South Korea to brief lawmakers on US investment package amid profitability concerns
Seoul is set to inform lawmakers on Tuesday about a $350 billion US investment package, a crucial stage in finalizing the implementation of a trade deal that reduced US tariffs on South Korean goods to 15%. The Industry Ministry's briefing to the National Assembly's trade committee was delayed last week to address differences between US and South Korean demands.
The meeting is slated for 9:30 a.m. (0030 GMT) on Tuesday. The commitment, agreed upon in a trade agreement last year, includes $150 billion earmarked for shipbuilding and additional $200 billion in strategic investments, with details yet to be finalized. Projects under discussion encompass a $22.3 billion, 6.3-gigawatt gas-fired power plant in Texas, as well as the potential construction of up to eight large nuclear reactors in the United States, and a minority stake in the US nuclear firm Westinghouse.
President Lee Jae Myung expressed concerns over commercial viability during recent negotiations, noting that investors sought commercially reasonable terms, including profit-sharing and handling of losses from unprofitable projects. Opposition lawmakers have called for greater parliamentary oversight, warning Seoul may face disproportionate financial risks.
The delay in the trade deal's implementation could lead to renewed friction with Washington, where US President Donald Trump had threatened higher tariffs over the pace of agreement implementation. President Lee attended the UN General Assembly in New York on Monday to meet with Trump and other world leaders.
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