The Office of the United States Trade Representative [USTR]
The Office of the United States Trade Representative [USTR]

South Korea has asked the United States to reconsider plans to impose additional tariffs on Korean goods over alleged imports of products made with forced labor, saying the proposed measures lack factual basis and sufficient analysis.

According to the Office of the United States Trade Representative, South Korea submitted written comments saying the USTR's conclusion — that Korea imports goods produced with forced labor and burdens US trade — "appears to lack factual basis and sufficient analysis."

The government said the International Energy Agency report cited by the USTR as evidence does not raise concerns about South Korea in connection with imports of polysilicon produced with forced labor. It added that an appendix to the report explicitly states that South Korea is not among the countries that imported forced-labor polysilicon and processed it into products exported to the United States.

Seoul said it has already put in place legal and institutional mechanisms to exclude forced-labor goods from supply chains. The written comments stated that South Korea "is implementing various policies, including building a domestic legal framework and ratifying international obligations, to ensure the private sector excludes products made with forced labor from supply chains."

The government added that South Korea is committed to fulfilling its pledge — included in the joint fact sheet from the South Korea-US summit — to cooperate in eliminating imports of goods produced with forced labor.

South Korea said the US measures are "excessive, should be reconsidered, and are neither appropriate nor necessary." It asked that if the US determines tariffs are warranted, Korea should receive more favorable treatment than initially proposed.

The government asked the USTR to "give full consideration to Korea's views, reflecting the strong bilateral relationship built on a strategic trade and investment agreement," and to reach "a final decision that is mutually beneficial to both countries."

The Korea International Trade Association also submitted comments to the USTR earlier, urging it to reconsider the proposed 12.5 percent additional tariff on Korean goods. The association asked for a delay in implementation or, if a delay is not possible, a reduction of the additional tariff rate to 10 percent.

The USTR announced earlier this month that it plans to impose additional tariffs of 10 or 12.5 percent on 60 economies, including South Korea, for failing to adequately prevent imports of goods made with forced labor.

The measures are based on Section 301 of the Trade Act, which grants the US administration authority to respond to unfair policies or practices by foreign governments. The Trump administration has been pursuing Section 301 tariffs as a replacement after the Supreme Court struck down the reciprocal tariffs in February.


sjy@heraldcorp.com