On September 10, as reported by the Wall Street Journal, the South Korean government is poised to announce a significant energy investment initiative in the United States aimed at fostering AI development. This move represents a pivotal stride forward from the trade agreement inked between Washington and Seoul the previous year. The investment package is said to exceed $100 billion, with South Korea earmarking funds for the construction of up to eight nuclear power facilities and a natural gas venture.
In October of the preceding year, Trump and Lee Jae-myung struck a deal to slash most U.S. tariffs on South Korea's automotive sector from 25% to 15%. In exchange, South Korea pledged to invest $350 billion in the U.S. and to procure an extra $100 billion worth of U.S. energy resources. Earlier, the absence of tangible project progress had fueled discontent among U.S. authorities, prompting Trump to threaten a tariff hike once more in January. At present, the two nations are on the verge of finalizing two agreements, which might be disclosed as soon as next week. However, specifics regarding the investments and the exact timing of the announcement are still subject to modification.
