Korea Economic Intelligence (KEI) has reported that South Korea “faces a consequential decision regarding its USD 350 billion investment memorandum of understanding (MOU) with the United States.” Like other countries which pledged investments in the U.S. in exchange for minor concessions on Trump’s wild unilateral tariffs, the fact that the US Supreme Court has cancelled the tariffs has led them to consider cancelling their agreements. Trump is still threatening new tariffs if the deal is not maintained.
The deal with South Korea has Washington selecting investment projects while Seoul provides the funding. “The MOU recognizes Korean investment commitments in sectors that help advance U.S. economic and national security interests, including energy, semiconductors, pharmaceuticals, critical minerals, AI, and quantum computing. Shipbuilding is in this group as well and is slated to receive USD 150 billion from the USD 350 billion package.”
