FX.co ★ South Korean Won Pressured Ahead of Trade Talks

The South Korean won remained steady at approximately 1,428 against the dollar, reflecting market caution in anticipation of forthcoming trade discussions involving the US and significant partners like South Korea. Next week, Finance Minister Choi Sang-mok is set to meet US Treasury Secretary Scott Bessent to discuss trade issues, focusing on the new US import tariffs. Concurrently, Trade Minister Cheong In-kyo has highlighted South Korea’s intention to enhance collaboration with the US in sectors such as shipbuilding and energy, viewing these as strategic tools during the 90-day grace period. Nonetheless, there are ongoing concerns as the Trump administration strives to persuade over 70 countries to curtail their relations with China and has initiated an investigation into imposing new tariffs on vital mineral imports, thereby intensifying trade frictions. In contrast, the won received some support as South Korea experienced a decline in import prices for the second month in a row in March, leading to speculation that the Bank of Korea might halt its series of rate cuts come April.