US Announces 'Forced Labor Tariffs' on 60 Countries; South Korea Effectively Hit with 12.5%

[Anchor]

We start with breaking news. Following the expiration of the global tariffs that temporarily filled the void after a ruling finalized that the U.S. reciprocal tariffs were unlawful, the United States has newly imposed forced labor tariffs. South Korea's rate has been finalized at 12.5%. Let's connect to Washington.

Correspondent Jeon Byeong-nam, this was essentially an expected procedure, right?

[Reporter]

The U.S. Trump administration has imposed forced labor tariffs of 10 to 12.5% on 60 countries, citing Section 301 of the Trade Act a short while ago.

South Korea will effectively face a 12.5% tariff.

The Office of the U.S. Trade Representative, or USTR, made this announcement on its website moments ago.

Previously, after the U.S. Supreme Court ruled in February that existing reciprocal tariffs were unlawful, the Trump administration utilized Section 122 of the Trade Act to impose a 10% global tariff.

Instead of the Section 122 measures expiring tomorrow (the 25th), the USTR decided to invoke Section 301 of the Trade Act to impose the new tariffs.

This structure effectively replaces the reciprocal tariffs voided by the unlawful ruling with global tariffs, which are now in turn being succeeded by Section 301 tariffs as their expiration date arrives.

Regarding the applied tax rates, countries that have implemented forced labor prohibition measures are subject to a 10% tariff, while those that have not are subject to 12.5%. South Korea, along with Japan, was determined to be at 12.5%.

Countries classified as having related systems in place such as Canada and the European Union, but with inadequate enforcement, are subject to a 10% tariff.

A U.S. administration official explained the measure by stating, "No country enforces a ban on forced labor to the level of the United States, and this provides an unfair advantage to other nations," adding, "Accordingly, the President will utilize all available tools, including tariffs, to achieve the desired outcome."

Meanwhile, the South Korean government has consistently maintained its stance that the tariff rate must not exceed the 15% agreed upon last year.

Separate product-specific tariffs are being applied to steel, aluminum, and automobiles.

Semiconductors are also maintaining a zero-tariff rate as they are set to receive treatment no less favorable than major competitor nations under the South Korea-U.S. agreement.

The new tariffs will take effect at midnight tomorrow, Eastern Time.

With this announcement, South Korean companies are expected to face a situation where they must reevaluate their U.S. export strategies, separate from existing product-specific tariffs.

(Reported by Park Eun-ha | Video Edited by Choi Hye-young)
※ Please note: This article was translated by AI and may contain errors.