Yeo Hyeon-gu Returns from US Negotiations: "US Shows Interest in Shipbuilding and Semiconductor Manufacturing"

Yeo Hyeon-gu, Director General for Trade Negotiations at the Ministry of Trade, Industry and Energy, who recently returned from a visit to the United States for Korea-US tariff negotiations, stated on the 10th, "The US side is showing great interest and a positive response to the Korea-US Manufacturing Renaissance Partnership, which we have consistently advocated." He added that the US showed particular interest in cooperation in the shipbuilding and semiconductor sectors.

Hyeon Gu Yeo, Director General for Trade Negotiations, Ministry of Trade, Industry and Energy. Yonhap News

According to Yonhap News, Yeo, who visited Washington, DC from the 5th to the 10th (local time), told reporters at Incheon Airport upon his return that day, "I felt that the US is very interested in how Korean companies can cooperate with the US in industries such as shipbuilding and semiconductors, which are extremely important for the US in terms of industrial competitiveness and national security, and how they can help rebuild US manufacturing."

He went on to say, "This time, I also met with Dan Sullivan, Senator from Alaska," adding, "The Korean side is showing significant interest and a strong desire to participate in the Alaska Liquefied Natural Gas (LNG) project." However, as further commercial viability assessments are needed for the Alaska LNG project, discussions will continue in the future.

As the US has decided to postpone the imposition of a 25% reciprocal tariff until August 1, an additional negotiation period of about three weeks has been secured. During his visit, Yeo held negotiations with Jamieson Greer, representative of the US Trade Representative (USTR), and Howard Lutnick, US Secretary of Commerce, aiming to reduce tariffs currently imposed by the US on Korean products such as automobiles and steel, as well as to secure exemptions from the announced 25% reciprocal tariff. He commented, "In reality, three weeks is a very short time," and added, "We are now accelerating negotiations in earnest on tariff and non-tariff issues that the US is interested in, as well as issues of interest to Korea."

He further stated, "The Trump administration is strongly determined to structurally reduce the trade deficit," and added, "I believe that addressing non-tariff barriers and manufacturing cooperation together will be necessary to systematically reduce the trade deficit in both the short and medium term."

Regarding US demands for easing non-tariff barriers, Yeo said, "We must defend domestically sensitive areas as much as possible, but from a pragmatic perspective, we need to make strategic decisions about institutional improvements or changes that are possible."