Washington: In a last minute diplomatic push to avert potentially crippling U.S. tariffs, South Korea’s National Security Adviser Cho Tae-yong has flown to Washington D.C. this weekend, aiming to hold high-level talks with American officials just days ahead of the anticipated tariff decision. The stakes are high as both economic and strategic interests hang in the balance.
The visit underscores Seoul’s mounting concerns over the Biden administration’s pending ruling on whether to impose new tariffs on a range of imported goods, particularly targeting the steel and automotive sectors. For South Korea heavily reliant on its export-driven economy any adverse move from Washington could send ripple effects across industries and global supply chains.
The tariffs under review stem from the United States Trade Representative’s (USTR) ongoing investigations into what Washington perceives as unfair trade practices and subsidization from foreign governments, particularly in critical sectors like electric vehicles (EVs), semiconductors, and steel. South Korea, though a close U.S. ally, finds itself caught in the economic crossfire.
Cho Tae-yong’s visit is seen as part of a broader effort to protect South Korea’s manufacturing exports and maintain the hard-won access it has to the American market under the U.S.-Korea Free Trade Agreement (KORUS). His meetings will likely involve senior White House officials and economic advisors, as Seoul attempts to secure either an exemption or softer tariff terms.
South Korea's steel industry, already subject to a quota system under previous arrangements, is particularly vulnerable. The current Section 232 national security tariffs, first introduced under the Trump administration, capped South Korean steel exports to 70% of the average volumes shipped between 2015 and 2017. Any new layer of restrictions could further constrict exports and hurt domestic production.
In addition to steel, the Biden administration has expressed concern over the rapid influx of foreign-made electric vehicles that could undermine domestic EV development. South Korea, home to global giants like Hyundai and Kia, has invested heavily in EV production, including new U.S.-based manufacturing plants. However, not all their models qualify for full tax incentives under the U.S. Inflation Reduction Act (IRA), raising fears of discrimination and competitive disadvantage.
Seoul has repeatedly emphasized that its EV and battery industries are not state-subsidized in a way that distorts competition and that South Korean firms are heavily integrated into U.S. supply chains. The Cho-led delegation is expected to highlight the tens of billions of dollars invested by Korean companies in the U.S. over the past few years, which has created thousands of American jobs.
Political analysts note that while South Korea has been a strong partner in Washington’s Indo-Pacific strategy and a consistent supporter of U.S. efforts to counter China, trade friction could strain this alignment. Tariffs may not only cause economic damage but also dent mutual trust in the broader strategic partnership.
Observers also suggest that with the U.S. presidential election on the horizon, political considerations may play into tariff decisions. Protectionist rhetoric, particularly around “bringing jobs back home,” has bipartisan appeal. This makes it more challenging for foreign allies to receive special treatment—even close ones like South Korea.
South Korean President Yoon Suk-yeol has been under domestic pressure to take stronger steps in defending national economic interests. With Cho Tae-yong's visit, the administration is signaling that it is sparing no effort to protect Korean industry and preserve trade stability with the U.S.
Trade ministry officials in Seoul have warned that new tariffs could cost Korean exporters billions of dollars annually and have a chilling effect on future investments. This is especially concerning as the global economy shows signs of fragility amid inflationary pressures and geopolitical tensions.
The visit is also expected to touch on broader issues including semiconductor cooperation, critical mineral supply chains, and joint strategies to counter China's economic coercion. These topics are deeply intertwined with tariff policies, given Washington’s push to secure domestic production of key technologies and reduce reliance on Beijing.
Experts say that any progress will depend on Washington’s willingness to view South Korea as a long-term strategic economic partner rather than a transactional trade competitor. Seoul’s case is strengthened by its demonstrated commitment to co-producing high-tech products in the U.S., and its alignment with American security and foreign policy goals in the Indo-Pacific.
The tone of the meetings in Washington could also set the stage for future trade negotiations and possibly even prompt adjustments to the KORUS agreement. While no formal renegotiation is currently underway, both sides may explore technical amendments or additional MOUs to manage trade tensions constructively.
Meanwhile, South Korean business associations have launched a coordinated lobbying effort in Washington. Korean conglomerates with major American footprints such as Samsung, SK, and POSCO—are pressing Congress and executive agencies to recognize their role in strengthening U.S. industry and innovation.
South Korea’s diplomatic move comes amid a broader global trend of rising trade barriers and reshoring strategies. The World Trade Organization has warned that the proliferation of industrial policies and selective incentives could trigger a cascade of retaliatory measures, further fragmenting global trade.
Ultimately, Cho Tae-yong’s mission is a test of South Korea’s diplomatic agility and Washington’s openness to economic diplomacy. If Seoul can secure even a temporary reprieve from tariffs or negotiate more favorable terms, it will mark a significant achievement at a critical economic juncture.
However, if the Biden administration proceeds with the tariffs, it could spark a recalibration of trade and investment policies by South Korea, including the possibility of seeking dispute resolution through international trade bodies or forging deeper economic ties with other regions.
In the coming days, all eyes will be on Washington as the tariff deadline nears. For now, the message from Seoul is clear: South Korea remains committed to fair and open trade, but it will not remain passive in the face of punitive measures that threaten its core economic interests.