Seoul: South Korea experienced the most significant increase in tariffs on its exports to the United States among major U.S. trading partners in the second quarter of 2025, driven by the recent changes in Washington's trade policy.
According to Bahrain News Agency, a report released by the Korea Chamber of Commerce and Industry (KCCI) revealed that tariffs on South Korean exports to the U.S. surged 47-fold during the April-June period compared to the fourth quarter of 2024, prior to the commencement of the Donald Trump administration. This increase significantly surpassed the tariff hikes experienced by Canada and Mexico, which saw 19.5-fold and 17.8-fold increases, respectively, during the same timeframe.
In terms of tariff volume, South Korea ranked sixth with $3.3 billion paid in the second quarter alone. Previously, South Korea benefited from zero tariffs on most products under its bilateral free trade agreement with the U.S. However, the Trump administration implemented a universal tariff of 10 percent, along with additional tariffs on key items such as automobiles and steel.
Automobiles and related parts were particularly affected, accounting for $1.9 billion, or 57.5 percent, of South Korea's tariff burden on exports to the U.S. Washington had introduced 25 percent tariffs on automobiles and parts in April and May.
The effective tariff rate, defined as the customs duty relative to exports, was 10 percent for South Korea in the second quarter, placing it third after China's 39.5 percent and Japan's 12.5 percent.