Professor Publishes Expert Analysis on U.S.–Korea Trade Relations

Dr. Sunhyung Lee, Assistant Professor of Economics, recently authored a policy analysis for the Korea Economic Institute of America (KEI) examining the economic and geopolitical implications of new U.S. tariff threats toward South Korea. The article, published in July 2025, follows President Donald Trump’s announcement of a potential 25 percent tariff on all Korean imports unless a new trade deal is reached by August 1.

In his piece, Dr. Lee assesses how these proposed tariffs could reshape Korea’s investment strategy, particularly by encouraging Korean firms to expand manufacturing operations in the United States as a means of avoiding punitive trade measures. He also explores the political dimensions of the tariff proposal, highlighting how it may serve as leverage to secure investment commitments in key U.S. states ahead of the upcoming election cycle.

The article concludes with actionable policy recommendations for Korean firms, including strategies for strengthening economic ties with U.S. state and local governments, leveraging investment announcements for political goodwill, and mitigating risk through proactive engagement. Dr. Lee’s research underscores the complex intersection of trade, politics, and corporate strategy in shaping international economic relations.