underscores a broader strategy by the Trump administration to enforce trade compliance through aggressive tariff measures.
For more, read the full article on Supply Chain Dive.
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