U.S. Announces Retroactive Application of Korea Trade Deal

Dec. 4, 2025
By: Hannah B. Kreinik

The Trump Administration announced the U.S.-South Korea trade deal back in July and published a fact sheet last month (and we wrote about it here). The Secretary of Commerce and United States Trade Representative updated the implementation of the deal in a Federal Register publication this week. Following discussions between the U.S. Trade Representative and Secretary of Commerce, with input from other Federal agencies, the U.S. Harmonized Tariff System (HTSUS) will be updated to include tariff provisions to implement the U.S.-ROK trade deal.

The tariff provisions related to automobiles and auto parts are effective retroactively to November 1^st, and the remaining U.S.-ROK tariff provisions apply retroactively to November 14^th. Importers of goods subject to the deal who made entry between November 1 and the publication date will need to have their entries modified to seek refunds of any overpaid Korean duties.

Under the deal, goods from Korea with an HTSUS General column 1 rate of duty equal to or over 15% will be subject to the duty rate provided in the subheading, while column 1 rates of lower than 15% will be subject to a 15% rate. This is in keeping with the treatment that the EU and Japan negotiated. In addition, the notice impacts the 232 treatment of some Korean automobiles, auto parts, timber, lumber, and wood derivatives. Under the trade deal, Korean civil aircraft and parts falling under the WTO agreement on Trade in Civil Aircraft (not including unmanned aircraft) will not be subject to additional IEEPA reciprocal, Section 232 steel, aluminum, or copper duties.

To read more about other country and region-specific trade deals please see our articles on the deals here, here, and here. Barnes, Richardson & Colburn attorneys are prepared to help your company navigate these different trade deals for your products.