Trump may impose new tariffs this week as South Korea cites 15% cap
With the U.S. 10% temporary import tariff nearing its Section 122 expiry, Seoul says any added duty under Section 301 or other tools should stay within the bilateral 15% ceiling.
Multiple primary sources confirm the claim's core elements. The PBS and FT reports establish that the USTR plans Section 301 tariffs of 10-12.5% on roughly 60 economies (dozens of countries) to be finalized before the temporary global 10% tariff expires July 24, 2026. Reuters confirms Section 301 investigations concluding around July 24. CNBC confirms the 15% South Korea tariff cap from the July trade deal that markets are watching. The newsflash accurately characterizes reported plans and market concerns; the phrasing 'may impose' correctly reflects the still-pending, conditional nature of the measures.
President Trump is preparing to revise the legal basis for U.S. tariffs this week as the temporary 10% duty on nearly all imports approaches the end of its 150-day limit under Section 122 of the Trade Act. Markets and trading partners are watching whether Washington shifts to country-specific tariffs, potentially using Section 301 or other rarely used legal provisions. South Korea said the United States Trade Representative had put it on a list for an additional 12.5% tariff tied to concerns about inadequate import bans related to forced labor, but Seoul believes any new U.S. action would remain within the 15% ceiling under the South Korea-U.S. trade agreement. The move could reopen a period of trade uncertainty for businesses, with potential effects on import costs, supply chains, inflation expectations and broader risk sentiment.
- Section 301: A U.S. trade law provision that allows Washington to impose tariffs in response to what it considers unfair trade practices or other trade-related concerns involving specific countries.
- Section 122: A Trade Act provision that allows the United States to impose temporary tariffs for up to 150 days.
- forced labor: Labor extracted under coercion, a practice that can trigger import restrictions and trade enforcement measures.