South Korea’s Lee Warns US Tariff Deal Uncertain Ahead of 8 July Deadline

South Korean President Lee Jae-myung said on Thursday that talks with Washington aimed at preventing new U.S. import duties remain “very difficult” and he could not promise an agreement before the 8 July deadline. Speaking at his first press conference since taking office on 4 June, Lee added that the two sides are still unclear about each other’s demands but vowed to keep pushing for a “mutually beneficial” outcome.

Lee positioned the negotiations within a broader “practical, national-interest” diplomacy that maintains the U.S. alliance while simultaneously accelerating efforts to repair ties with China and Russia and to deepen cooperation with Japan on issues such as North Korea’s weapons programmes.

Calling a complete halt to engagement with Pyongyang “foolish,” the president confirmed that Seoul has suspended border loudspeaker propaganda broadcasts and will pursue further measures to reduce tensions. He argued that easing military risks is essential to a “virtuous cycle of peace and economic growth.”

On the domestic front, Lee pledged an expansionary fiscal stance to revive an economy shaken by last year’s martial-law crisis. His administration has sent a 14.7-trillion-won ($10.6 billion) supplementary budget to parliament and is preparing initiatives to foster advanced manufacturing, renewable energy and capital-market reform as part of a longer-term goal to lift the benchmark KOSPI index toward 5,000.