Seoul: South Korean Prime Minister Kim Min-seok announced that Washington and Seoul are making progress on tariff-related discussions, following a phone conversation with US Vice President JD Vance last month, as reported by local media.

According to Anadolu Agency, Kim's statement comes amid controversies regarding the South Korean government's preparedness in light of US President Donald Trump's recent threat to increase tariffs on South Korea from 15% to 25%. The Seoul-based Yonhap News highlighted that this communication involved not just a direct hotline but also multiple channels to facilitate understanding between both nations.

The unexpected announcement by President Trump on social media led South Korean trade officials to quickly travel to Washington to engage with their US counterparts and address the uncertainties surrounding the tariff situation. Prime Minister Kim emphasized that the issue was linked to President Trump's distinct communication approach.

Kim also dismissed speculations that the tariff threat was connected to South Korea's investigation of a data breach involving Coupang, a US-listed e-commerce company. He clarified that such interpretations do not align with the truth.

In a related development, South Korean stocks experienced a significant drop on Monday, falling more than 5%. The Korean won weakened against the US dollar, with the Korea Composite Stock Price Index decreasing by 274.69 points, closing at 4,949.67.