Hong Nam-ki Meets US Treasury Secretary, Requests Resolution of Korean Companies' Iran Export Issues

Hong Nam-ki, Deputy Prime Minister for Economy and Minister of Strategy and Finance

[Asia Economy Reporter Kwangho Lee] Deputy Prime Minister and Minister of Strategy and Finance Hong Nam-ki met with U.S. Treasury Secretary Steven Mnuchin to request the easing and lifting of export sanctions on Iran.

The Ministry of Strategy and Finance announced on the 23rd that Deputy Prime Minister Hong, attending the G20 Finance Ministers and Central Bank Governors Meeting held in Riyadh, Saudi Arabia from the 22nd to 23rd (local time), met with Secretary Mnuchin on the 22nd at the King Abdulaziz International Conference Center and made this request.

The bilateral meeting between Deputy Prime Minister Hong and Secretary Mnuchin was the fourth, following meetings in Washington D.C., USA in April last year, Fukuoka, Japan in June last year, and Washington D.C., USA in October last year.

At the meeting, Deputy Prime Minister Hong requested Secretary Mnuchin to resolve difficulties faced by Korean export companies, including the resumption of humanitarian goods trade with Iran. Secretary Mnuchin responded that he hopes for a smooth resolution through working-level consultations between the two authorities.

They also exchanged views on major economic and financial issues between the two countries, such as Korea-U.S. infrastructure cooperation and foreign exchange policy.

Both sides emphasized the need to strengthen working-level cooperation to advance Korea-U.S. infrastructure cooperation. Deputy Prime Minister Hong evaluated that since the signing of the Korea-U.S. infrastructure cooperation Memorandum of Understanding (MOU) in October last year, working-level consultations have been progressing smoothly to achieve concrete results.

Secretary Mnuchin also welcomed the progress in Korea-U.S. infrastructure cooperation and requested Deputy Prime Minister Hong’s continued interest.

Subsequently, the two sides exchanged opinions on foreign exchange issues, including the implementation of the U.S. Department of Commerce’s countervailing duty regulations on currency undervaluation scheduled for April 6.

Deputy Prime Minister Hong requested that the U.S. Treasury Department provide specific and objective criteria for determining currency undervaluation subject to countervailing duties. He also explained that the Korean government has been steadily working to enhance transparency in foreign exchange policy.

Secretary Mnuchin highly evaluated Korea’s transparent foreign exchange policy and responded that there is no need for concern at this time about the possibility of countervailing duties being imposed due to currency undervaluation in Korea.