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South Korea’s Industry Minister Kim Jung-kwan is set to visit the United States on Wednesday for urgent negotiations to finalize a long-pending tariff agreement linked to a massive $350 billion investment. The visit comes just days after Kim’s previous trip to Washington, where he met with U.S. Commerce Secretary Howard Lutnick to resolve key issues surrounding the deal.
According to South Korea’s industry ministry, the minister will depart Wednesday morning for follow-up discussions on the U.S.-South Korea tariff deal, which was tentatively agreed upon in July. While the ministry did not provide further details, the meeting is expected to focus on finalizing terms that have delayed the agreement’s implementation.
The $350 billion investment proposal has been a sticking point between the two allies. Washington had previously pushed for an “upfront” equity-based payment, which Seoul opposed, citing potential disruption to its foreign exchange stability. However, officials now say the U.S. has eased that demand, opening the door for a breakthrough.
Both countries have expressed optimism about concluding the deal before their leaders meet on the sidelines of the Asia-Pacific Economic Cooperation (APEC) summit later this month in South Korea. The agreement is seen as a strategic step toward strengthening economic and security ties amid growing regional competition.
The ongoing negotiations have already had an impact on financial markets. Shares of major South Korean automakers Hyundai Motor and Kia Corp surged on Tuesday amid rising hopes for a trade breakthrough. Currently, U.S. tariffs on South Korean automobiles remain at 25%, while duties on other imports have been reduced to 15%.
The anticipated deal could mark a significant milestone in U.S.-South Korea trade relations, boosting investor confidence and easing long-standing trade tensions between the two allies.
