shockedcanadian
Diamond Member
- Aug 6, 2012
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I think they call this "winning".
Check out the details, the U.S gave up very little, just a rollback of the newly applied tariffs on steel, and look what they received in return. Honestly, this is astounding, I don't know what handshake deal they made on the side, but this is S Korea getting hammered and getting very little in return, other than short term relief from tariffs.
This will open up the auto market for American businesses.
Trump Administration Strikes Trade Deal With South Korea
The Trump administration has reached an agreement in principle on a new trade deal with South Korea.
The pact permanently exempts South Korea from a new 25 percent tariff that President Trump has ordered on imported steel. In exchange, South Korea will reduce its steel exports to the U.S. by about 30 percent from the level of recent years. South Korea has been the third-largest supplier of foreign steel to the U.S., behind Canada and Brazil.
"In the case of South Korea, this is absolutely a home run," Trump trade adviser Peter Navarro told NPR's Morning Edition. "In lieu of tariffs on steel, we have a quota which is equal to only 70 percent of their shipments from the last few years, and this will be as effective as the tariffs, and preserve the integrity of the steel industry. So let's not talk about exemptions letting anybody out. Everybody understands as they negotiate with the United States that if they're let out of the tariffs, they will have a quota or some other similar restriction."
The deal also seeks to reduce the U.S. trade deficit with South Korea, which was about $10 billion last year. It does this partly by lifting trade barriers in South Korea, but also by imposing new trade barriers here at home.
In addition to the cap on steel imports from South Korea, the agreement extends for 20 years a tariff on imported pickup trucks. That 25 percent levy, which was set to expire in 2021, effectively has locked South Korean trucks out of the U.S. market.
The deal aims to make it easier for American automakers to sell cars in South Korea by lifting what the administration calls "burdensome regulations." It also allows each U.S. car company to sell 50,000 cars per year in South Korea without having to undergo additional safety or environmental testing. That's double the current cap of 25,000 cars, although actual sales are well below that.
Check out the details, the U.S gave up very little, just a rollback of the newly applied tariffs on steel, and look what they received in return. Honestly, this is astounding, I don't know what handshake deal they made on the side, but this is S Korea getting hammered and getting very little in return, other than short term relief from tariffs.
This will open up the auto market for American businesses.
Trump Administration Strikes Trade Deal With South Korea
The Trump administration has reached an agreement in principle on a new trade deal with South Korea.
The pact permanently exempts South Korea from a new 25 percent tariff that President Trump has ordered on imported steel. In exchange, South Korea will reduce its steel exports to the U.S. by about 30 percent from the level of recent years. South Korea has been the third-largest supplier of foreign steel to the U.S., behind Canada and Brazil.
"In the case of South Korea, this is absolutely a home run," Trump trade adviser Peter Navarro told NPR's Morning Edition. "In lieu of tariffs on steel, we have a quota which is equal to only 70 percent of their shipments from the last few years, and this will be as effective as the tariffs, and preserve the integrity of the steel industry. So let's not talk about exemptions letting anybody out. Everybody understands as they negotiate with the United States that if they're let out of the tariffs, they will have a quota or some other similar restriction."
The deal also seeks to reduce the U.S. trade deficit with South Korea, which was about $10 billion last year. It does this partly by lifting trade barriers in South Korea, but also by imposing new trade barriers here at home.
In addition to the cap on steel imports from South Korea, the agreement extends for 20 years a tariff on imported pickup trucks. That 25 percent levy, which was set to expire in 2021, effectively has locked South Korean trucks out of the U.S. market.
The deal aims to make it easier for American automakers to sell cars in South Korea by lifting what the administration calls "burdensome regulations." It also allows each U.S. car company to sell 50,000 cars per year in South Korea without having to undergo additional safety or environmental testing. That's double the current cap of 25,000 cars, although actual sales are well below that.
