Seoul, South Korea – For many South Koreans, the United States has historically been viewed as a paragon of culture and a steady ally. However, this sentiment is rapidly changing as President Donald Trump’s aggressive trade policies threaten to sour relations between the two nations.
Among those feeling this shift is Sydney Sim, a 38-year-old engineer residing near Seoul. Sim recalls his excitement when he was given a chance to visit the US on business several years ago. However, as Trump prepares to impose a 25 percent tariff on South Korea effective August 1, Sim now feels betrayed.
“If they used to be a country that was known to be a leader in culture, the economy and the perception of being ‘good,’ I feel like the US is now a threat to geopolitical balance,” Sim expressed in an interview with Al Jazeera.
The relationship between South Korea and the US has been historically strong, marked by deep alliances that include hosting approximately 28,000 US troops stationed in South Korea as a deterrent against North Korea’s aggression. The sizable South Korean diaspora in the US further underscores this bond.
However, Trump’s “America First” agenda has put this relationship under severe strain. According to a Pew Research Center study released earlier this month, only 61 percent of South Koreans view the US favorably, a significant drop from 77 percent in 2024.
As South Korea braces for potential economic turmoil due to Trump’s proposed tariffs, the stakes are high. The country substantially relies on exports, which account for over 40 percent of its gross domestic product (GDP). Failure to negotiate a trade agreement by the impending deadline could result in severe economic disruption.
In the wake of Trump’s tariff threats, South Korean President Lee Jae-Myung received a direct letter outlining the administration’s position. Trump has claimed that South Korea contributes “very little” towards the maintenance costs of US Forces Korea (USFK), prompting speculation regarding increased demands for South Korea to up its national defense spending.
Following Trump’s assertion that South Korea “wants to make a deal right now,” Seoul’s chief trade envoy indicated that a preliminary agreement might now be achievable before the deadline. However, the uncertainty stemming from Trump’s mercurial trade stances has cultivated growing resentment among South Koreans.
Kim Hyunju, a customer service agent in Seoul, voiced her frustrations, stating that while her industry may not be directly affected by tariffs, Trump’s policies appear unjust. “It would only be fair if they are OK with us raising our tariffs to the same level as well,” Kim noted, articulating a shift in her perspective toward the US.
The sentiment for fairness was echoed by investment strategist Kim Chang-chul, who acknowledged the burdens imposed by US tariffs on South Korean enterprises. Nevertheless, he also recognized that such policies might reflect a broader strategic calculus by the US, pushing South Korea towards greater involvement in its energy ambitions, particularly regarding liquefied natural gas (LNG).
Discussions earlier this year confirmed that the US is seeking to enhance its LNG exports to a country that heavily relies on imports. Despite the complexities present, Kim Chang-chul pointed out that these trade discussions signify a form of geopolitical realignment.
However, the ramifications of Trump’s tariffs are becoming evident even before their implementation. Preliminary data from the Korea Customs Service reveals a 2.2 percent dip in South Korea’s exports during the first 20 days of July compared to the prior year, suggesting negative trends in trade performance.
Industries like automotive, steel, semiconductor, and pharmaceuticals are among the hardest hit. Kim Sung-hyeok, head of research at the Korean Confederation of Trade Unions (KCTU) Labour Institute, indicated that production orders have subsequently declined due to reduced exports in these sectors. “Some automotive and steel production lines have closed temporarily, while other manufacturing sites have closed altogether,” cited Kim.
Kim elaborated that small businesses are particularly vulnerable, as they lack the capacity to “move their manufacturing plants to the US,” or diversify their trade routes effectively. The subsequent decline in exports from major companies creates a domino effect that jeopardizes small businesses, potentially exacerbating employment issues across the board.
The Korea Development Institute has indicated a stark forecast, predicting only 90,000 new jobs in South Korea this year compared to 160,000 the previous year, a reflection of the broader economic uncertainties at play.
Historically, US-South Korea relations have faced tense periods. A notable incident occurred in 2002 when a US Army vehicle struck and killed two South Korean middle-school girls, a tragedy that ignited massive anti-US sentiment in the country. Additionally, 2008 saw national protests erupt when South Korea decided to allow the importation of US beef amidst public health concerns.
More recently, President Lee Jae-Myung has emphasized the necessity of fostering positive relations with China, a rival to US interests. Commentary from the Korea Institute for International Economic Policy (KIEP) has identified a concerning trend, describing the evolving US-South Korea partnership as one where economic interests often overshadow traditional alliances.
Keum Hye-yoon of KIEP articulated that the current US stance can be seen as a pivot towards prioritizing the economic cooperation of allied nations in service of broader geopolitical strategies.
Facing such complexities, experts suggest that South Korea must consider diversifying its export markets to diminish reliance on the US, while also collaborating more closely with other nations like EU members, Japan, and Canada to devise collective responses to these growing challenges.
As the month of August approaches, the apprehensions surrounding Trump’s trade policies highlight significant shifts in the perceptions of the US among South Koreans. What was once seen as a steadfast alliance now appears fraught with uncertainties that could reshape the region’s economic landscape for years to come.
image source from:aljazeera