Trump imposes 25% tariff increase on South Korean goods

United States President Donald Trump has announced a sharp increase in tariffs on goods imported from South Korea, raising them from 15% to 25%. The announcement was made on Monday, 26 January, via a post on the social media platform Truth Social, according to Al Jazeera.

Trump justified the decision by citing South Korea’s failure to implement a critical trade agreement with the United States. “It is their right to implement the agreement, but until they do, we are raising tariffs,” he stated. It remains unclear, however, whether the new tariffs have already taken effect.

The increased duties are expected to apply to a range of products, including automobiles, timber, pharmaceuticals, and other items subject to reciprocal tariffs. The White House has not issued an immediate comment on the move.

South Korea is one of the United States’ largest trading partners. According to the U.S. Department of Commerce, exports from South Korea to the United States in 2024 amounted to approximately $132 billion, encompassing vehicles and automotive components, semiconductors, and various electronics. Analysts warn that the tariff increase could lead to higher prices for these products in the U.S. market.

Earlier, in July of the previous year, Trump had announced a trade agreement with South Korea, which did not directly increase tariffs on South Korean goods from 10% to 25%. The deal also included certain concessions on imported vehicles, aimed at facilitating smoother trade relations.

Legal experts have raised questions about Trump’s authority to impose the new tariffs. A landmark case currently before the U.S. Supreme Court will determine whether the President has the legal power to unilaterally impose broad tariffs on products from specific countries. Should the court rule against the administration, Trump may not be able to implement such tariff increases immediately.

Trump’s latest announcement follows previous threats of severe tariffs on other countries, including a proposed 100% duty on Canadian goods and an additional 10% tariff linked to disputes over Greenland. Some of these proposals were later rescinded.

South Korea–U.S. Trade Overview (2024)

Economists suggest that these measures could strain U.S.–South Korea trade relations and potentially disrupt supply chains, particularly in the automotive and semiconductor sectors.