South Korea is racing to finalize a trade agreement with the U.S. before August 1, when tariffs on Korean exports could rise to 25%. Seoul aims to secure terms at least as favorable as Japan’s recent 15% tariff cap. Key issues include shipbuilding cooperation, while sensitive topics like beef and rice imports are off the table. Despite strong export growth in tech sectors, failure to reach a deal risks heavy tariffs on 44% of South Korea’s GDP from exports.

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