First Congressional Address Since Inauguration
Mentions South Korean Tariffs, Criticizes "Allies Acting This Way"
Trump Urges Investment in Alaska Natural Gas Pipeline Project
U.S. President Donald Trump expressed dissatisfaction on the 4th (local time), citing South Korea's tariffs as higher compared to those of the United States. President Trump also encouraged investment in the Alaska natural gas pipeline project and announced plans to establish a shipbuilding department at the White House and provide tax benefits.
South Korea Provides Significant Military Support... Average Tariffs Four Times Higher than the U.S.
In a congressional speech at the U.S. Capitol in Washington D.C. that day, President Trump said, "Countless countries impose tariffs much higher than what we impose on them. It is very unfair."
He continued, "India imposes automobile tariffs on us higher than 100%. China imposes tariffs on our products averaging twice as much as ours, but we also impose tariffs on them. And South Korea's average tariffs are four times higher than (those of) the United States," he claimed.
He added, "Think about it. Four times higher. We help South Korea militarily and in many other ways, yet this is happening. Allies are doing this."
South Korea has a Free Trade Agreement (FTA) with the United States, trading most goods tariff-free. Given President Trump's pointed criticism of South Korea's tariffs as unfair, the possibility cannot be ruled out that the U.S. might raise tariffs on South Korea in the mutual tariff adjustments scheduled to take effect on April 2.
New Department Established to Revive Shipbuilding Industry... Special Tax Benefits Offered
He also announced measures to strengthen the shipbuilding industry. President Trump said, "I announce the establishment of a shipbuilding department at the White House and the provision of special tax benefits to bring this industry back to where it rightfully belongs ? the United States."
He said, "We once built countless ships, but now we build almost none. However, we will very quickly and soon revive the shipbuilding industry. This will have a tremendous impact on further strengthening our national security." He did not specifically mention countries such as South Korea.
He also expressed hope that countries like South Korea would participate as partners in the upcoming Alaska natural gas pipeline project.
President Trump said, "My administration is building one of the world's largest natural gas pipelines in Alaska," adding, "Japan, South Korea, and other countries want to become our partners by investing trillions of dollars each."
He continued, "This has never happened before. It will be a really great thing. Everything is ready to proceed."
While the Trump administration is imposing a 'tariff bomb' on the world, South Korea, one of the major countries with a trade surplus with the U.S., is reportedly considering options to import or participate in the development of Alaska-produced liquefied natural gas (LNG).
However, the South Korean government has not yet officially announced whether it will participate in the Alaska natural gas development project. It appears that President Trump took the lead in using this for public promotion.
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