'High Tariffs on Steel Maintained'... Pohang City Holds Emergency Meeting with Steel Exporters to the US

On August 6, Pohang City held an emergency meeting in the mid-sized conference room at City Hall to discuss response measures for the steel industry following the conclusion of the Korea-US tariff negotiations.

Pohang City held an emergency meeting on the 6th at City Hall to discuss response measures for the steel industry following the conclusion of the Korea-US tariff negotiations. Photo by Pohang City

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This meeting was convened as a result of the Korea-US tariff negotiation outcome announced on July 31, which maintained the existing high tariff rate of 50% on steel products. As a result, steel companies with a high proportion of exports to the United States are facing increased burdens.

The meeting was attended by representatives from major steel exporters to the United States, including POSCO, Hyundai Steel, Dongkuk Steel, and SeAH Steel, as well as related organizations such as the Pohang Chamber of Commerce and Industry and the Pohang Steel Management Corporation. Participants shared difficulties faced in the export field and exchanged opinions on ways to minimize potential damages.

The participating companies expressed concerns about practical challenges such as weakened price competitiveness due to the continued high tariffs and increased logistics costs. They requested the implementation of practical countermeasures and support from both the government and local authorities.

In response, Pohang City announced its plan to closely cooperate with the central government to actively respond to changes in tariff policy based on the opinions of the companies. The city also stated its commitment to securing fundamental countermeasures at the government level, such as the enactment of a special law to support the steel industry.

Mayor Lee Kangdeok emphasized, "The crisis faced by Pohang's steel companies due to U.S. tariff pressure is a critical issue directly linked to the competitiveness of the national industry," adding, "The government must promptly establish effective measures, such as enacting a special law to support the steel industry."

As a result of the recent Korea-US tariff negotiations, major agreements were reached, including the imposition of 15% reciprocal tariffs on automobiles and other products, the creation of a $350 billion investment fund for the United States, and the purchase of $100 billion worth of U.S. energy. However, the existing high tariffs on certain sensitive items, including steel, remain in place, meaning the burden on the regional steel industry is expected to continue.

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