INTERNATIONAL
South Korea, US still sharply apart on investments under tariff deal, minister says
KIA Motors' vehicles parked at a port in Pyeongtaek, South Korea. - REUTERS
SOUTH Korea and the U.S. remain "sharply" apart on the level of cash investment as part of a $350 billion package pledged by South Korea under a deal to lower U.S. tariffs on the country's exports, South Korea's industry minister said on Friday.
AI Brief
Minister Kim Jung-kwan, who returned early on Friday after talks with U.S. Commerce Secretary Howard Lutnick, told South Korea's parliament the country wants cash to be a smaller component of the deal, while the U.S. is looking for more.
The two security allies and trade partners have wrangled over the details of the investment package reached in July.
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AI Brief
- South Korea and the US are negotiating a US$350 billion investment deal, but disagree on how much should be paid in cash.
- Seoul prefers loans and guarantees to avoid financial instability, while Washington wants more direct equity investment.
- Talks are ongoing with urgency to finalise the deal before the APEC summit, where both leaders will meet.
Minister Kim Jung-kwan, who returned early on Friday after talks with U.S. Commerce Secretary Howard Lutnick, told South Korea's parliament the country wants cash to be a smaller component of the deal, while the U.S. is looking for more.
The two security allies and trade partners have wrangled over the details of the investment package reached in July.