South Korea's Presidential Office said it would assess the impact on domestic industries after the Trump administration introduced a new tariff framework on finished goods with high steel, aluminum and copper content, such as washing machines and refrigerators. The move follows President Trump's overhaul of the tariff regime under Section 232 of the Trade Expansion Act.
"The government is closely monitoring related developments and plans to promptly inform the industry and assess the impact," the Presidential Office said in a media notice on Thursday.
Under the new measures, the previous system of imposing blanket tariffs on raw materials such as steel and aluminum will shift to a differentiated rate structure based on the metal content of finished products. The Presidential Office said it would prioritize strengthening communication with the industry and expediting impact analysis to ensure Korean exporters to the U.S. are not confused by changes in the new tariff framework. In particular, as concerns mount that U.S. tariff measures, combined with rising international oil prices driven by the Iran conflict, could amplify global inflation and supply chain uncertainty, the government is also expected to review the ripple effects by product category and calibrate its level of response.
The Trump administration on the same day issued a separate executive proclamation announcing a policy of imposing high tariffs on patented pharmaceuticals not produced in the United States. However, the proclamation specified that a 15 percent tariff rate would apply to Korean-made patented pharmaceuticals under a separate trade agreement.