Translation:That thing is like that.
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"That's that" in American English means more like "There's nothing more to consider." It is what you say after you discover there is nothing more to research or after you realize "what you see is what you get".
A very slang translation is a way of saying to accept someone or some thing or situation: "It is what it is."
A rose is a rose is a rose, thorns or no thorns.
I might be wrong, but my impression is "저것은 저래요" is the equivalent of "There is that" in English, which means "I go along with that; I agree to what has just been said".
There is also an expression "이건 이렇고 저건 저래요." (This is this and that is that.) which I think means the two matters are totally distinct.
But it needs pointing out that
저거 = 저것 = That [pronoun]
저•거 = 저•것 = that thing [phrasal noun]
I think (but I'm not sure) it's more like since English uses 'that' for both of them and doesn't really make the distinction most of the time, you just have to develop an intuition of different situations and when each of them is used. It might even be that a lot of the time both options are accepted while other times one word is part of a fixed expression.