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What will the effective US tariff rate on goods being imported into the United States be at the end of 2026?

President Donald Trump announced on Monday that he is increasing tariffs on South Korean imports from 15 percent to 25 percent. The tariff hike applies to automobiles, lumber, pharmaceutical products and other goods covered under reciprocal tariffs.

President Donald Trump announced on Monday that he is increasing tariffs on South Korean imports from 15 percent to 25 percent. The tariff hike applies to automobiles, lumber, pharmaceutical products and other goods covered under reciprocal tariffs.

Trump stated that South Korea's legislature has not enacted a trade agreement that was reached on July 30, 2025, and reaffirmed during his visit to South Korea on October 29, 2025. The deal included a commitment from Seoul to invest $350 billion in U.S. strategic sectors.

Trump stated that South Korea's legislature has not enacted a trade agreement that was reached on July 30, 2025, and reaffirmed during his visit to South Korea on October 29, 2025. The deal included a commitment from Seoul to invest $350 billion in U.S. strategic sectors.

Under the October agreement, Washington had reduced tariffs on South Korean goods to 15 percent from 25 percent. The deal brought U.S. tariffs on South Korean cars down from the 25 percent level, putting them on par with Japanese competitors.

Under the October agreement, Washington had reduced tariffs on South Korean goods to 15 percent from 25 percent. The deal brought U.S. tariffs on South Korean cars down from the 25 percent level, putting them on par with Japanese competitors.

South Korea's presidential office stated that it had not received official notification about the tariff increase from the U.S. government as of Monday night. Trade Minister Kim Jung-kwan was scheduled to travel to the U.S. to hold talks with Commerce Secretary Howard Lutnick.

South Korea's presidential office stated that it had not received official notification about the tariff increase from the U.S. government as of Monday night. Trade Minister Kim Jung-kwan was scheduled to travel to the U.S. to hold talks with Commerce Secretary Howard Lutnick.

The auto industry accounts for 27 percent of South Korea's exports to the United States, which takes in nearly half of the country's car exports. Auto exports to the U.S. stood at $30.2 billion in 2025, accounting for 25 percent of total U.S. shipments.

The auto industry accounts for 27 percent of South Korea's exports to the United States, which takes in nearly half of the country's car exports. Auto exports to the U.S. stood at $30.2 billion in 2025, accounting for 25 percent of total U.S. shipments.

Shares of South Korean automakers Hyundai and Kia fell as much as 6 percent in early trading Tuesday before regaining some losses. South Korea's benchmark KOSPI index fell 0.7 percent in early trade on Tuesday while the won weakened 0.5 percent against the dollar.

Shares of South Korean automakers Hyundai and Kia fell as much as 6 percent in early trading Tuesday before regaining some losses. South Korea's benchmark KOSPI index fell 0.7 percent in early trade on Tuesday while the won weakened 0.5 percent against the dollar.

Trump Hikes South Korea Tariffs to 25% on Trade Deal Delay

Trump Hikes South Korea Tariffs to 25% on Trade Deal Delay

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Trump Hikes South Korea Tariffs to 25% on Trade Deal Delay

Trump Hikes South Korea Tariffs to 25% on Trade Deal Delay

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