Trade
Trump’s New Tariff on China Would Batter South Korean Exports, Central Bank Report Says
- Trump reported to be considering 60% tariffs on Chinese goods
- South Korea sandwiched between US and China in trade tensions
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The negative impact on South Korea’s exports to China stemming from fresh tariffs Donald Trump has reportedly proposed imposing on Beijing would be at least twice as large as the effect from the previous US-China trade war, according to a central bank study.
As a major supplier of intermediate goods to China, South Korea would suffer a 7% drop in exports to the world’s second-largest economy due to the proposed 60% duties on Chinese goods, with a similar hit to related production, compared with an impact of about 3% in 2018, Bank of Korea researchers said Monday in a report.