South Korea Analyzes US-Japan Trade Deal: Auto and Steel Industries on Edge

South Korea's Industry Minister, Kim Jung-kwan, announced Wednesday the country's intent to scrutinize the newly established U.S.-Japan trade deal. He spoke to reporters before flying to Washington for deliberations with U.S. officials.

Recognizing Japan as a key rival in auto and steel sectors, South Korea faces mounting pressure to secure a similar agreement ahead of the looming August 1 deadline, which threatens 25% reciprocal tariffs. Minister Kim is scheduled to meet with U.S. Secretary of Commerce Howard Lutnick and Secretary of Energy Chris Wright, among other dignitaries.

U.S. President Donald Trump praised the trade agreement on Truth Social, revealing that Japan is set to make $550 billion investments in the United States and widen market access to American car, truck, and agricultural producers. Meanwhile, South Korean media reported that the U.S. has urged Seoul to establish a large-scale investment fund dedicated to revitalizing U.S. manufacturing, a proposal yet to specify a funding source.

(With inputs from agencies.)