South Korean lawmakers approve $350 billion US deal
South Korean lawmakers on Thursday passed a law to implement a pledge of $350 billion in US investments Seoul made last year to avoid the Trump administration’s highest tariffs. Government officials had urged lawmakers to quickly pass the contested bill, submitted in November, as uncertainty mounts for the country’s trade-dependent economy, already rattled by President Donald Trump’s protectionist swing and now fearing the fallout from his war on Iran. The bill’s passage came hours after the Trump administration increased pressure on trade partners by opening a new investigation into manufacturing in foreign countries, including China and US allies South Korea and Japan, which could result in new import taxes if US officials see their practices as unfair. Trump and his team have made clear they’re seeking to use new tariffs to recoup lost revenue after the US Supreme Court invalidated his sweeping tariffs issued with emergency powers.
The South Korean law, which passed 226 to 8, calls for establishing a public corporation to manage the promised U.S. investments, including reviewing and selecting projects based on input from South Korean and US trade authorities.
Some lawmakers spoke against the bill ahead of the vote, expressing frustration over Trump’s new trade investigations and the potential impact of the war in the Middle East.
