Just before the August 1 deadline imposed by the Trump administration, the U.S. reached an agreement with South Korea that sets import tariffs at 15 percent.

The agreement comes after other American allies, like Japan, clinched their own deals, partly to moderate President Trump’s tariff threats.

The deal, announced by Donald Trump, came after South Korean officials met with the US president on Wednesday, sparing one of the world’s biggest exporters from a 25 per cent tariff just a day before sweeping American levies on other countries were set to take effect.