SEOUL, Sept 19 (Reuters) - South Korea's top trade envoy
said on Friday that South Korea is trying to resolve issues
around U.S. auto tariffs quickly to avoid being disadvantaged by
higher duties, explaining to the U.S. that "Japan and South
Korea are different".
Japan and South Korea are leading car exporters but under a
trade deal with Japan the U.S. applies a 15% tariff on Japanese
car imports, while U.S. tariffs on South Korean auto imports are
25%.
On July 30, President Donald Trump said the U.S. will reduce
duties on automobile imports to 15% in return for Seoul
investing $350 billion in the U.S, but the change has yet to be
implemented as the countries remain at odds over the details of
the investments.
"We've explained the differences between Japan and Korea as
much as possible," Trade envoy Yeo Han-koo told reporters upon
his return on Friday from a trip to Washington this week where
he met with U.S. Trade Representative Jamieson Greer.
Top officials in Seoul have repeated in recent days that
accepting all U.S. demands and copying the format of Japan's
deal with the U.S. would be difficult due to issues such as the
domestic foreign exchange implications of the investment fund.
"Disagreements have increased in the process of discussing
details since (the meeting between Trump and South Korean
President Lee Jae Myung in August), and now (tariff talks) are
in a difficult state," National Security Adviser Wi Sung-lac
told reporters on Friday. "But we shouldn't lose our whole
relationship while talking money."
Lee will visit New York next week to attend the UN
General Assembly, Wi said. During his trip, the president will
meet with Wall Street heavyweights including BlackRock CEO Larry
Fink to discuss artificial intelligence, energy and the South
Korean economy as an investment destination, but tariff talks
will be conducted separately from Lee's trip, he said.
Foreign Minister Cho Hyun told a briefing on Friday that
the government would try to resolve visa issues facing Korean
workers in the U.S. before proceeding with the $350 billion
investment package.
His remarks come after hundreds of Korean workers were
recently detained during a U.S. immigration a raid on a Hyundai
Motor battery plant in the state of Georgia, prompting calls by
Seoul for a new category of visa for skilled Korean workers.