President Trump and South Korean President Lee Jae Myung finalized their $350 Billion trade deal during a summit in South Korea on Wednesday, securing one of the largest investment commitments ever between the two allies.
The agreement, first announced in July, spares South Korea from the harshest U.S. tariffs by committing $350 billion in new investments into the American economy in exchange for reduced tariff rates. Under the finalized terms, Seoul will contribute $200 billion in cash through annual installments capped at $20 billion, while the remaining $150 billion will go toward shipbuilding projects aimed at revitalizing U.S. manufacturing.
According to Lee’s aides, both sides agreed to divide profits evenly until the initial investments are recouped and to pursue only commercially viable projects. U.S. Commerce Secretary Howard Lutnick will lead a joint investment committee to evaluate and approve potential ventures.
Trump was welcomed with full ceremony in Gyeongju, the historic host city of this year’s Asia-Pacific Economic Cooperation forum. In a rare honor, President Lee presented Trump with a gold crown and the Grand Order of Mugunghwa, South Korea’s highest civilian award, and the first time it has ever been bestowed upon an American president.
