On Monday, a senior South Korean official ruled out the possibility of a deal being reached with the United States before the presidential elections in the Asian nation on June 3. He also noted that reaching an agreement even by early July would be difficult.

Seoul's delegation in Washington announced that the countries had agreed last week to create a package of trade measures aimed at removing U.S. new tariffs, before a pause on reciprocal tariffs ends on July 8.

Analysts noted that it might be difficult for South Korea, which currently has an acting President in power, to commit to large energy projects and defense costs.

South Korea will hold an election in the short term on June 3, after the former president Yoon Suk Yeol has been ousted from office for his role in briefly imposing martial laws in December.

Park Sung Taek, Vice-Minister of Trade, Industry and Energy, said to reporters that it is "theoretically" impossible for the two nations to agree on a comprehensive package of trade by late May or early in June.

During our last talks, we fully explained to the U.S. our political situation. The U.S. also recognizes that Korea's unique political situation may be a constraining factor in negotiations.

The United States is prioritizing talks with its key trading partners, including Japan, Korea, and India. Washington is scrambling for a number of trade agreements to be signed before the deadline on July 8.

Park said, "We are all taking uncharted territories."

He said, "I think it will be difficult for the discussions to produce any fruit in the next 70-days despite the expectations of President Trump."

South Korea has said that it has asked for exemptions from tariffs, including those on steel, autos and other items. It also offered to cooperate on issues such as shipbuilding and energy. (Reporting and editing by Ed Davies.)

(source: Reuters)