The President of the United States, Donald Trump, arrived from South Korea today (29). On the first day of his visit to the country, Donald Trump received South Korea’s highest decoration: the Grand Order of Mugunghwa. The honor was given in recognition of his contribution to peace on the Korean Peninsula.
Trump had taxed the South Korean country at 25%. In response, South Korean President Lee Jae Myung promised to invest $350 billion in the United States, and in return, Trump agreed to reduce tariffs to 15%.
Donald Trump and South Korean President Lee Jae Myung met today (29), and finalized the details of the tense attempt at a trade agreement at a summit in South Korea. “We made a deal, we practically finalized it,” Trump said at a dinner with Lee and other regional leaders.
Trump and Lee agreed that Korea can split its promised $350 billion investment fund into $200 billion in cash, to be paid in installments, capped at $20 billion per year. The other US$150 billion will be allocated to investments in shipbuilding, a sector that South Korea promised to help Trump revive.
The South Koreans said both sides agreed to split profits equally (50/50) before initial investments are recouped, and to proceed only with commercially viable projects.
NEXT MEETING:
Next Thursday (30), the American leader is expected to meet with the president of China, seeking a ceasefire in the trade war with Xi Jinping. After meeting with the South Korean president, Trump expressed optimism about a future summit with Chinese President Xi Jinping.
The escalation of tensions between the Americans and Chinese increased when Washington applied new tariffs on Chinese products of up to 150%. The decision was made after the Chinese government suspended the export of critical minerals, essential for American technology and defense sectors.
