South Korea, US reach trade deal at Trump-Lee summit from tariffs to investment
Under the deal, Washington will maintain 15 per cent tariffs on South Korean goods while Seoul will invest US$350 billion in the US
“We reached a deal. We did a lot of different things. Great session,” Trump said.
They agreed on “cutting tariffs on automobiles and auto parts to 15 per cent”, down from 25 per cent, Kim said, adding that “South Korea’s financial investment package for the United States, worth US$350 billion, consists of US$200 billion in cash investment and US$150 billion in shipbuilding cooperation”.
Kim said the investments would be “made in accordance with progress in projects and within an annual limit of US$20 billion, minimising any impact on the market”.
The US$20 billion would be mostly raised through interest payments and dividends on the country’s foreign exchange reserves to avoid affecting the capital market, he added.
