U.S. President Donald Trump's 25% tariffs on steel and aluminum—the first global tariffs under his administration—took effect on March 12 (local time). As of 12:01 a.m. Eastern Time (1:01 p.m. Korea Time), all countries, including South Korea, now face a 25% tariff on steel and aluminum exports to the United States. Additionally, a U.S. Trade Representative (USTR) investigation into unfair trade practices revealed that the U.S. beef industry has raised concerns about South Korea’s beef import policies, fueling fears that pressure for expanded beef imports may intensify alongside the ongoing "tariff storm."
The tariff implementation follows an executive order signed by Trump on February 10. During his first term, Trump imposed a 25% tariff on steel and a 10% tariff on aluminum, but this time, the aluminum tariff was also raised to 25%. The scope of affected products has expanded to include 253 derivative items, such as window frames and beverage cans. While South Korea previously secured a tariff-free quota for 2.63 million tons of steel exports through 2018 negotiations with the U.S., the current Trump administration has eliminated all tariff exemptions and quotas. Industry responses are mixed: some fear that the competitiveness of U.S. steelmakers will hurt South Korean exports, while others anticipate potential sales growth due to the removal of quota restrictions.
Meanwhile, the USTR has concluded its public comment period for gathering input from U.S. industries regarding unfair trade practices. The review process, initiated through a memorandum signed by Trump upon taking office, has collected 728 submissions since February 20. Based on these inputs, the USTR will assess trade damages and recommend countermeasures to Trump by April 1, just one day before the planned announcement of reciprocal tariffs.
Among the submissions, the U.S. beef and agricultural industries specifically targeted South Korea. The National Cattlemen’s Beef Association (NCBA) noted in its statement that while South Korea considers age restrictions on beef imports a sensitive issue, other major markets—including China, Japan, and Taiwan—have already lifted their 30-month age limit for U.S. beef, recognizing its safety and quality. The association urged the U.S. government to negotiate with South Korea to eliminate the restriction and promote science-based trade policies. South Korea banned U.S. beef imports in 2003 following a mad cow disease outbreak but reopened its market in 2008, limiting imports to beef from cattle under 30 months old.
The USA Rice Federation (URF) also criticized South Korea in its submission, listing the country among over 20 nations with alleged unfair trade practices in rice imports. The URF argued that South Korea imposes restrictive quotas on U.S. rice imports and enforces strict pesticide residue limits, creating trade barriers.
Woo-Sun Lim imsun@donga.com