Seoul, Feb 14 South Korea must bring "bargaining chips" to the negotiation table with the United States, such as new investments in the US and bilateral cooperation in key strategic industries, to minimise the possible impact of "America First" trade policies and U.S. tariff hikes, local trade experts stressed here on Friday.
"It's totally business," Bark Tae-ho, president of Commerce Institute of Lee & Ko and former trade minister of South Korea, told Yonhap News Agency on how the Korean government should negotiate with the U.S. on the latter's series of tariff imposition plans.
"Trump is a person who likes transactions ... and there are a lot of gifts Seoul can provide in a package deal, such as more corporate investment in the U.S., cooperation in the shipbuilding industry and imports of U.S. energy," Bark said, reports Yonhap news agency.
This week, US President Donald Trump announced plans to impose a 25 per cent tariff on all steel and aluminium imports, and country-specific reciprocal tariffs on Washington's major trading partners, sparking concerns here that major South Korean industries may be directly affected.
In 2024, South Korea's trade surplus with the U.S. reached $55.7 billion.
Seoul was also the fourth-largest exporter of steel and aluminium products to the U.S. last year, according to data from the U.S. International Trade Administration.
To address such concerns, South Korea's Deputy Minister of Trade Park Jong-won will visit Washington next week to meet with officials from the U.S. Department of Commerce and U.S. Trade Representative (USTR).
A business delegation, led by SK Group Chairman Chey Tae-won, also plans to visit the U.S. next week to discuss bilateral economic cooperation with political and business leaders there.
"South Korea is one of the most important trade partners for the U.S. across various industries from semiconductor and battery to shipbuilding and energy," said Austin Chang, president of the institute for international trade under the Korea International Trade Association (KITA).
"If we can persuade the U.S. that South Korea is a country that can replace China in global supply chain and create synergy with Washington in strategic industries, such as defence, biopharmaceuticals and semiconductors, we may be able to reduce the blow on the industries here from the U.S. tariffs," he said.
Chang noted shipbuilding cooperation, in particular, can be a good bargaining chip for negotiations with the U.S. as Trump previously showed interest in collaborating with South Korean shipyards, particularly in naval shipbuilding, repairs and maintenance.
The U.S. will also have high demand for shipbuilding, where South Korea and China currently show leadership, as the country aims to import more energy under the Trump administration, he explained.
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