Acting President Choi Sang-mok said on Tuesday that U.S. President Donald Trump’s “reciprocal tariffs” threaten to undermine South Korean exports and destabilize global trade, warning that Washington’s protectionist turn could escalate into broader economic and security tensions. Speaking at a Cabinet meeting, Choi said the government would respond “cool-headedly and flexibly” to Trump’s plan to impose reciprocal tariffs starting April 2, which could hit key South Korean sectors including semiconductors, automobiles and batteries. He confirmed that South Korea will launch a working-level consultative body with the U.S. to negotiate tariff exemptions and strengthen cooperation in shipbuilding and energy.

Choi also highlighted growing geopolitical uncertainty as U.S.-Europe divisions deepen and European nations increase defense spending. He said South Korea’s defense industry stands to benefit from Europe’s rearmament push, calling it a “window of opportunity” for ROK defense firms. He warned that peace talks between Ukraine and Russia could trigger competition for reconstruction contracts, urging government agencies to support South Korean companies in securing new growth opportunities. Choi emphasized that the government would prioritize national interests while seeking mutually beneficial agreements with Washington.