by Worthy News Washington D.C. Bureau Staff
GYEONGJU (Worthy News) – U.S. President Donald Trump and South Korean President Lee Jae Myung announced progress toward a long-sought trade pact Wednesday following a high-profile summit in the historic city of Gyeongju, where Trump was awarded South Korea’s highest state honor.
Trump arrived in South Korea on Oct. 29 to a red-carpet welcome and a military band playing “YMCA,” a song often featured at his campaign rallies. The visit, part of his second-term tour across Asia, coincided with a new North Korean cruise missile test—a reminder of the ongoing regional tensions surrounding Pyongyang’s weapons program.
During his meeting with President Lee, Trump said that a bilateral trade deal—months in the making—was now “pretty much finalized.” The South Korean leader later confirmed that negotiators from both nations had completed the drafting of a $350 billion investment and tariff agreement expected to be announced within days.
Lee awarded Trump the Grand Order of Mugunghwa, the nation’s highest order of merit, praising him as “a peacemaker on the Korean Peninsula.” He also presented Trump with a replica of the ancient Cheonmachong gold crown, symbolizing Silla’s historical unity and a “new era of peaceful coexistence and common growth” between Seoul and Washington.
Key Details of the Trade Deal
According to South Korean officials, the agreement would lower tariffs on most U.S.–bound goods from 25% to 15%, while Seoul commits to $350 billion in American investments and $100 billion in U.S. energy purchases.
Of that investment, $200 billion will be delivered through cash installments and $150 billion through joint shipbuilding ventures.
South Korea’s annual investment would be capped at $20 billion, focused on strategic sectors including semiconductors, nuclear energy, and battery technology. Both nations would split profits evenly until Seoul recoups its initial investment.
The agreement would also exempt generic pharmaceuticals and airplane parts manufactured outside the U.S. from tariffs—a concession viewed as key for Korean exporters.
Kim Yong-beom, South Korea’s presidential chief of staff for policy, described the negotiations as “fierce,” saying the final pact provides “more favorable conditions for Korean markets” compared to other nations negotiating similar agreements with Washington.
A formal signing is expected within days, pending approval by South Korea’s National Assembly. Once ratified, the tariff reductions could take effect retroactively starting Nov. 1.
Regional Context
Trump’s visit to Gyeongju, the ancient capital of the Silla Kingdom, also featured bilateral meetings with regional leaders ahead of this week’s Asia-Pacific Economic Cooperation (APEC) summit. He is scheduled to meet Chinese leader Xi Jinping on Thursday.
At an earlier address to APEC business leaders, Trump said the trade deal with Seoul would be finalized “very soon,” while reaffirming his administration’s focus on correcting trade imbalances and boosting U.S. manufacturing.
Trump’s stop in South Korea follows visits to Malaysia and Japan, where he secured rare-earth supply agreements and new investment pledges totaling nearly $500 billion.
Symbolic Diplomacy and Security Ties
In a ceremonial exchange reflecting historic friendship, Lee and Trump toured a local museum before holding a working lunch focused on defense cooperation. The South Korean leader pledged to increase defense spending in alignment with U.S. regional strategy.
Trump, calling the meeting “tremendous,” said the day’s events marked “a new chapter in our economic partnership and peace for the Korean Peninsula.”
Later Wednesday, the two leaders joined counterparts from Vietnam, Australia, New Zealand, Canada, Thailand, and Singapore for a state dinner ahead of the APEC sessions.
Copyright 1999-2025 Worthy News. This article was originally published on Worthy News and was reproduced with permission.
More Worthy News
Australia’s prime minister has visited an injured man who bravely disarmed one of two gunmen held responsible for killing at least 15 people attending Hanukkah celebrations at Sydney’s Bondi Beach, in what authorities have described as a terrorist attack targeting the Jewish community.
Jewish communities worldwide are impacted by one of the deadliest terror attacks against Jews outside Israel in decades, when gunmen opened fire on a Hanukkah celebration in Sydney, killing 15 people, Worthy News established Monday.
Nicaraguan authorities have begun barring tourists from bringing Bibles into the country, a move that signals an intensifying crackdown on religious freedom and independent expression.
The United States has secured commitments from Egypt, Qatar, the United Arab Emirates, the United Kingdom, Italy and Germany to have their leaders join U.S. President Donald Trump on a proposed “Board of Peace” tasked with overseeing the postwar management of Gaza, according to officials familiar with the discussions.
President Donald Trump sharply escalated pressure on Venezuela on Tuesday by designating President Nicolás Maduro’s government a foreign terrorist organization and ordering a “complete and total” blockade of sanctioned oil tankers moving in and out of the country.
A federal appeals court on Wednesday ruled that President Donald Trump may continue deploying National Guard troops in Washington, D.C., at least temporarily, blocking a lower court order that had questioned the legality of the mission.
Newly declassified FBI emails show that bureau officials believed they lacked sufficient evidence to justify the August 2022 raid on then–former President Donald Trump’s Mar-a-Lago residence, raising new questions about the Justice Department’s role in authorizing the unprecedented search.