Ahn Duk-geun, Minister of Trade, Industry and Energy, said on the 16th regarding the comprehensive trade agreement 'July Package' that South Korea and the U.S. aim to conclude by July, 'We are aiming for an agreement before July 8, but we are in a tight situation to meet the deadline.'
Minister Ahn said during a press briefing following a meeting with Jamieson Greer, the U.S. Trade Representative, at the Jeju International Convention Center (ICC) that 'We will try to meet the deadline, but I expect adjustments might be necessary in unavoidable cases.'
Minister Ahn and Representative Greer discussed U.S. tariff measures during their meeting. The two countries agreed to hold technical discussions next week in the U.S. on six areas: balanced trade, non-tariff measures, economic security, digital trade, origin issues, and commercial considerations.
During the meeting, Minister Ahn emphasized that South Korea and the U.S. have a relationship based on the free trade agreement (FTA) and reiterated requests for mutual tariff and item-specific tariff exemptions for South Korea. He noted, 'I explained that both countries are those that have deepened trade and investment following the FTA, and that the tariff issue has arisen while we are reinforcing industrial cooperation based on this.'
It was reported that there was no specific card exchange between the two sides during the meeting. Minister Ahn explained, 'There have been discussions domestically regarding agricultural product issues and the export of Google maps, but we need to wait and see what specifically will be on the negotiation table,' adding that 'the work to clarify what the U.S. is discussing will be done in the next technical discussions.'
Explanations regarding political schedules, including South Korea's presidential election, were also provided. Minister Ahn stated, 'I explained that we are not unnecessarily delaying negotiations under the guise of political situations, and the U.S. side expressed that they fully understand the circumstances.' He continued, 'I also explained to the U.S. that we are conducting economic impact analyses in preparation for potential needs for 'modifications to trade procedure laws' that may arise during the July Package conclusion process,' and added that 'the U.S. side expressed appreciation for the Korean government's comprehensive preparations.'
However, it remains uncertain whether the two countries will conclude the 'July Package' by July 8, when the U.S. has postponed reciprocal tariffs. This is due to various factors such as the presidential election, the establishment of a new government, and changes in trade ministers. The feasibility of completing negotiations before July 8 will likely be assessed at the third ministerial meeting scheduled for mid-next month. Minister Ahn stated, 'After entering the technical negotiations next week, the working-level team will continue discussions on issues,' adding that 'I expect the ministerial-level review meeting to take place around mid-June' and that 'if it is absolutely impossible to reach an agreement by July 8, discussions might be held to adjust the schedule.'
Minister Ahn stated that cooperation in the shipbuilding and energy sectors is not a direct card linked to tariff negotiations. However, he explained that it is expected to generate indirect effects that drive the development of bilateral relations and create a positive atmosphere in trade negotiations.
He remarked, 'The most important asset is that our country can be the optimal partner for practical cooperation in the strategic industries of the U.S., such as shipbuilding, energy, and semiconductors,' stating that 'We are preparing negotiations not to reduce tariffs to improve trade balance, but to ensure that industrial cooperation between both countries is strengthened and trade bases are managed more stably.' He continued, 'Looking at the negotiations that President Trump reached with the United Kingdom, all issues were processed together in a 'one-stop shopping' manner,' adding that 'They will likely discuss issues that can be negotiated with us at the concluding point of the July Package.'
Regarding Representative Greer's meeting with domestic shipbuilding companies such as HD Hyundai and Hanwha Ocean, he noted, 'The U.S. Trade Representative said they would help if there are necessary parts needed in future consultations with us,' and stated that 'The U.S. also agreed to request cooperation if necessary.'
In response to a question about 'What is the top priority for consideration now that key economic figures such as Prime Minister Han Duck-soo and Minister of Economy and Finance have resigned, making the highest decision-maker in trade negotiations,' he said, 'There may be some gaps in economic policy, but I do not see a major gap regarding trade negotiations,' and added, 'The Ministry of Trade, Industry and Energy is continuing negotiations, and it is important to swiftly and smoothly relay the negotiation content to the next government that will be launched after the election. To this end, I am closely communicating with both parties.'