The presidential office on Wednesday convened an emergency meeting to discuss the possible impact on South Korean companies from new tariffs that U.S. President-elect Donald Trump plans to slap on key U.S. trading partners. 

Participants of the meeting, chaired by Director of National Policy Sung Tae-yoon, discussed the possible ramifications of Trump’s plan to impose a 25 percent tariff on imports from Canada and Mexico and to charge China an additional ten percent tariff on day one in office. 

Officials of the top office assessed that South Korean companies that export goods to such countries or make products by importing parts from the three countries will inevitably be affected and vowed to take necessary measures. 

They also estimated that South Korean semiconductors, steel and auto companies operating in China would see limited impact from the new U.S. tariffs given that their production is mainly for domestic use. 

However, the participants said in the event China’s exports to the U.S. decline, South Korea’s exports of intermediate goods could take a hit and lead to heated competition in a third country.

Sung said every time the U.S. unveils a policy, the government should preemptively review and shore up response measures based on possible scenarios and devise, in advance, ways to improve negotiations instead of coming up with countermeasures after the fact.