South Korea to push for regional economic bloc membership amid US tariffs

By Anadolu staff

ANKARA (AA) - South Korea said Wednesday it is considering joining a Japan-led multilateral trade pact, as part of efforts to increase economic allies amid US tariffs, according to media reports.

The Industry Ministry said it will reopen a strategic review on joining the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), amid the global rise of "trade protectionism," Yonhap News reported.

The move is aimed at establishing an economic alliance network with like-minded countries and minimizing the effect of the administration of Donald Trump’s sweeping tariff scheme.

The CPTPP is a major Indo-Pacific trade agreement comprising 12 countries, including Japan, Mexico, Australia, Canada, and Vietnam, that together accounted for about 15.2% of global trade in 2019.

In 2022, Seoul decided to push for its entry to the CPTPP, but failed to submit a formal application for membership due to opposition from the agriculture and fisheries sectors, and strained relations with Tokyo.

Earlier in the day, the ministry unveiled a plan to provide up to 570 billion won ($408.8 million) in emergency financial aid this year to help South Korean companies cushion the blow from the 50 percent US tariff on all steel and aluminum imports.

In late July, Washington agreed to impose a 15% tariff on Seoul, down from the initially announced 25%, in exchange for an investment pledge of $350 billion in the US.