US-South Korea Trade Talks Postponed Before Tariff Deadline

High-level trade talks between South Korea and the US, planned for this week, have been postponed due to US Treasury Secretary Scott Bessent’s urgent schedule, South Korea’s finance ministry said on Thursday.

The ‘2+2’ dialogue was set for Friday in Washington and would have included South Korean Finance Minister Koo Yun-cheol and Trade Minister Yeo Han-koo, along with Bessent and US Trade Representative Jamieson Greer. The meeting was important before the August 1 negotiation deadline.

Ministry spokesperson Kang Young-kyu said the US has proposed to reschedule the talks soon, and both countries will set a new date as early as possible.

The US informed South Korea about the delay around 9:00 a.m. Thursday, just an hour before Finance Minister Koo was set to leave for Washington. As a result, Koo cancelled his two-day trip while waiting at Incheon International Airport in Seoul, Yonhap news agency reported.

Kang added that the US side apologised many times and clearly said they want to hold the talks soon. Trade Minister Yeo and Industry Minister Kim Jung-kwan, who had already reached Washington, are continuing their planned meetings with US officials.

These talks are crucial as the US is planning to impose a 25% “reciprocal” tariff on South Korean products starting August 1. This is in addition to existing tariffs on cars and steel. The tariffs first took effect on April 9 but were suspended by President Donald Trump for 90 days to allow talks. The suspension was later extended, but now the US plans to implement them from August 1.

South Korea is under pressure after the US concluded a deal with Japan earlier this week. That agreement reduced tariffs from 25% to 15% in exchange for Japan allowing more US cars, trucks, rice, and other goods into its market, along with a US$550 billion investment pledge.