U.S. and South Korea in Strategic Trade Talks Amid Rising Chinese Influence

The U.S. is urging South Korea to join its efforts to limit China's expanding influence in the shipbuilding sector during trade discussions. The U.S. seeks bilateral cooperation but requires Seoul to curb China in other areas as a precondition. Concerns also arise over potential tariff negotiations.

The United States has called on South Korea to join its initiative to curb China's growing influence in the shipbuilding industry during recent trade talks, according to a senior South Korean trade official. This move signifies a strategic push to counteract China's market dominance.

As trade negotiations progress, the U.S. has made clear that cooperation with South Korea in the shipbuilding sector hinges on Seoul's willingness to impose restrictions on China in other areas. Trade Policy Director Chang Sung-gil has stressed the urgency felt by the U.S. concerning China's expanding market share.

The discussions have also touched upon the sensitive topics of tariffs and reciprocal trade agreements. The U.S. has expressed hesitancy about reducing industry-specific tariffs, urging South Korea to increase its investments in U.S. energy and agricultural products while negotiating reciprocal terms for tariffs, which have faced political resistance in South Korea.

(With inputs from agencies.)