A bilateral trade deal is resulting in the US reducing South Korea’s tariffs on imports. On December 1, Commerce Secretary Howard Lutnick announced that the US will reduce levies to 15% retroactively to November 1. Previously, the US imposed tariffs of up to 25% on South Korean automobiles and other goods. The 25% came from duties the US used under Section 232 of the Trade Expansion Act. Reciprocal tariffs that President Trump imposed under the IEEPA (International Emergency Economic Powers Act) also added to the 25%. In addition to reducing duties to 25%, tariffs on airplane parts from South Korea will be eliminated. The deal will also cap future tariffs on sectors such as semiconductors and Pharmaceuticals at 15%. Why Is The US Reducing South Korea’s Tariffs? The main reason for the tariff reduction is a trade deal between the two countries. Along with the US reducing levies, South Korea will invest approximately $350 billion into strategic US industries. Some of these industri...
A1 Worldwide Logistics specializes in freight forwarding, customs brokerage, warehousing and shipping providing personalized ONE on ONE service to help individuals and businesses through the logistics process. With a team that has over decades of experience in the industry, A1WWL has established itself as a trusted partner to stakeholders worldwide.