Washington, 16 September (IANS). The administration of US President Donald Trump will start applying 15 percent tariffs on Japanese automobile this week as per the bilateral trade agreement.
According to the report of the Yonhap news agency, the International Trade Administration under the Department of Commerce said in a notice published on the federal register, “The tariff rate will be applicable from Tuesday. This has been raised by Trump after signing an executive order to officially implement the agreement with Japan earlier this month. ”
Under the agreement, the United States has agreed to reduce the tariff from the current 27.5 percent to 15 percent on the United States Japanese automobile and its parts, including the current 2.5 percent tariff and global region-specific fees 25 percent.
Currently South Korean vehicles are under a tariff of 25 percent, which the Trump administration has implemented under Section 232 of the Business Extension Act of 1962. This is a law that gives the President the right to accommodate imports when he feels that he can damage national security.
The US has also agreed to reduce tariffs on South Korean vehicles to 15 percent under a bilateral trade agreement in July, but is uncertain when the agreement will apply when the agreement will apply.
Upon arriving at the US on Monday, Korea’s trade minister Yeho Han-Koo emphasized Seoul’s continuous efforts to ensure that auto tariff decrease for Korean cars can be implemented as soon as possible.
“We are in the process of dialogue, so we will maintain our restraint,” he told reporters about the plan to meet American trade representative Zamison Greer and other US authorities for further interaction on the July trade agreement, so we will maintain our restraint. “
The US is a major auto export market for South Korea.
Last year, exports to the US in South Korea’s total car exports were $ 34.7 billion or 49.1 percent. Hyundai Motor Group and GM Korea had exported around 9,70,000 and 410,000 units to the US last year respectively.
-IANS
ABM/
