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US expert stresses need for proper preparation against Trump's impromptu trade demands

US expert stresses need for proper preparation against Trump's impromptu trade demands

Korea Herald17-07-2025
A US expert stressed the need Wednesday for President Lee Jae Myung to make proper preparation for the possibility that US President Donald Trump could make impromptu demands should the leaders engage in phone talks on US tariffs and other trade issues.
Wendy Cutler, vice president of the Asia Society Policy Institute and former negotiator of the South Korea-US free trade agreement, made the remarks, warning that absent sufficient preparation, Seoul could wind up with a deal that is counterproductive to its interests.
Her remarks came as Seoul has been striving to reach a deal with Washington to avoid the Trump administration's proposed 25 percent "reciprocal" tariffs and other duties on steel, aluminum and automobiles, before Aug. 1 when the reciprocal tariffs would take effect if the two sides fail to reach a deal.
"If (the leaders) are talking about closing a deal, I can't emphasize how important proper preparation is because if you get on the phone with our president, he may make new demands," she said in a podcast hosted by the Washington-based Center for Strategic and International Studies.
"If your leader is not fully briefed or willing to push back, then you may end up with a deal that is even more counterproductive to your national interests. So my counsel -- not only for Korea, but for any new foreign government -- (is) just make sure that if there is a leader-to-leader call, proper preparation becomes a priority," she added.
Cutler went on to say, "Another risk is ...Let's just say you push back, and then Trump could get off the phone and say, 'Well, you know what? That 20 percent tariff wasn't high enough. It's now 40 percent.'"
She, however, underlined the importance of a top-level engagement.
"From a relationship point of view, there is nothing more important for Korea right now, for its new president to meet with our president," she said.
Noting that the new Korean government might face coordination difficulties given its diverse ministries linked to trade affairs, Cutler said that "the clock is not working in Korea's favor right now."
In particular, she assumed that while Korea's Ministry of Trade, Industry and Energy has undertaken an internal coordinating role for trade negotiations with the US, it faces more challenges than when the foreign ministry took that role decades ago.
"Ministries like the agriculture ministry and others ... They are not just going to do what MOTIE wants," she said.
"I think Blue House oversight is really needed here as well if this thing is going to be headed in the right direction," she added, referring to South Korea's presidential office.
The expert warned that if too many newly appointed Korean ministers come to Washington, it could hinder trade talks.
"That runs a risk as well because if you have too many channels and too many cooks, then it just is harder to corral everything together," she said.
Cutler did not rule out the possibility that Seoul and Washington reach a broad-brush "framework" deal before the Aug. 1 deadline.
"I think it's like a very heavy lift given the clock, but I don't rule it out," she said, pointing to a range of issues involved in the trade talks between Seoul and Washington. (Yonhap)
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