Acting President and Prime Minister Han Duck-soo said Tuesday he expected a "win-win" from the South Korean delegation's "trade consultation" with the United States, as Deputy Prime Minister and Finance Minister Choi Sang-mok flew to Washington Tuesday morning for the meeting.
"Based on candid dialogue and cooperation between the economic and trade officials of the two countries, I expect (the bilateral consultation) to open the door to a win-win solution that would be mutually beneficial," Han said at a Cabinet meeting held in Seoul, adding that the consultation will revolve around trade-related affairs and joint projects in the sectors of shipbuilding and energy.
Han also stressed that it was Washington that proposed the trade consultation, saying the US' proposal was "taking into account the importance" of the trade relationship with Seoul.
These comments came a day after Han revealed Monday that a "2+2 trade consultation" involving Choi, Industry Minister Ahn Duk-geun and their counterparts — US Treasury Secretary Scott Bessent and US Trade Representative Jamieson Greer — would take place on Thursday at 8 a.m. Thursday in Washington.
As Choi departed from Incheon International Airport on Tuesday, he said the talks "will open the door to laying new groundwork for the South Korea-US alliance." Ahn is set to depart Seoul on Wednesday.
South Korea is one of the US trade partners with which Trump is "prioritizing" trade negotiations, according to remarks by Kevin Hassett, director of the National Economic Council, in a Fox News interview April 2, the day Trump's so-called "reciprocal" tariffs were announced. Trump temporarily stopped them for 90 days, a week later on April 9.
If the "reciprocal" tariffs were in place, most South Korean goods would be subject to 25 percent tariffs. With the 90-day pause, South Korean goods are subject to Trump's "baseline" tariffs of 10 percent. These are applied universally to all US trade partners, with some products, such as steel and automobiles, already incurring tariffs of 25 percent.
A recent report released on April 10 by the state-run Korea Institute for International Economic Policy suggested that the current 25 percent reciprocal tariff rate could be adjusted to as low as 20 percent, if the US trade deficit — a basis for Washington's calculation of reciprocal tariff — is based on the 2020 to 2024 average, instead of the 2024 figure alone.
Interim leader Han has said that Seoul and Washington's focal points are on the balance in bilateral trade, shipbuilding and energy, while his office earlier ruled out the possibility of negotiating other nontariff factors like US Forces Korea defense cost-sharing through what Trump touted as the "one-stop shopping."
Han, in the meantime, stressed that the ironclad alliance between Seoul and Washington, which has lasted for more than seven decades, will remain unchanged.
The acting president hailed the announcement last week that a South Korean consortium signed a deal to export the design of a nuclear reactor with a capacity of 20 megawatts in the University of Missouri, which is worth at least $10 million.
The finalized export deal is a testament that the bilateral cooperation in the field of science and technology "downplays the concerns" posed by South Korea's inclusion in the sensitive country list by the US Department of Energy, effective April 15.
"Based on mutually beneficial trade agreements and expanded cooperation in science and technology between Korea and the United States, ... we are confident that the alliance will grow stronger as we are headed for the future together," he said.
From the domestic front, however, there is growing criticism over Han's role as a temporary, acting president leading South Korea's negotiations with the US.
Liberal lawmakers slammed Han for his subservience in dealing with the US tariffs, while remaining silent on whether he is indeed running for president. South Korea's presidential election is scheduled for June 3, which is only 42 days away.
Rep. Jin Sung-joon of the Democratic Party of Korea said Tuesday that Han is attempting to "sell out national interests with a submissive attitude," and proposed to suspend Han from his position immediately by moving to impeach him.
Han's term as the acting president will be terminated after the June 3 presidential election.
consnow@heraldcorp.com
