Gov't and ruling party agree to support vulnerable industries likely affected by Korea-U.S. trade deal

On the local front.

The first high-level consultation between government officials and the ruling party took place since the ruling Democratic Party elected a new leader.

Key topics included follow-up measures for the trade deal between South Korea and the United States.

Our political correspondent Shin Ha-young reports.

South Korea's government and ruling party agreed to provide support to industries and businesses expected to be most affected by the new U.S. tariffs.

This comes after the two sides on Sunday reviewed follow-up measures to the recent trade agreement between South Korea and the United States.

During the meeting, Democratic Party leader Jung Chung-rae said the party and government will evaluate the impact of the recent trade deal on the economy and industries, and devise response measures.

"We will work to ensure the outcome of the trade talks directly benefits the national interest, and quickly introduce the necessary bills and policies in the National Assembly to carry out follow-up measures without delay."

The two sides agreed to deliberate on the Lee Jae Myung administration's recent proposal to tighten capital gains tax rules by lowering the threshold for major shareholders, a move that sparked strong backlash from retail investors.

Currently, only those holding 5 billion won --roughly 3-point-6 million U.S. dollars --or more in a single listed stock are taxed.

Under the new plan, that threshold would be reduced to 1 billion won, or just under 720 thousand dollars.

"We closely consulted and decided to deliberate on the issue while monitoring developments."

Sunday's meeting was the first high-level consultation between government officials and the ruling party since four-term lawmaker Jung was elected party leader.

Prime Minister Kim Min-seok congratulated him on his election and emphasized that the party, government, and presidential office need to work as one.

Shin Ha-young, Arirang News.