In a move that has sent shockwaves through international trade circles, former US President Donald Trump has signalled his intention to slap new tariffs on South Korean imports if re-elected. This bold declaration threatens to unravel a carefully negotiated trade deal between the two nations.
A Potential Trade War Looms
Trade analysts are sounding alarms that Trump's proposed tariffs - which could reach as high as 25% on certain goods - might spark retaliatory measures from Seoul. "This would represent a complete reversal of the current trade understanding," noted Georgetown University trade expert Dr. Elaine Watanabe.
Key Industries at Risk
- Automobile manufacturers
- Electronics producers
- Steel and aluminium exporters
- Chemical companies
The announcement comes just months before the US presidential election, with Trump framing the move as "putting America first" in trade relations. However, critics argue this could damage important strategic alliances in Asia.
Market Reactions and Fallout
Asian markets showed immediate jitters following the news, with South Korea's KOSPI index dipping 1.2% in early trading. The potential tariffs could particularly impact:
- Hyundai and Kia's US market share
- Samsung's electronics exports
- Bilateral defence industry cooperation
"We're looking at potentially billions in disrupted trade flows," warned JP Morgan analyst Michael Cho. "The timing couldn't be worse for global supply chains still recovering from pandemic shocks."
