Bank of Korea Governor Lee Ju-yeol says U.S. protectionist trade policies will decrease South Korean exports to the U.S. by zero-point-three percent this year. 

Lee made the prediction in a report to the National Assembly on Friday. Given similar cases in the past, he said such protectionist measures by Washington could affect the country's exports for three years. 

However, he warned damages to South Korea’s exports can increase further if U.S. measures against imported steel products signed by President Donald Trump take effect, putting pressure on trade partners. 

Regarding an expected key rate hike by the U.S. Federal Reserve, Lee said it will not have a serious impact on the South Korean financial market and economy if pursued gradually in line with market expectation.