Topline
The U.S. and South Korea agreed to a trade deal Wednesday that will enforce a 15% tariff rate on the U.S. ally that is one of the country’s top trade partners, President Donald Trump said, striking the agreement ahead of an Aug. 1 deadline Trump has set for trading partners worldwide to agree to tariff deals.
Trump announced the deal Wednesday evening. (Photo by JIM WATSON/AFP via Getty Images)
AFP via Getty Images
Key Facts
Trump said South Korea agreed to a tariff of 15% and that the U.S. would not receive any tariffs in response.
The president added South Korea will invest $350 billion into the U.S. and noted South Korean President Lee Jae Myung will work out other details at the White House within the next two weeks.
South Korea, which recently dealt with the impeachment of former President Yoon Suk Yeol, rushed with its new leadership to make a deal with the U.S. as the country initially faced a 25% tariff rate against its exports.
Though it is a reduction from Trump’s proposed rate, the new 15% tariff rate is a jump from the 10% rate on South Korea since April, in line with a blanket minimum tariff rate Trump set.
This is a developing story. Check back for updates.