South Korea and U.S. Strike Landmark Trade Deal: Tariffs Slashed, Billions Pledged

A landmark trade agreement has been finalized between South Korea and the United States, reducing tariffs and fostering bilateral investments. The deal, welcomed in Seoul, fixes U.S. tariffs on most South Korean exports at 15% while promising $350 billion in South Korean investment in the American economy.

Officials in South Korea expressed relief over the newfound certainty in trade relations with the United States. President Lee Jae Myung stated that the deal provides a clearer environment for competition on par with other global economic giants. Economists highlighted that the agreement harmonizes tariff rates with major economies, reducing uncertainty.

The investment component of the deal also suggests significant growth opportunities for South Korean enterprises in the U.S. market, with notable commitments from companies like Hyundai Motor Group and Samsung Electronics. However, experts caution that the finer details of the agreement will be crucial in determining its long-term impact.

(With inputs from agencies.)