President Donald Trump says the US will charge a 15% tariff on imports from South Korea as part of an agreement with the Asian trading partner that avoids even higher levies.
"I am pleased to announce that the United States of America has agreed to a Full and Complete Trade Deal with the Republic of Korea," he said on the Truth Social platform on Wednesday.
South Korean President Lee Jae Myung said the deal would put his country on an equal or better footing compared with other countries.
The announcement comes just a day before a 1 August deadline for countries to reach agreements with the US or be hit with higher tariffs. South Korea had been facing a 25% levy if it had not struck a deal.
As part of the arrangement, South Korea would invest $350bn (£264.1bn) in the US for projects selected by Trump and buy $100bn of liquefied natural gas and other energy products, Trump said.
