South Korea faces 12.5% US forced‑labour tariff, seeks to keep total below 15%

The United States has imposed a 12.5% tariff under Section 301 on South Korean imports produced with forced labour. Japan is subject to the same rate, while the EU and Taiwan face a 10% levy. U.S. officials have also signaled the possibility of an additional “over‑production” tariff, raising concerns in Seoul.

South Korean authorities, including Industry Minister Kim Jeong‑gwan and trade‑negotiation chief Ye Han‑gu, are intensifying outreach in Washington to ensure the combined tariff does not exceed the 15% ceiling agreed in the 2022 U.S.–Korea trade pact and that the rate remains no less favourable than that applied to Japan and the EU. The current impact on Korean industry is limited because key sectors such as semiconductors, automobiles, steel and aluminium are exempt from the Section 301 measures, but uncertainty remains as the over‑production investigation progresses.