Seoul: The presidential office announced Thursday that semiconductor tariffs are included in a finalized trade deal with the United States, contradicting U.S. Commerce Secretary Howard Lutnick’s statement that chip tariffs were not part of the agreement.
According to Yonhap News Agency, presidential spokesperson Kim Nam-jun confirmed that Seoul and Washington reached an agreement on the tariff levels for South Korean semiconductors. This comes after Lutnick claimed on social media that semiconductor tariffs were not included in the trade deal. Kim emphasized that the two nations agreed to apply tariffs at levels comparable to those applied to Taiwan, a significant competitor in the semiconductor industry, thus reducing uncertainties and securing an equal footing.
Kim further stated that the agreement on U.S. semiconductor tariffs would be included in related documents, which are currently undergoing final review. In August, U.S. President Donald Trump had announced plans to impose a 100 percent tariff on semiconductor imports, but this measure has not yet been implemented.
Addressing Lutnick’s separate assertion that Seoul had agreed to “fully open its market 100 percent,” Kim clarified that the South Korean market is already accessible to all U.S. products, with no additional changes in market access resulting from this agreement.
On Wednesday, the details of South Korea’s $350 billion investment pledge were finalized, and a trade deal was concluded, lowering U.S. tariffs on Korean goods and autos from 25 percent to 15 percent. Kang Hoon-sik, the presidential chief of staff, stated that Seoul made no concessions to further open its agricultural market, as it has already opened nearly all its farm markets under the existing bilateral free trade agreement with the U.S.
Kang noted in an interview with broadcaster SBS that political statements should be interpreted contextually, and there is no need to counter every comment made for domestic audiences. He added that the controversy would diminish once the agreement details are disclosed in official documents, such as a joint fact sheet and memorandum of understanding, in the coming days.
In a separate interview with broadcaster KBS, Kim Yong-beom, the presidential chief of staff for policy, confirmed that the forthcoming fact sheet will include provisions on semiconductors, ensuring that South Korean products receive tariff treatment not less favorable than that of Taiwan.