APEC summit crucial for breaking tariff stalemate with US

Korea must view the upcoming Asia-Pacific Economic Cooperation (APEC) Economic Leaders’ Meeting as a crucial opportunity to break the current trade impasse with the United States, experts and industry officials said. Korea wants to reach an official settlement with the world’s largest economy, as the two countries have achieved little progress in finalizing the details of their July 30 tariff deal. On Sept. 25 (local time), U.S. President Donald Trump demanded that Korea make its $350 billion investment in the U.S. in cash, underscoring that the payment should be made “up front.” Korea cannot realistically accept those terms, as the nation’s foreign exchange reserves sit at some $416 billion as of the end of August. If Korea spends more than 80 percent of its reserves on U.S. investments, it will deal a severe blow to the nation’s capital and foreign exchange market. Given Trump’s outwardly provocative rhetoric, chances appear slim for Korea to narrow the lingering difference anytime soon, so the strategic importance of the APEC summit is growing larger. The event runs for t