US President Donald Trump's administration on Wednesday posted on the Federal Register a notice implementing certain tariff elements of a South Korea-US trade deal, including a reduced duty rate of 15 percent on Korean autos retroactive to Nov. 1.
The Department of Commerce and the Office of the US Trade Representative posted the document to implement tariff-related elements of the Korea-US Strategic Trade and Investment Deal ahead of its official publication date set for Thursday.
The notice came after South Korea and the United States released a joint fact sheet on Nov. 13, which outlined bilateral trade and security agreements, including the US agreement to lower its "reciprocal" tariffs on Korean products to 15 percent from 25 percent in return for Seoul's commitment to investing $350 billion in the US, among other pledges.
The notice affirmed that Korean automobiles and auto parts -- entered for consumption or withdrawn from warehouse for consumption on or after 12:01 a.m. on Nov. 1 -- are subject to a 15 percent tariff, down from the sector-specific rate of 25 percent. The reduced rate is effective Nov. 1.
It also spelled out a reduced "reciprocal" tariff rate of 15 percent on Korean products.
Imports of timber, lumber and their derivatives are subject to tariffs of up to 15 percent, effective 12:01 a.m. on Nov. 14. Duties on certain aircraft and aircraft parts also went into effect the same day.
Korean products, which fall under the World Trade Organization Agreement on trade in civil aircraft, except for unmanned aircraft, will not be subject to reciprocal tariffs and sector-specific tariffs on steel, aluminum and copper, according to the notice.
The notice cast the bilateral trade and investment deal as reflecting the "strength" and "endurance" of the South Korea-US alliance. The deal was finalized during a summit between President Lee Jae Myung and Trump in South Korea in October.
"President Trump and President Lee declared a new chapter in the US-ROK alliance, the linchpin for peace, security and prosperity on the Korean Peninsula and in the Indo-Pacific region," the notice said, referring to Trump's state visit to Korea in late October.
ROK is short for South Korea's official name, the Republic of Korea. (Yonhap)
