A major South Korean business organization warned that domestic companies could be unexpectedly impacted by the flow of U.S. trade protectionism against China.

In a report on Tuesday, the Korea International Trade Association's(KITA) Institute for International Trade listed policies and campaign pledges put forth by the Democratic and Republican nominees ahead of the U.S. presidential election in November.

Along with enhancement of export controls, the Biden administration has introduced protectionist policies concerning America's strategic industries, such as steel, aluminum, automobile, battery and solar energy.

Republican nominee and former President Donald Trump has pledged strong measures, including a ten-percent universal tariff and a 60-percent duty toward China.

Noting how the U.S. has mentioned South Korea as a destination of China's circumvention of exports, the report said should Seoul be ruled as such, local firms could be slapped with high rates of anti-dumping and countervailing duties in their exports to the U.S.