Last-minute tariff showdown: S. Korea races to close gap with U.S.

Welcome to Within The Frame, where we bring the most pressing issues across the globe into focus. I'm Kim Mok-yeon.

With less than a week left before the U.S. imposes its next round of tariff revisions, Seoul is entering a critical phase of negotiations with Washington.

Talks have intensified following back-to-back industry ministerial meetings, as the Trump administration sealed major deals with Japan and the EU, securing steep tariff cuts in exchange for massive investment pledges.

South Korea, meanwhile, is facing pressure to scale up its own offer—reportedly falling short of Washington's 400 billion-dollar demand.

High-stakes issues like rice imports, over-30-month-old beef, semiconductors, and shipbuilding are all on the table.

To help us break this down and walk us through what's at stake, we're joined by Kim Yong-jin, a professor at Sogang Business School. Welcome.

Also joining us, from Virginia, is William Brown, a former member of the Board of Directors for the Korea Economic Institute of America, and the Principal of Northeast Asia Economics and Intelligence Advisory, LLC.

(Brown) To start off—with the U.S. and EU having just reached a surprise trade agreement, slashing tariffs to 15% and announcing a massive investment package, it looks quite similar to the U.S.-Japan deal. In light of these precedents, how do you see the prospects for the U.S.-Korea tariff negotiations?

(Kim) Let's build on that—after two rounds of Korea-U.S. industry ministerial talks in Washington, things seem to be wrapping up. Japan sealed its deal by pledging a $550 billion investment in the U.S., while Korea is reportedly offering around $100 billion. But Washington is said to be demanding closer to $400 billion. What strategic options does Seoul have to close this gap?

(Brown) Now, moving into market access—items like beef aged over 30 months and rice are reportedly on Washington's list. Why is President Trump so focused on opening up the agricultural market? And why has beef, in particular, become such a flashpoint in the U.S.-Korea negotiations?

(Kim) From a domestic angle—relaxing regulations on agricultural imports is a politically sensitive issue in Korea. That's why rice imports and beef aged over 30 months have been labeled red lines by the Korean government. So what kind of middle ground can Seoul and Washington realistically find?

(Brown) Shifting focus to the shipbuilding sector—the presidential office has revealed that the U.S. has shown particular interest in Korea's shipbuilding capabilities. Why is America paying attention to this sector? And could Korea use shipbuilding as a bargaining chip to draw concessions from the U.S.?

(Kim) On the energy front—participation in the Alaska LNG project and expanding imports of U.S. LNG are of high interest to the Trump administration. To what extent could these energy deals influence the overall tariff negotiations?

(Brown) Let's turn to digital trade—non-tariff issues like Google Maps data export and platform deregulation have also entered the talks. What are the key friction points in these digital regulation demands from the U.S.?

(Kim) Now, onto semiconductors—Washington's Commerce Secretary has hinted that new semiconductor tariffs could be announced in two weeks. Given that semiconductors, alongside autos, are Korea's top exports to the U.S., what impact do you foresee?

(Brown) Steel is another area of concern—under the current 25% tariff, Korean steel exports have already dropped by over 20%. There's speculation that, as with Japan, steel may be excluded from these talks. What's your take? And what countermeasures or alternative export strategies could be considered?

(Both) And finally—with less than a week left until the deadline, Korea's Deputy Prime Minister Koo Yun-cheol and Minister Cho Hyun are both scheduled to meet with U.S. Treasury Secretary Bessent and Secretary of State Rubio this week. What core negotiation principles should the Korean side prioritize in these final talks?