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Korea Herald
17 hours ago
- Business
- Korea Herald
Allies need to discuss Seoul's defense costs beyond current deal: Joseph Yun
Yun expects Lee-Trump summit 'within a short time' South Korea and the United States need to discuss whether Seoul is paying enough, including costs not currently covered under their existing defense cost-sharing deal, the acting US ambassador to South Korea said Tuesday. Joseph Yun, charge d'affaires ad interim at the US Embassy in Seoul, said the allies should revisit South Korea's financial contributions beyond the scope of the current Special Measures Agreement. South Korea has financially supported the stationing of around 28,500 US Forces Korea personnel by covering three major parts: labor expenses for USFK Korean workers, construction costs for military facilities and logistical support for military operations under the framework of the SMA. Seoul and Washington finalized the 12th SMA from 2026 to 2030 in October last year. 'But the SMA only covers a limited portion of the costs. If you look at the SMA in the document, there are just three categories. But there are other costs beyond those, and the question is how to share those additional expenses,' Yun told reporters in Korean during a press conference in Seoul. 'We also need to discuss whether South Korea's overall defense spending is enough. That's another issue that should be part of the discussion." Yun defended US calls for allies to meet the global standard of spending 5 percent of their gross domestic product on defense, citing the US' own unsustainable budget deficit as context. 'We need fairer sharing, and I think that was one of the key reasons why (US President) Donald Trump was elected — and that is the reality,' Yun said in English. Washington urges quick fix to tariff issue Yun explained Seoul and Washington need broader discussion on how to 'modernize the alliance,' which he described as one of two key challenges in South Korea-US relations. Yun emphasized the need for the allies to jointly address new strategic challenges and emerging regional issues, particularly those stemming from competition between the US and China, including how US assets, defense capabilities, and regional forces such as US Forces Korea and US Forces Japan are postured. Another key challenge for the alliance is trade, with Yun calling on the Lee Jae Myung administration to 'quickly deal with US expectations.' 'From the US side, the most urgent issue is to move quickly on tariff negotiations,' Yun said. 'In terms of trade, tariffs are by far the most serious concern, and the US hopes to normalize and resolve the issue swiftly, as that would help stabilize other areas as well.' When asked about a 'one-stop shopping' deal, which would clinch a deal on tariffs, investment and defense all at once, Yun also suggested that the US preferred a phased approach. Trump mentioned a 'one-stop shopping' deal on Truth Social following his phone call with then-acting President Han Duck-soo in April. 'There is no question: while they may be related in terms of narrow substance, they are different, and they are not readily mixed and matched. So my hope — and our hope — is that there can be a framework agreement that includes many of those parts,' Yun said in English, transitioning from Korean. 'We're not going to reach detailed deals in every one of them. So what is important is the framework agreement that includes all of those elements. But of course, for each stream, it may take a while to finally get all the details.' With regard to the first summit between Lee and Trump, Yun said the allies are doing their best to schedule the meeting, though the timing remains uncertain due to both leaders' unclear schedules. 'On the summit, we're working on it, and I would expect we will announce it. But again, it just needs to fit the schedule of both President Lee and President Trump,' Yun said. 'I have no doubt that, within a short time, there will be a summit meeting between President Trump and President Lee.' Denuclearization nonstarter for Pyongyang On the potential resumption of US-North Korea dialogue, Yun said he has no doubt that Trump considers his engagement with North Korea as 'unfinished business and homework.' 'It takes two to tango, and we haven't really heard from the North Korean side whether they, too, want to engage,' he added. When asked if the US should maintain the goal of North Korea's denuclearization, should dialogue kickstart, Yun said the goal would be a non-starter for North Korea. 'That is not a smart way to engage or begin discussions. You must engage smartly, with a path, so that eventually your big goal can be accomplished,' Yun said. 'And certainly, denuclearization is a big goal — but it cannot be put out as a condition for an initial meeting.' Yun, however, clarified that 'the US is not going to recognize North Korea as a legitimate nuclear weapons state.' 'There's no question about that. But is it a country that possesses nuclear weapons? Yes,' Yun went on to say. 'It is a nuclear weapons-possessing state, but we cannot recognize it as a legitimate nuclear weapons state.'
Korea Herald
25-05-2025
- Business
- Korea Herald
[Editorial] Troops, trust and alliance
Even a partial US troop withdrawal from South Korea can cast doubt on deterrence In geopolitics, ambiguity is seldom accidental. The Wall Street Journal's report Thursday that the Pentagon is weighing the withdrawal of some 4,500 troops from South Korea — roughly 16 percent of the 28,500-strong United States Forces Korea — landed like a spark in a dry forest. Both Seoul and Washington issued swift denials. But those denials failed to fully dispel the speculation. A Pentagon spokesperson, when asked directly about the reported drawdown, said only that 'there were no policy announcements to make,' according to the Journal. In Washington-speak, such phrasing often signals possibility, not closure. At the center of the report is the rotational Stryker Brigade Combat Team, a nine-month deployment unit that has no permanent base in South Korea but plays a vital role in ensuring combat readiness on the peninsula. Its potential relocation — likely to Guam or elsewhere in the Indo-Pacific region — would not amount to a wholesale abandonment of American security commitments. But it would mark a discernible shift in posture and priorities, one that adversaries such as North Korea would scrutinize closely for signs of faltering resolve. South Korea's Ministry of National Defense responded by stressing that any changes to the USFK presence must proceed through established bilateral frameworks, including the Security Consultative Meeting and the Military Committee Meeting. Meanwhile, the Pentagon alternated between denial and ambiguity. A spokesperson rejected the report as 'not true,' while reiterating the United States' 'ironclad' commitment to South Korea's defense. The facts behind the report, however, hint at a deeper recalibration in Washington. US President Donald Trump's administration, now in the first year of its renewed tenure, has revived familiar patterns: transactional diplomacy, threats to dilute alliances and an unapologetic focus on cost-sharing. As a candidate in April 2024, Trump criticized South Korea's current contributions to the alliance, claiming that Seoul — which he described as a 'money machine' — would be paying $10 billion annually had he remained in office. Under the current Special Measures Agreement, South Korea is set to contribute 1.52 trillion won ($1.1 billion) in 2026 — already an 8.3 percent increase from the prior year. Seen through this lens, the proposed troop reduction may function less as strategic realignment than as tactical pressure. Washington could be testing Seoul's tolerance ahead of the next round of cost-sharing negotiations, or signaling conditionality in advance of potential talks with Pyongyang. Trump has used both tactics before — and often simultaneously. Yet the ramifications of even a partial withdrawal extend well beyond the realm of negotiation. A drawdown of 4,500 troops, particularly from a combat-ready ground force, would not be read in Seoul, Pyongyang or Beijing as a mere administrative adjustment. Since 2008, the USFK troop level has remained largely steady — both as an operational necessity and a symbol of an enduring alliance. To reduce that footprint now would risk conveying that US security commitments are elastic, that the alliance itself is subject to leverage. China would undoubtedly read such a move as a shift in focus. Should the Stryker Brigade be redeployed to Guam, it would align with the broader strategic pivot toward deterring Beijing. But such a repositioning could leave the Korean Peninsula more exposed, especially at a time when North Korean provocations are growing more frequent. As South Korea prepares to turn the page with a new president after the June 3 election, the incoming administration faces the urgent task of reestablishing clarity with Washington — not only on trade and tariffs, but on the fundamentals of the alliance itself. For an alliance to endure, it must be built not on ambiguity or transactional calculation, but on trust, transparency and a shared understanding of deterrence. In their absence, signals are misread, intentions are doubted — and the cost of miscalculation can become unthinkably high.
Miami Herald
22-05-2025
- Business
- Miami Herald
How South Korea's next president wants to deal with Trump and his tariffs
SEOUL, South Korea - The winner of South Korea's upcoming presidential election will be faced with the task of uniting a country riven by political acrimony since the impeachment of former President Yoon Suk Yeol, who sparked national outrage after declaring martial law in December. But first, they will have to contend with President Donald Trump's tariffs. On Wednesday, U.S. and South Korean trade officials kicked off a new round of negotiations aimed at reaching a deal by July 8, when Trump's 90-day reprieve for his "liberation day" tariffs expires. South Korea faces a 25% reciprocal tariff rate as well as product-specific duties of 25% for steel, aluminum and automobiles - all of which are major exports. With the election scheduled for June 3, carrying these talks to the finish line will be the first and most pressing agenda item for South Korea's next president. For now, officials from the two countries have agreed to expand the talks beyond tariffs rates to include broader topics such as currency exchange rates and economic security - a reflection of Trump's desire for a sweeping realignment of the U.S.–South Korea relationship that he has described as "one-stop shopping." But there are likely to be further complications. Trump, who has long griped that South Korea does not pay enough for the upkeep of the 28,500 U.S. troops stationed in the country, has expressed a desire to fold defense cost-sharing into the current talks. Writing on his social media site last month, he said that he had discussed "payment for the big time Military Protection we provide to South Korea" with then-acting President Han Duck-soo. But with Trump having once claimed he would get Seoul to pay $10 billion a year, the topic has been highly sensitive in South Korea, fueling calls for the country's nuclear self-armament on grounds that the U.S. can no longer be relied upon for military support. There are also concerns in the country that a "package deal" favored by Trump may not work out to Seoul's advantage. Here's what to know about what South Korea's three leading presidential candidates have said about tariffs and the U.S.-South Korea relationship under Trump. Lee Jae-myung The former leader of South Korea's liberal Democratic Party, Lee, 61, is the front-runner in the race, having led by as many as 20 percentage points. During Trump's first term, Lee, then the mayor of Seongnam, cautioned against what he called "overly submissive attitudes" in the face of demands that South Korea should pay more for the presence of the U.S. military. "Giving up whatever is demanded of us will only lead to us losing everything," he said. "We need to boldly assert our position." Lee echoed those sentiments in a presidential debate Sunday, criticizing Han, the former acting president, for reportedly signaling his willingness to renegotiate the latest defense cost-sharing deal between Seoul and Washington. Under what is known as the Special Measures Agreement, the U.S. has covered 40% to 50% of the total costs of keeping troops in South Korea, according to the U.S. Congressional Research Service. Under the latest version, which was signed under the outgoing Biden administration and will last from 2026 to 2030, Seoul's annual contribution in the first year will be $1.19 billion, an 8.3% increase from 2025. Lee, who is running on a platform of pragmatic diplomacy, has also stressed the need to balance South Korea's relationship with the U.S. against those with regional neighbors such as Russia or China. "The U.S.-South Korea alliance is important, and we need to expand and develop that in the future - from a security alliance into an economic alliance and a comprehensive alliance," he said Sunday. "But that does not mean we can rely exclusively on the U.S.-South Korea alliance." While describing Trump's tariffs as the "campaign of a madman," Lee has also indicated a willingness to discuss a package deal that spans Trump's Alaska natural gas pipeline project, the defense cost issue and cooperation in shipbuilding. Lee's camp has said that if elected, he will begin his term by seeking an extension of Trump's 90-day grace period for the tariffs. "If we win the election we will need time to closely examine the issues at the center of the trade relationship with the U.S. as well as any progress made on the tariff negotiations and come up with alternatives," an official from Lee's camp told the South Korean newspaper Donga Ilbo last week. Kim Moon-soo A distant second in the polls, Kim, 73, served as labor minister under the impeached Yoon and is the conservative People Power Party's nominee. Staying true to the South Korean right's self-identification as the staunchly pro-U.S. political camp, Kim has accused Lee of seeking to curry favor with China at the expense of the U.S.-South Korea relationship. "Your comments in the past would be considered appalling from the perspective of the U.S.," he told Lee at the debate Sunday. Unlike Lee, who has warned against rushing into a trade deal in favor of a slower and more strategic approach, Kim has said that he would immediately set up a U.S.-South Korea summit to ink a deal before July 8, if he is elected president. "I will make sure that tariffs against South Korea are either removed or the lowest out of any country in the world," he said at a recent rally. To this end, Kim has cast himself as the candidate with the greatest chance of winning over Trump. During his party's primary debates in April, when asked by the moderator whether he would wear a MAGA hat if Trump requested it during any tariff negotiations, Kim responded: "I would do even more, I would even wear a jumper if he asked." "The most important thing in negotiating with President Trump is trust," he said Sunday. "Only when both sides can trust each other can the U.S.-South Korea alliance be strengthened, and I am the one who has the most favorable and trusting relationship with President Trump." On defense cost-sharing, Kim has struck a noticeably more acquiescent tone than Lee: At a meeting Monday of the American Chamber of Commerce in Korea, he said that he would be willing to accept a hike in Seoul's contribution. "The global order and trade environment is rapidly changing. In order to overcome these crises, it is critical that we strengthen positive cooperation and the U.S.-South Korea alliance," he said. "I will establish common ground between the two countries through comprehensive negotiations and find a win-win solution for both." Lee Jun-seok Polling around 10%, the 40-year old candidate from the conservative Reform Party faces long odds for the presidency. Still, he has emphatically rejected repeated calls to form a unity ticket, presenting himself as the younger, shrewder and less doctrine-driven alternative to what he has criticized as the old-hat conservatism of those such as Kim. At the debate Sunday, Lee Jun-seok called for "careful calculation" in navigating the U.S.-South Korea relationship under Trump, while emphasizing the need to demonstrate that South Korea is not just a trading partner but also an important strategic ally to Washington. Yet when it comes to tariffs, he has also openly called Trump's bluff. "I think we have to bet on the fact that Trump will eventually find that it's difficult to maintain this situation," he said on a YouTube political talk show last month, citing the economic pressures that tariffs against China will create for Trump's heartland supporters. "What Trump is advancing isn't sustainable…. My view is that, it's likely that Trump will admit defeat as soon as within the next six months." _____ Copyright (C) 2025, Tribune Content Agency, LLC. Portions copyrighted by the respective providers.
Los Angeles Times
22-05-2025
- Business
- Los Angeles Times
How South Korea's next president wants to deal with Trump and his tariffs
SEOUL — The winner of South Korea's upcoming presidential election will be faced with the task of uniting a country riven by political acrimony since the impeachment of former President Yoon Suk Yeol, who sparked national outrage after declaring martial law in December. But first, they will have to contend with President Trump's tariffs. On Wednesday, U.S. and South Korean trade officials kicked off a new round of negotiations aimed at reaching a deal by July 8, when Trump's 90-day reprieve for his 'liberation day' tariffs expires. South Korea faces a 25% reciprocal tariff rate as well as product-specific duties of 25% for steel, aluminum and automobiles — all of which are major exports. With the election scheduled for June 3, carrying these talks to the finish line will be the first and most pressing agenda item for South Korea's next president. For now, officials from the two countries have agreed to expand the talks beyond tariffs rates to include broader topics such as currency exchange rates and economic security — a reflection of Trump's desire for a sweeping realignment of the U.S.–South Korea relationship that he has described as 'one-stop shopping.' But there are likely to be further complications. Trump, who has long griped that South Korea does not pay enough for the upkeep of the 28,500 U.S. troops stationed in the country, has expressed a desire to fold defense cost-sharing into the current talks. Writing on his social media site last month, he said that he had discussed 'payment for the big time Military Protection we provide to South Korea' with then-acting President Han Duck-soo. But with Trump having once claimed he would get Seoul to pay $10 billion a year, the topic has been highly sensitive in South Korea, fueling calls for the country's nuclear self-armament on grounds that the U.S. can no longer be relied upon for military support. There are also concerns in the country that a 'package deal' favored by Trump may not work out to Seoul's advantage. Here's what to know about what South Korea's three leading presidential candidates have said about tariffs and the U.S.-South Korea relationship under Trump. Lee Jae-myung The former leader of South Korea's liberal Democratic Party, Lee, 61, is the front-runner in the race, having led by as many as 20 percentage points. During Trump's first term, Lee, then the mayor of Seongnam, cautioned against what he called 'overly submissive attitudes' in the face of demands that South Korea should pay more for the presence of the U.S. military. 'Giving up whatever is demanded of us will only lead to us losing everything,' he said. 'We need to boldly assert our position.' Lee echoed those sentiments in a presidential debate Sunday, criticizing Han, the former acting president, for reportedly signaling his willingness to renegotiate the latest defense cost-sharing deal between Seoul and Washington. Under what is known as the Special Measures Agreement, the U.S. has covered 40% to 50% of the total costs of keeping troops in South Korea, according to the U.S. Congressional Research Service. Under the latest version, which was signed under the outgoing Biden administration and will last from 2026 to 2030, Seoul's annual contribution in the first year will be $1.19 billion, an 8.3% increase from 2025. Lee, who is running on a platform of pragmatic diplomacy, has also stressed the need to balance South Korea's relationship with the U.S. against those with regional neighbors such as Russia or China. 'The U.S.-South Korea alliance is important, and we need to expand and develop that in the future — from a security alliance into an economic alliance and a comprehensive alliance,' he said Sunday. 'But that does not mean we can rely exclusively on the U.S.-South Korea alliance.' While describing Trump's tariffs as the 'campaign of a madman,' Lee has also indicated a willingness to discuss a package deal that spans Trump's Alaska natural gas pipeline project, the defense cost issue and cooperation in shipbuilding. Lee's camp has said that if elected, he will begin his term by seeking an extension of Trump's 90-day grace period for the tariffs. 'If we win the election we will need time to closely examine the issues at the center of the trade relationship with the U.S. as well as any progress made on the tariff negotiations and come up with alternatives,' an official from Lee's camp told the South Korean newspaper Donga Ilbo last week. Kim Moon-soo A distant second in the polls, Kim, 73, served as labor minister under the impeached Yoon and is the conservative People Power Party's nominee. Staying true to the South Korean right's self-identification as the staunchly pro-U.S. political camp, Kim has accused Lee of seeking to curry favor with China at the expense of the U.S.-South Korea relationship. 'Your comments in the past would be considered appalling from the perspective of the U.S.,' he told Lee at the debate Sunday. Unlike Lee, who has warned against rushing into a trade deal in favor of a slower and more strategic approach, Kim has said that he would immediately set up a U.S.-South Korea summit to ink a deal before July 8, if he is elected president. 'I will make sure that tariffs against South Korea are either removed or the lowest out of any country in the world,' he said at a recent rally. To this end, Kim has cast himself as the candidate with the greatest chance of winning over Trump. During his party's primary debates in April, when asked by the moderator whether he would wear a MAGA hat if Trump requested it during any tariff negotiations, Kim responded: 'I would do even more, I would even wear a jumper if he asked.' 'The most important thing in negotiating with President Trump is trust,' he said Sunday. 'Only when both sides can trust each other can the U.S.-South Korea alliance be strengthened, and I am the one who has the most favorable and trusting relationship with President Trump.' On defense cost-sharing, Kim has struck a noticeably more acquiescent tone than Lee: At a meeting Monday of the American Chamber of Commerce in Korea, he said that he would be willing to accept a hike in Seoul's contribution. 'The global order and trade environment is rapidly changing. In order to overcome these crises, it is critical that we strengthen positive cooperation and the U.S.-South Korea alliance,' he said. 'I will establish common ground between the two countries through comprehensive negotiations and find a win-win solution for both.' Lee Jun-seok Polling around 10%, the 40-year old candidate from the conservative Reform Party faces long odds for the presidency. Still, he has emphatically rejected repeated calls to form a unity ticket, presenting himself as the younger, shrewder and less doctrine-driven alternative to what he has criticized as the old-hat conservatism of those such as Kim. At the debate Sunday, Lee Jun-seok called for 'careful calculation' in navigating the U.S.-South Korea relationship under Trump, while emphasizing the need to demonstrate that South Korea is not just a trading partner but also an important strategic ally to Washington. Yet when it comes to tariffs, he has also openly called Trump's bluff. 'I think we have to bet on the fact that Trump will eventually find that it's difficult to maintain this situation,' he said on a YouTube political talk show last month, citing the economic pressures that tariffs against China will create for Trump's heartland supporters. 'What Trump is advancing isn't sustainable…. My view is that, it's likely that Trump will admit defeat as soon as within the next six months.'
Japan Times
18-04-2025
- Business
- Japan Times
Japan defense chief says 'no reason' to change current U.S. troop deal
Defense Minister Gen Nakatani on Friday poured cold water on the possibility of renegotiating a cost-sharing agreement for hosting American troops in Japan before its expiration in 2027, a day after U.S. President Donald Trump reportedly demanded that Tokyo pay more for their stationing during tariffs-focused negotiations. Asked about the so-called host nation support, Nakatani told a news conference that spending 'is appropriately shared between the Japanese and U.S. governments based on mutual agreement, with a set time frame.' 'The expenses for the current fiscal year have already been agreed upon and paid up until now by both countries,' he said. 'So, since we are currently within the agreed period, there is no reason for us to make any changes at this time.' 'Japan is providing the maximum possible host nation support in terms of defense burden-sharing,' he said, adding that the government believes that the matter is "separate' from the tariff issue. During Wednesday's negotiations in Washington, Trump — who unexpectedly announced just hours ahead of the meeting that he would take part in the talks — also reportedly demanded that Tokyo increase sales of U.S. automobiles and reduce the U.S. trade deficit. Those demands came in talks with Japan's lead negotiator on the tariff issue, Ryosei Akazawa. At those talks, the two sides agreed to work toward finalizing negotiations on the onerous U.S. tariffs at an early date, with Trump and Prime Minister Shigeru Ishiba ultimately making a joint announcement. Ishiba on Friday called the talks 'frank and constructive on a wide range of issues.' 'I feel that this will lead to further progress in the future,' he said, adding that the two sides are working to schedule the next ministerial meeting for this month and that he hoped for 'concrete progress' at the next meeting. On Wednesday, Akazawa declined to mention specifics about the U.S. side's demands, but hinted that security issues had been broached. Trump was believed to have repeated his stance that the alliance is 'one-sided' since Japan is not bearing a sufficient share of the costs for stationing U.S. troops in the country. Contrary to Trump's claims that the U.S. doles out 'hundreds of billions of dollars' to defend Japan while Tokyo pays nothing, the latest five-year cost-sharing deal reached in 2022, known as a Special Measures Agreement (SMA), shows that Japan will spend around ¥227 billion ($1.69 billion) this year on expenses such as utilities, facility maintenance and wages for Japanese staff at U.S. military bases in the country. In addition to the SMA, Japan says it pours even more cash into hosting U.S. troops — about ¥456 billion this year alone on rents for U.S. exclusive-use land, construction of facilities for Marines being moved from Okinawa to Guam, as well as 'burden reduction' measures, among other things.
