How will S. Korea-U.S. tariff negotiations play out?

Economists and diplomatic experts have gathered on South Korea's southern Jeju Island for an international peace forum where growing uncertainty of Trump's trade policies were at the center of discussion.

Our foreign affairs correspondent Bae Eun-ji was there.

Experts are now warning that U.S. President Donald Trump's economic policies could have 'conflicting consequences' that do not necessarily promote economic growth or increase productivity in the country's economy.

Speaking on Thursday at an international peace forum held on Jeju Island, Jeffrey Schott, a senior fellow from Peterson Institute for International Economics.. said uncertainty about the size and duration of tariffs will discourage or delay investment decisions.

"So the climate is even more uncertain, and uncertainty is a tax on doing business. That's a lesson in economics that I think the Trump administration is only now beginning to learn."

South Korea, which faces 25% U.S. reciprocal tariffs has been seeking a trade deal with the Trump administration before the July 8th deadline, when the 90-day pause on reciprocal tariffs is lifted.

Scott Snyder, the head of the Korea Economic Institute of America, who is also at the Jeju forum explained there will be a 'series of deals,' adding that although the current focus is on tariffs, there will be another negotiation on security.

"I would say deal by deal. I think that is going to go on, maybe for the entire Trump administration. New things will pop up and they will require negotiation, and so I think that's what will happen and I think it will be ongoing. It will be stressful, but I think that until both sides come to a place where they're satisfied with everything, President Trump's style is to want to make deals but I don't believe that it's going to be a one big beautiful deal."

He suggested it would be important for the Korean government to have negotiation strategies to make sure that what Trump is trying to do is perceived as too costly.

He also noted that shipbuilding is clearly an area where South Korea has a set of technologies that the U.S. is in need of.

Amid more uncertainty over Trump's tariff policies, especially following the latest decision from the U.S. trade court, eyes are now on how the trade negotiations between Seoul and Washington will play out.

Bae Eun-ji, Arirang News, Jeju.