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US, South Korea amend trade agreement to avoid tariffs

The United States and South Korea have reportedly reached an agreement to amend the U.S.-Korea Free Trade Agreement and exempt South Korea from steel tariffs.

South Korea’s trade minister told reporters today that the country is exempt from steel tariffs under Section 232 of the U.S. Trade Expansion Act, but a quota of 2.7 million tons of steel exports has been set to reduce South Korean imports. That is about 70 percent of it’s annual average sale to the United States from 2015 to 2017.

The deal also lowers trade barriers on vehicles imported from the United States.

President Trump said that a deal with South Korea was close on Friday. He has also said that he would continue to consider tariff exemptions for “real friends” of the U.S.