South Korea seeks to resolve any 'misunderstanding' with US about tariff rates

South Korea's acting president on Monday ordered authorities to actively communicate with the U.S. administration to resolve any misunderstanding over tariffs, after U.S. President Donald Trump recently singled out South Korea for applying high tariffs.

Trump, who has told his economic team to prepare reciprocal tariff plans by early April, said last week during an address to the U.S. Congress that South Korea's average tariff was four times higher than that of the United States, despite military and other assistance Washington has provided to its Asian ally.

Acting President Choi Sang-mok "ordered to actively explain to the U.S. about any misunderstanding of our tariff rates on U.S. imports," the finance ministry said in a statement.

South Korea imposes the second-highest tariff rate among the top 15 U.S. trading partners after India, but for U.S. imports, nearly all tariffs are eliminated under their free trade agreement first signed in 2007 and revised in 2018 during Trump's first term.

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As of 2024, South Korea's effective tariff rate on U.S. imports stood at 0.79%, according to Seoul's trade ministry.

Choi said the government would also review non-tariff measures, which Trump said would be considered in his reciprocal tariff plan.

The acting president asked South Korean officials to prepare for consultations with the U.S. on cooperation in the shipbuilding and energy sectors.

Trump had said during his speech that Japan, South Korea and other countries wanted to partner on a natural gas pipeline in Alaska.

South Korea's industry ministry has said the country would "actively engage" in discussions with the U.S. on the project, though said no details had been decided.