If We Miss the Timing to Respond to Tariff Imposition, Korea's Economy Could Face Greater Hardship
Mayor Lee: “Regardless of Political Party or Government, Extraordinary Measures and Joint Response Are Needed”
Lee Kang-deok, Mayor of Pohang, appealed for a joint government-wide response, warning that the announcement of steel product tariffs by U.S. President Donald Trump is expected to cause serious damage to the domestic steel industry and the overall economy.
On the 10th, U.S. President Donald Trump signed an executive order imposing a 25% tariff on all imported steel and aluminum products, stating that there would be no exceptions or exemptions to this tariff.
Accordingly, a 25% tariff is expected to be imposed from March 12 (local time) on all steel and aluminum products imported into the U.S. from countries including Korea, Canada, and Mexico.
In response, Mayor Lee Kang-deok issued an appeal on the 11th, emphasizing that all political parties and the government must take this situation seriously and urgently prepare extraordinary measures and support plans.
The mayor pointed out that with the global economic downturn, the onslaught of Chinese steel, and decreased steel demand, the domestic steel industry, including POSCO and Hyundai Steel, is facing a crisis. If the response to this tariff imposition is delayed, the Korean economy could suffer an even greater shock, potentially leading to an irrecoverable situation.
He also stressed that the steel industry is a national key industry serving as the basic material for major industries such as construction, automobiles, and shipbuilding. If the steel industry collapses, the entire Korean economy will be shaken. Therefore, all efforts must be concentrated to support the struggling steel industry and protect the steel sector.
Mayor Lee Kang-deok appealed, “Due to changes in the U.S. tariff policy on steel products, serious damage is expected not only to the regional steel industry but also to the overall domestic economy. To protect the steel industry facing an existential crisis, all political parties and the government must concentrate all their capabilities and respond jointly.”
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.
