FX.co ★ South Korean Won Falls on Dollar Strength, US Tariff Pressure

The South Korean won dipped to approximately 1,390 per dollar on Tuesday, losing ground after previous gains as the US dollar appreciated in the wake of a significant trade agreement finalized with the European Union. While numerous major economies have already reached agreements with Washington, Seoul is urgently striving to maintain momentum in these negotiations. The aim is to mitigate an impending 25% reciprocal tariff and various sector-focused duties on South Korean exports. As part of its strategy, Seoul has proposed significant investment in the US shipbuilding industry. In response to Japan's recent confirmation of a 15% tariff agreement, there is growing pressure on Seoul to either match or improve upon similar terms. President Donald Trump has issued a warning that nations yet to secure a deal by Friday should anticipate tariffs ranging from 15% to 20%. In the run-up to this deadline, Finance Minister Koo Yun-cheol is scheduled to meet with US Treasury Secretary Scott Bessent in Washington on Thursday, followed by discussions between Foreign Minister Cho Hyun and Secretary of State Marco Rubio.