The Peninsula

Timeline of U.S.-Korea Liberation Day Tariff Negotiations

South Korea found itself the target of a “reciprocal” 25 percent tariff rate on April 2, part of the so-called “Liberation Day” tariff announcements in which Donald Trump slapped double-digit tariffs on nearly all U.S. trade partners. Washington and Seoul have subsequently made a deal on July 30, indicated by President Trump’s announcement on Truth Social.

The following is a timeline taking stock of the major meetings, policy developments, and statements surrounding U.S.-Korea economic policy since April 2.

Major Meetings and Policy Developments Surrounding U.S.-Korea Trade Negotiations

April 1, 2025, to July 30, 2025.

July 31                                               Korean presidential chief of staff for policy, Kim Yong-beom, makes statement regarding deal with the United States that “both sides agreed to not to further open Korea’s rice and beef markets given the food security concerns and sensitivity of the agricultural sector.” Kim also clarifies that digital services issues are not part of the deal and that the 50,000 vehicle cap on U.S. safety standard auto imports will be removed. The remarks also verify that Korea will not be treated disadvantageously to other countries for pharmaceutical exports, the same provision set for Korean semiconductors.

Trade Minister Yeo Han-koo’s states in a video conference following the deal that “if opportunities arise, we will strive to lower the rate by even 1 percent,” regarding the auto tariff rate. He also indicates the possible expansion of efforts to change trade terms, stating “The U.S. is expected to continue putting pressure not just on us but on other trading partners to remove non-tariff barriers.”

 

July 30                                            7:17pm EDT: U.S. Secretary of Commerce Howard Lutnick makes post on X account indicating that Korea’s auto tariff rate will be set at 15 percent and that Korea will “not be treated any worse than any other country on semiconductors and pharmaceuticals.” He also indicates that energy purchases will occur over a period of “3.5 years” and that “steel, aluminum, and copper are not included and remain unchanged.”

                                                                           6:39pm EDT: Korean President Lee Jae Myung makes post on Facebook on aspects of the deal. He indicates that the $350 billion Korean investment fund  “help Korean companies actively enter the U.S. market in industries where [Korean companies] have strengths, such as shipbuilding, semiconductors, secondary batteries, biotechnology, and energy,” while $150 billion of the fund will go toward U.S.-Korea shipbuilding cooperation and will “firmly support Korean companies’ entry into the U.S. shipbuilding industry.”

                                                          6:16pm EDT: President Trump makes announcement on Truth Social indicating the United States and Korea have come to a “full and complete trade deal. Trump indicates that the terms include $350 billion in Korean investments in the United States, to be owned and controlled by the U.S., in addition to Korea making $100 billion in purchases of U.S. liquified natural gas (LNG) “or other energy products,” as well as an additional sum of investments to be made at subsequent summit planned at the White House with Korean President Lee Jae Myung. In return, the post indicates that Korea will be “completely open to trade with the United States,” with a set tariff rate of 15 percent, and will expand market entry for U.S. products “including cars, trucks, and agriculture.”

 

July 28                                                U.S. Secretary of Commerce Howard Lutnick remarks that Korean officials Kim Jung-kwan and Yeo Han-koo flew to Scotland during President Trump’s visit to the country and proposed a trade package, including a “Make American Shipbuilding Great Again” investment package. Lutnick subsequently indicates that President Trump has “all the cards in front of him.”

 

July 24                                                U.S.-South Korea two-plus-two trade talks in Washington, DC, which were set to involve Minister of Economy and Finance Koo Yun-cheol, Minister of Trade Yeo Han-koo, U.S. Trade Representative Jamieson Greer, and Secretary of the Treasury Scott Bessent, are rescheduled due to a “scheduling conflict” with Secretary Bessent. In response, Minister Koo postpones his arrival in Washington.

National Security Adviser Wi Sung-lac issues a press release on his meetings with senior Trump administration officials, including U.S. Secretary of State Marco Rubio and Under Secretary of State for Political Affairs Allison Hooker, as part of “a broader strategic dialogue encompassing both security and economic issues between South Korea and the United States.”

Yonhap News Agency reports a proposed investment package of at least USD 100 billion by South Korea as part of potential commitments for a U.S.-Korea trade deal.

 

July 23                                                Minister of Trade, Industry and Energy Kim Jung-kwan departs for Washington, DC, for meetings with U.S. Secretary of Commerce Howard Lutnick, Secretary of Energy Chris Wright, and Secretary of the Interior Doug Burgum to “advance tariff negotiations and explore ways to strengthen cooperation in the industrial and energy sectors.”

Korean media reports that the country “has decided not to use further opening of the country’s beef and rice markets as bargaining chips in tariff negotiations,” calling them a “red line.”

Following Japan’s trade deal with the United States on July 22, Korea’s presidential spokesperson states, “If there are aspects that can serve as a reference for our government’s negotiations, we plan to take them into account.”

The Japan deal includes a USD 550 billion Japanese investment into the United States, including on the Alaska liquefied natural gas (LNG) pipeline, as well as opening of Japanese markets on items including automobiles, trucks, rice, and “certain other agricultural products,” in return for U.S. import tariffs of 15 percent—down from 25 percent— including for autos.

The White House releases its AI Action Plan with provisions to export “its full AI technology stack” to “all countries willing to join America’s AI alliance.”

 

July 22                                                Economy Minister Koo tells reporters that he and Minister Yeo will meet Secretary Bessent and Ambassador Greer for two-plus-two trade discussions on July 25 in Washington, DC.

Korea’s Ministry of Trade, Industry and Energy (MOTIE) issues a press release relaying an “all-out effort to reach agreement ahead of potential U.S. tariff imposition.”

                                                               

July 21                                                Minister of Foreign Affairs Cho Hyun tells reporters that Korea “should work to find a win-win solution” regarding a trade deal with the United States and offers his view that Korea “thoroughly examine all aspects of a comprehensive package,” including the security relationship with the United States, when making a deal.

National Security Adviser Wi Sung-lac departs for a trip to Washington, DC, to meet with U.S. Secretary of State Marco Rubio regarding a “package deal” on trade and security.

Economy Minister Koo, Industry Minister Kim, and Foreign Minister Cho also plan to travel to the United States alongside a special envoy delegation led by former Chairman of the Korea Chamber of Commerce and Industry (KCCI) Park Yong-man.

A two-plus-two meeting is planned between Ministers Koo and Kim and Secretaries Bessent and Lutnick.

Secretary Bessent appears on television and says that the “important thing” regarding trade negotiations is “the quality of the deal and not the timing of the deals” and that the United States is “more concerned with getting high quality deals than getting these deals done by August 1.”

 

July 17                                                During his confirmation hearing, Cho Hyun states the administration’s intention that President Lee Jae Myung not meet with Chinese President Xi Jinping before meeting President Trump.

He also states that “it appears possible” to reach a deal on tariffs by the deadline of August 1 and advocates for a “package deal” on security and trade issues.

Korea’s presidential office announces former KCCI Chairman Park, Supreme Council Member of the Democratic Party Han Joon-ho, and Korea-U.S. Congressional Federation Director Kim Woo-young as leading a special envoy delegation to the United States “to help with various understandings in the international community.”

 

July 14                                                Following a visit to the United States, including for negotiations on July 7 and July 10, Minister Yeo states that it is time for Korea to make a “strategic” decision on agricultural issues and other negotiating items with the United States and that some trade-offs could be considered for a broader deal.

“I believe it’s possible to reach an agreement in principle in the U.S. tariff negotiations, and then take some time to negotiate further,” he added.

Yeo also states to reporters following the visit, “Rather than simply lowering tariffs by a few percent, it is possible to negotiate a positive-sum deal that helps rebuild the U.S. manufacturing industry and secures a new growth engine for Korean companies (through entry into the United States),” appearing to reference the earlier proposal by Lutnick for a Korean investment fund for the United States.

                                                                Members of the Korean Successor Advanced Farmers Federation later threaten to take collective action against the Korean government if they remove tariff and non-tariff barriers on agricultural products and livestock, while also calling for Yeo to resign due to his comments on agricultural concessions.

 

July 9                                                   National Security Adviser Wi tells reporters that the United States has agreed to hold a summit but that no specific schedule is confirmed.

 

July 8                                                   President Trump declares on social media that “tariffs will start being paid on August 1, 2025” with no change to the date and no extensions granted.

 

July 7                                                   President Trump publishes a letter to President Lee announcing 25 percent tariffs on “any and all” Korean products sent to the United States, separate from sectoral tariffs, beginning August 1, 2025.

The letter includes a condition that tariffs may be modified “upward or downward” depending on the U.S. relationship with Korea.

The White House issues an official executive order titled “Extending the Modification of the Reciprocal Tariffs” that extends the suspension of tariffs until August 1.

President Lee’s chief policy officer Kim Yong-beom tells policymakers in a meeting that “protecting South Korea’s national interest [is] more important than reaching a quick deal,” according to the New York Times.

Secretary Lutnick meets with Minister Yeo in Washington, DC. Korean media reports that Lutnick proposed that Korea initiate an investment fund for the development and reconstruction of the U.S. manufacturing industry, allowing for Korean companies to build or expand factories and invest in the United States.

National Security Advisor Wi meets with Secretary Rubio during a two-day trip to Washington, DC, to discuss tariff negotiations and defense cost-sharing. Wi also proposes a U.S.-Korea summit as well as a “package deal” on trade, investment, procurement, and security.

 

July 5                                                   While in Washington, DC, for tariff negotiations, Minister Yeo meets with Ambassador Greer. Yeo is accompanied on the trip by Wi.

Reuters reports that, prior to the meeting, Yeo said he “might request an extension of the freeze on U.S. tariffs” set to expire on July 9.

 

July 3                                                   President Lee tells reporters that “it is difficult to say with certainty” whether tariff negotiations can be reached before a July 9 deadline and that “the two sides are not really clear on what they want.” He also states that his administration is “actively identifying and developing many agenda items across various areas.”

 

July 1                                                   The U.S. Department of Commerce initiates two Section 232 national security tariff investigations into the import of polysilicon and its derivatives and unmanned aircraft systems (UAS) and their parts and components into the United States.

 

June 30                                              Director of the U.S. National Economic Council Kevin Hassett states that he expects the removal of existing digital services taxes will be a key part of ongoing trade negotiations with U.S. trade partners.

 

June 30                                              During a television interview, Secretary Bessent states that he expects “a flurry going into the final week” regarding the July 8 trade negotiations and that if countries “can’t get across the line” on tariffs negotiations, then the United States “could spring back to April 2 levels.”

 

June 30                                              Representatives Adrian Smith (R-NE) and Carol Miller (R-WV) submit a letter signed by forty-one congressional members to Ambassador Greer, Secretary Bessent, and Secretary Lutnick urging the Trump administration to use trade negotiations with South Korea to address digital services regulations in the country.

 

June 29                                              President Trump says he “doesn’t think [he]’ll need to” extend the July deadline and states that he intends to send arbitrary letters to countries without deals with set tariff rates.

 

June 27                                              Secretary Bessent suggests that the United States can conclude trade negotiations with countries “by Labor Day,” suggesting a possible extension of the ninety-day pause on tariffs.

 

June 26                                              White House Press Secretary Karoline Leavitt says that the trade deadline “is not critical,” citing the ability of the president to arbitrate a reciprocal tariff rate.

 

June 24–25                                     National Security Adviser Wi attends the 2025 NATO Summit in the Netherlands on behalf of President Lee. While in attendance, he meets with Secretary Rubio and receives a request to increase its military budget to 5 percent of GDP, matching NATO commitments.

 

June 23                                              The addition of home appliances, including refrigerators, washing machines, and dryers, to the 50 percent tariff rate on steel from the June 12 adjustment goes into effect.

 

June 22–27                                     Minister Yeo makes his first official visit to Washington, DC, and holds meetings with U.S. officials and lawmakers, including Ambassador Greer, Secretary Lutnick, and Secretary Burgum, regarding U.S. economic policies.

 

June 20                                              U.S. Department of Commerce export control chief Jeffrey Kessler plans to revoke blanket waivers for Samsung and SK Hynix to continue receiving U.S. semiconductor equipment for their operations in China, the Wall Street Journal reports.

 

June 12                                              The U.S. Department of Commerce’s Bureau of Industry and Security publishes a notice of adding home appliances, including refrigerators, washing machines, and dryers, to the Section 232 tariff rate of 50 percent on steel imports that are set to go into effect on June 23.

 

June 12                                              At the White House, President Trump alludes to a potential increase in the 25 percent tariff on foreign auto imports. He states, “I might go up with that tariff in the not-too-distant-future. The higher you go, the more likely it is they build a plant here.”

 

June 11                                              President Trump tells reporters that he intends to set unilateral tariff rates for trading partners ahead of the July 9 tariff pause end date.

 

June 10                                              President Lee appoints Yeo Han-koo as Director General of Free Trade Negotiations to lead tariff negotiations with the United States.

 

June 6                                                 Presidents Trump and Lee speak by phone. Trump invites Lee to the United States to meet at the “earliest opportunity.”

 

June 6                                                 The Office of the U.S. Trade Representative reduces fee proposals for foreign-built LNG tankers and car carriers.

 

June 5                                                 Secretary Lutnick tells the Senate Appropriations Committee that, in regards to the CHIPS Act subsidy program, “commitments of 4 percent or less [of a project’s total value] are more appropriate than a 10 percent funding—it just seems overly generous” and that his department is “renegotiating” agreements.

Regarding the repealed AI Diffusion rule, Lutnick also says that moving forward, the United States is “going to allow [U.S.] allies to buy AI chips provided they’re run by an approved American data center operator and the cloud that touches that data center is an approved American operator.”

 

June 5                                                 The U.S. Department of the Treasury releases its semiannual Report on Macroeconomic and Foreign Exchange Policies of Major Trading Partners of the United States. Korea is included in its currency policy monitoring list.

 

June 4                                                 Adjusted tariff rates on steel and aluminum imports to the United States from the June 3 proclamation go into effect.

 

June 4                                                 Lee Jae Myung is sworn in as president of South Korea.

 

June 3                                                 President Trump issues a proclamation detailing the increase of Section 232 tariffs on steel and aluminum to 50 percent to take effect at midnight on June 4. The White House also releases a fact sheet covering the tariff increase.

 

June 3                                                 The Office of the U.S. Trade Representative issues a letter to negotiating partners to list their best proposals in key areas by June 4, offering the potential for a “landing zone” on tariffs depending on responses.

 

May 30                                               A delegation of members in the U.S. House Committee on Natural Resources travels to Seoul. The congressional members meet with Korean Minister of Trade, Industry and Energy Ahn Dukgeun to discuss U.S.-Korea energy cooperation and critical mineral supply chains, as well as tariffs and U.S. policy continuity regarding the Inflation Reduction Act (IRA).

 

May 30                                               During a speech at a U.S. Steel facility in Pittsburgh, Pennsylvania, President Trump announces an increase of Section 232 tariffs on steel and aluminum from 25 percent to 50 percent.

 

May 28                                               The U.S. Court of International Trade rules that International Emergency Economic Powers Act (IEEPA) tariffs imposing reciprocal and punitive levies as a means to “regulate imports” are unconstitutional.

The Trump administration subsequently files an appeal disputing the court’s jurisdiction. A request to stay the decision is granted, allowing the tariffs to continue in the interim. A hearing is set for the order on July 31.

 

May 23                                               Speaking with reporters in the Oval Office, President Trump states that Samsung and “anybody that makes that product” (referring to smartphones) will be subject to 25 percent tariffs.

 

May 20–22                                       A negotiation team led by Director General for Trade Policy Chang Sung-gil visits Washington, DC, and attends meetings with the Office of the U.S. Trade Representative to discuss tariff measures.

 

May 16                                               President Trump states that he expects Secretary Bessent and Secretary Lutnick will be “sending letters out” in the next “two to three weeks,” setting official reciprocal tariff rates.

 

May 15–16                                       South Korea hosts the Asia-Pacific Economic Cooperation (APEC) Trade Ministers’ Meeting on Jeju Island. During the meeting, Minister Ahn reportedly asks Ambassador Greer for tariff exemptions.

The APEC trade ministers release a joint statement, emphasizing their commitment to the Putrajaya Vision 2040, a comprehensive reform of the World Trade Organization (WTO), and a continuation of the APEC Connectivity Blueprint.

Greer also meets with HD Hyundai Vice Chairman Chung Kisun and Hanwha Ocean CEO Kim Hee-cheul to discuss cooperation on U.S.-Korea shipbuilding.

Minister Ahn says that South Korea is preparing “serious engagement” with the U.S. industrial sector and the U.S. economy in tandem with the tariff negotiations.

 

May 13                                               The U.S. Department of Commerce’s Bureau of Industry and Security issues a press release rescinding the AI Diffusion Rule, which was set on January 15 by the Joe Biden administration. The rule had previously listed Korea as a tier-one country for advanced chip exports.

 

May 11                                               Secretary Lutnick states that he expects the 10 percent baseline tariff “to be in place for the foreseeable future” and that the United States “will not go below 10 percent.”

 

May 9                                                  Korea’s Ministry of Trade, Industry and Energy hosts the APEC Sustainable Supply Chain Forum on Jeju Island, where Ambassador Greer holds sideline meetings with Industry Minister Ahn and Minister for Trade Cheong Inkyo.

 

May 6                                                  Korea’s Ministry of Trade, Industry and Energy submits an official public comment to the U.S. Department of Commerce’s Section 232 national security investigation into the import of semiconductors, asking for “special consideration” for Korea.

 

May 5                                                  Representative Carol Miller (R-WV) introduces a bill to the House Committee on Ways and Means that would allow the U.S. government to impose restrictions on Korea if Korean regulations discriminate against U.S. tech companies, such as through the proposed “Platform Law” in Korea.

 

May 3                                                  25 percent tariffs on auto parts from the March 26  proclamation titled “Adjusting Imports of Automobiles and Automobile Parts Into the United States” go into effect.

 

May 1                                                  The U.S. Department of Commerce initiates a Section 232 investigation into the import of commercial aircraft and jet engines and parts for commercial aircraft and jet engines into the United States.

 

April 30–May 1                             Director General for Trade Policy Chang Sung-gil leads a delegation to Washington, DC, for technical discussions with the Office of the U.S. Trade Representative following the two-plus-two trade consultations on April 24.

 

April 30                                             Ambassador Greer says that South Korea is “very forward-leaning” and going “in the right direction” regarding tariff negotiations.

 

April 29                                             President Trump signs an executive order titled “Addressing Certain Tariffs on Imported Articles” that eliminates “stacking” tariffs on auto imports from additional national security tariffs. An accompanying fact sheet clarifies that vehicles built in the United States can receive reimbursements on the May 3 auto part tariffs for two years.

 

April 29                                             During a press briefing at the White House, Secretary Bessent responds to a question on the timeline for deals with Asian countries, stating, “I can see the contours of a deal with the Republic of Korea coming together.” He further notes, “These governments want to have the framework of a trade deal done before they go into elections to show that they have successfully negotiated with the United States.”

 

April 23–25                                     Minister Ahn and Deputy Prime Minister and Minister of Economy and Finance Minister Choi Sang-mok visit Washington, DC, for two-plus-two trade negotiations with Ambassador Greer and Secretary Bessent.

During the first-round meeting, the United States and Korea agree to complete a trade package before reciprocal tariffs hit in July, committing to launch bilateral working-level consultations at the “earliest possible date.”

Minister Choi also attends the G20 Finance Ministers and Central Bank Governors Meeting, where he meets with Marie Diron, global head of Moody’s Sovereign and Sub-Sovereign Risk.

 

April 22                                             The U.S. Department of Commerce initiates a Section 232 investigation into the import of trucks and truck parts into the United States.

 

April 22                                             The U.S. Department of Commerce initiates a Section 232 investigation on the import of processed critical minerals and critical mineral derivative products into the United States.

 

April 19–April 29                         Bank of Korea Governor Rhee Chang-yong attends the G20 Finance Ministers and Central Bank Governors Meeting in Washington, DC. Rhee states that the inclusion of Korea’s exchange rate policy in a forthcoming July 8 trade package is a “positive aspect.”

 

April 17                                             Secretary Bessent tells reporters that the United States is prioritizing tariff negotiations with roughly fifteen trading partners, including Korea. He later states that the United States is pursuing customized agreements with “15 to 18 key trading partners” and that negotiations with Korea are “progressing very smoothly.”

 

April 16                                             The U.S. Department of Commerce initiates a Section 232 investigation into pharmaceutical and pharmaceutical ingredient imports to the United States.

 

April 16                                             The U.S. Department of Commerce’s Section 232 investigation on imports of semiconductors and semiconductor manufacturing equipment opens for public comment, with a deadline of May 7.

 

April 15                                             The U.S. Department of Energy’s sensitive country designation for Korea goes into effect.

 

April 10                                             During a cabinet meeting with advisors, President Trump states, “We may order…would have to go to Congress for this, but we may buy some ships from other countries that we’re close to and that do great jobs with ships.”

 

April 9                                                President Trump issues an executive order titled “Modifying Reciprocal Tariff Rates to Reflect Trading Partner Retaliation and Alignment” that suspends reciprocal tariffs on countries for ninety days from April 10 to July 9.

 

April 8–9                                           Minister Cheong attends meetings in Washington, DC, with Ambassador Greer and other U.S. government officials for discussions on the implementation of reciprocal tariffs by the United States.

 

April 8                                                Acting South Korean President Han Duck-soo has a call with President Trump.

Trump later remarks that the two countries are moving toward a deal regarding the tariffs. National Economic Council Director Kevin Hassett states that President Trump “prioritizes two of [the United States’] closest allies and trading partners, Japan and Korea.”

                                                                Acting President Han later clarifies that Korea will not retaliate against U.S. tariffs.

 

April 3                                                A 25 percent tariff on automobiles entering the United States goes into effect.

 

April 2                                                President Trump issues an executive order titled “Regulating Imports with a Reciprocal Tariff to Rectify Trade Practices that Contribute to Large and Persistent Annual United States Goods Trade Deficits,” instituting a 10 percent baseline tariff on goods imports and individual “reciprocal” tariffs on most of the United States’ largest trade partners. The reciprocal tariff rate against South Korea is 25 percent.

 

April 1                                                The U.S. Department of Commerce initiates a Section 232 national security investigation into the import of semiconductor and semiconductor manufacturing equipment to the United States.

 

 

Tom Ramage is Economic Policy Analyst at the Korea Economic Institute of America (KEI). The views expressed are the author’s alone.

Photo from the Korean Ministry of Trade, Industry and Energy.

KEI is registered under the FARA as an agent of the Korea Institute for International Economic Policy, a public corporation established by the government of the Republic of Korea. Additional information is available at the Department of Justice, Washington, D.C.