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Coordination of ROK-US Joint Committee schedule as investment in the US gets into full swing
Park Jeong-seong, Head of Trade Negotiations for the Ministry of Trade, Industry and Energy, attended the G20 Trade Ministers' Meeting held in Milwaukee, Wisconsin, USA, and emphasized international cooperation to address global overproduction and stabilize supply chains.
According to the Ministry of Trade, Industry and Energy on the 2nd, Director Park actively presented the Korean government's position by participating in discussions across four sessions during the two-day meeting from the 30th of last month: ▲weaponization of food ▲ structural overproduction ▲ reform of Most Favored Nation (MFN) treatment ▲ elimination of forced labor in global supply chains.
Regarding the issue of steel oversupply, he particularly emphasized, "It is important to adhere to basic principles such as companies' voluntary restructuring and trade remedy measures based on World Trade Organization (WTO) rules," adding, "It should not lead to excessive protection that deviates from international norms."
Taking advantage of this multilateral meeting, Director Park held bilateral talks with major countries including the United States, China, the European Union (EU), the United Kingdom, Japan, India, Türkiye, Australia, Indonesia, Saudi Arabia, and Brazil to discuss trade issues.
Director Park met with Jamison Greer, Representative of the Office of the United States Trade Representative (USTR), and requested that the 15% tariff agreement be respected. He also agreed to coordinate a specific schedule for the ROK-US Joint Committee, as the first project for investment in the US has been announced.
According to Reuters, Representative Greer stated on the 29th of last month, one day before the meeting, that he would consider the tariff ceilings agreed upon in trade agreements with other countries when investigating overproduction.
Last year, Korea pledged a total of $350 billion in investment in the US, including shipbuilding cooperation ($150 billion) and strategic investment ($200 billion), on the condition of lowering tariffs from 25% to 15%.
Accordingly, the Korean government has emphasized that the combined burden of forced labor tariffs (12.5%) and future overproduction tariffs should not exceed the original 15% ceiling agreed upon by Korea and the US.
Director Park's latest request is also interpreted as a reaffirmation that the existing agreement must be complied with, as the promised investment in the US has begun in earnest.
With Maroš Šefčovič, EU Commissioner for Trade and Economic Security, discussions were held on legislative trends regarding the EU's Industrial Acceleration Act (IAA) and ways to resolve uncertainties for domestic companies.
In a meeting with Jonathan Reynolds, UK Secretary of State for Business, Innovation, Science and Trade, gratitude was expressed for the UK's exemption of regional sanctions related to Korea's import of Russian liquefied natural gas (LNG).
Furthermore, cooperation in core mineral and energy supply chains was strengthened with China, Australia, and Indonesia, and expansion of economic partnerships, including Free Trade Agreements (FTAs), was discussed with emerging countries such as Saudi Arabia and Brazil.
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