US President Donald Trump has sharply escalated trade tensions with one of Washington’s closest Asian allies by announcing a sudden increase in tariffs on key South Korean exports, accusing Seoul of reneging on commitments under what he described as a “historic” trade and investment agreement. The move, unveiled on January 26 via Trump’s Truth Social platform, raises duties on major South Korean products-including automobiles, lumber, and pharmaceuticals-from 15 percent to 25 percent, marking a significant reversal of the partial tariff relief granted last year.

The decision has sent shockwaves through financial markets and diplomatic circles, as it targets a strategic partner at a time of heightened geopolitical uncertainty in East Asia. Trump directly blamed South Korea’s National Assembly for failing to ratify the agreement, which he said had been finalized with South Korean President Lee Jae Myung in October 2025.

“President Lee and I reached a Great Deal for both Countries… Why hasn’t the Korean Legislature approved it?” Trump wrote, framing the tariff hike as a necessary response to what he characterized as Seoul’s inaction. According to the US president, Washington had already moved swiftly to reduce its tariffs as part of the bargain, while South Korea had yet to deliver on its end of the deal.

The roots of the current dispute lie in a trade framework first announced in July 2025, during Trump’s second term. Under the proposed agreement, the United States would lower tariffs on a range of South Korean goods from 25 percent to 15 percent, easing pressure on industries such as automobiles and electronics that are heavily dependent on the US market. In return, South Korea was expected to make substantial concessions, most notably a pledge to invest........

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