South Korea's trade minister anticipates increased U.S. investment if Trump raises tariffs

South Korea's trade minister, Cheong In-kyo, stated that South Korean companies may increase investments in the U.S. if higher tariffs are imposed by the new administration. This follows Donald Trump's victory in the 2024 presidential election.

Trump has proposed tariffs of 10% to 20% on U.S. imports, which could significantly impact South Korea's economy, potentially costing it $44.8 billion in exports. South Korean automakers, which rely heavily on domestic production, could be particularly affected.

Despite these challenges, Cheong noted that South Korea's trade relations with the U.S. would likely remain stable. He emphasized the importance of the Chinese market and mentioned that South Korea's exports are expected to exceed last year's figures.