SEOUL, May 09 (AJP) - South Korean Trade Minister Kim Jung-kwan met with U.S. Commerce Secretary Howard Lutnick on Saturday to finalize the details of major investment projects slated for rollout under a landmark bilateral investment framework.
The meeting, held in Washington, follows the recent signing of a memorandum of understanding on the "MASGA" shipbuilding initiative. However, the talks between the two chiefs focused more broadly on the implementation of South Korea’s "Special Act on Strategic Investment Management," which is set to take effect on June 18.
The legislation serves as the domestic legal foundation for Seoul’s $350 billion U.S. investment pledge, a strategic commitment made last year to secure a 15 percent tariff rate on South Korean exports. Minister Kim’s visit aimed to concretize the first batch of projects to be officially designated under this new law.
During his stay in Washington, Kim addressed speculation regarding the first major project under the initiative. While a liquefied natural gas (LNG) export terminal in Louisiana has been cited as a primary candidate, Kim told reporters it was "too early to confirm" whether it would be the official "No. 1" project, though he acknowledged it remains under active consideration.
The high-level coordination comes at a critical time as South Korea seeks to navigate Washington’s evolving trade policies. While recent U.S. court rulings have challenged some of President Donald Trump’s tariff mechanisms, Seoul remains focused on industrial partnerships as a hedge against potential Section 301 investigations and broader trade friction.
The discussions also touched upon the upcoming establishment of the Korea-U.S. Shipbuilding Partnership Center, which will serve as a hub for the $150 billion maritime portion of the investment package.
“The focus of this meeting was to ensure that our investment pipeline is fully operational the moment the special act takes effect next month,” a ministry official said. “We are moving from the stage of high-level agreements to the practical execution of projects that will reinforce the bilateral economic alliance.”
Minister Kim is expected to continue consultations with other U.S. trade officials, including the Office of the U.S. Trade Representative (USTR), to discuss ongoing tariff and trade environment issues before returning to Seoul.
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