Major South Korean companies have been hit by anti-dumping tariffs worth up to $1.61 billion from the U.S. government since the free trade agreement between the two countries went into effect in March 2012, according to government data.

According to data submitted by the Ministry of Trade, Industry and Energy to Rep. Song Young-gil of the Minjoo Party on Sunday, the U.S. government has imposed anti-dumping tariffs on eight Korean export items, including washing machines (three types), OCTGs (oil country tubular goods, three types) and colored steel plates until August of this year since the Korea-U.S. free trade pact became effective. The anti-tariff imposition amounted to a minimum of $456.73 million and a maximum of $1.61 billion. These figures are based on exports to the US multiplied by minimum and maximum anti-dumping rates.

In contrast, Korea imposed anti-dumping tariffs on only one type of ethanol amine products imported from the U.S. in the same period and the amount was a mere $1.09 million. The two signed a trade pact for the purpose of mutual prosperity, but the U.S. imposed more anti-dumping tariffs than Korea did on U.S. exporters by 1,476 times on a maximum amount basis, according to the data analysis. The U.S. is said to be currently reviewing another anti-dumping imposition on Korean products in 21 cases that include steel products in 18 cases, electric and electronic products in two cases and textile products in one case, suggesting the damages would further rise.

Rep. Song said many countries are strengthening protective trade measures amid a protracted economic recession and anti-dumping tariffs on Korean products, which are virtually retaliatory tariffs, are rising sharply, urging the Korean government to come up with a countermeasure.

“In particular, as the two U.S. presidential candidates are vowing to seek protectionism as election pledges, the U.S. may call for renegotiations of the FTA by either of whom wins the election,” the lawmaker argued.

By Ko Jae-man and Chung Seok-hwan

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