Riyadh: U.S. Treasury Secretary Scott Bessent stated on Tuesday that South Korea had put forth "very good" proposals during bilateral trade discussions prior to the commencement of the country's election cycle. This move by Seoul aims to secure exemptions from the new U.S. tariffs.
According to Yonhap News Agency, Bessent made these remarks at the Saudi-U.S. Investment Forum held in Riyadh. The discussions between Seoul and Washington have been centered on tariff- and non-tariff measures, economic security, investment cooperation, and currency policy. While Bessent did not provide specific details, South Korean officials indicated that topics such as economic and industrial cooperation, particularly in the shipbuilding industry, were among the key areas of discussion.
Bessent also mentioned ongoing trade talks with other Asian nations, highlighting productive discussions with Japan and noting Indonesia's proactive stance. He praised Taiwan for presenting a "very good" proposal, underscoring positive developments in trade relations within the region.
The forum followed the announcement of a U.S.-China agreement to temporarily reduce tariffs for 90 days after negotiations in Geneva, Switzerland. Under this deal, U.S. tariffs on Chinese goods will drop to 30 percent from 145 percent, while Chinese tariffs on U.S. exports will decrease to 10 percent from 125 percent. Bessent emphasized the creation of a "Geneva mechanism" to prevent future misunderstandings between the two countries.
Bessent also stressed Washington's goal of decoupling from China in strategic industries, citing the need for the U.S. to become self-sufficient in areas like medicines and semiconductors. He clarified that both countries agreed against a generalized decoupling of their economies.
On the topic of engagement with the European Union, Bessent mentioned a "collective action" problem in Europe, noting differences in priorities among member countries. Despite these challenges, he expressed confidence in reaching a satisfactory conclusion in U.S.-EU trade relations.