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Yeo Han-koo, South Korea’s trade minister, briefs reporters on U.S.-Korea tariff talks at the Government Complex Sejong on July 14. / Courtesy of Ministry of Trade, Industry and Energy

With just three weeks left before the U.S.-Korea tariff negotiation deadline, South Korea’s chief trade negotiator, Yeo Han-koo, warned on July 14 that the country is facing "an unprecedented level of uncertainty," urging preparation for the worst-case scenario.

Speaking to reporters at the Government Complex Sejong, Yeo pointed to Washington’s sudden imposition of 30% retaliatory tariffs on the EU and Mexico over the weekend — despite both sides appearing close to a deal — as a reason for heightened caution.

“It’s extremely difficult to predict the outcome of the negotiations,” Yeo said. “With only around 20 days left before the tariff suspension expires, we plan to return to the U.S. later this month with a proposal that can lead to a substantial agreement.”

Yeo noted that semiconductors could also become a U.S. tariff target, citing ongoing speculation. “Korea and the U.S. need to discuss not only current tariffs but also potential future ones,” he said. The U.S. Department of Commerce recently launched a probe into semiconductor imports, raising concerns that new duties may follow.

On agricultural products — another sensitive area — Yeo said, “There is no such thing as a painless agricultural negotiation for any country,” but added that “some past cases saw enhanced industrial competitiveness afterward, so we must approach this strategically.”

Regarding the Alaska LNG (liquefied natural gas) project, which has drawn U.S. interest, Yeo said, “There may be long-term economic potential, but more data is needed to assess its commercial viability. The U.S. also understands that it’s too early to make any legally binding commitments.”

Nevertheless, Yeo emphasized that the new administration has made “real progress with U.S. market partners in just over a month” and added, “It’s fair to say that the real game starts now.”