• South Korea announced a supplemental budget of 12.2 trillion won ($8.6 billion).
• The budget allocates funds for disaster recovery and to support key industries.
• Trade talks with the U.S. are scheduled as tariffs bring challenges to South Korean exports.
• Increased attempts to disguise foreign products as Korean sources to avoid U.S. tariffs detected.

South Korea has introduced a supplemental budget plan worth 12.2 trillion won ($8.6 billion) to support domestic recovery needs amid escalating trade tensions with the United States, as reported by Yonhap News Agency. The budget allocates $2.25 billion for disaster recovery efforts following severe wildfires, and also aims to enhance the resilience of high-tech industries worth $3.1 billion while providing $3 billion to aid household financial pressures.

This new budget comes at a critical time as South Korea's government engages in trade consultations with U.S. officials in Washington to lower the 25% tariff imposed by President Donald Trump. Finance Minister Choi Sang-mok and Trade Minister Ahn Duk-geun aim to discuss solutions during the spring meetings of the IMF and World Bank, underscoring the importance of these talks amidst ongoing tariff challenges.

In tandem with these financial measures, South Korea's customs agency has identified a significant rise in violations intended to evade U.S. tariffs. The Korea Customs Service reported 29.5 billion won ($20.81 million) in country-of-origin violations linked predominantly to goods imported from China that were misrepresented as Korean exports to avoid tariffs, particularly affecting industries subjected to the recent 25% tariff.