Korean lawmakers from both major parties visited Washington, D.C., to request the U.S. address obstacles in the Korea-U.S. shipbuilding cooperation project known as the 'Marsga' Project. Key issues include finding a workaround for the Jones Act, which restricts cargo transport between U.S. ports to U.S.-built and U.S.-flagged vessels, and the delivery of ships from Hanwha Ocean that are currently blocked due to sanctions against Russia.
According to Yonhap News, the delegation, which includes Democratic Party members Song Young-gil, Kim Young-bae, and Kim Yong-man, as well as People Power Party member Jo Kyung-tae and Justice Party member Kang Kyung-sook, held a press briefing on June 25 (local time) in Washington, D.C., where they discussed these matters with officials from the White House, State Department, and Congress.
The lawmakers explained that the Jones Act is a constraint on Korea-U.S. shipbuilding cooperation. However, U.S. officials reportedly expressed skepticism about the likelihood of amending the Jones Act due to local interests.
In response, the delegation proposed designating specific areas as free trade zones under the Korea-U.S. Free Trade Agreement (FTA) to circumvent the Jones Act. They noted that U.S. officials reacted positively, calling the proposal 'reasonable,' and emphasized that without an exception, it would be difficult to achieve visible results from the Marsga Project during President Donald Trump's term.
The delegation also discussed the delivery issues concerning six icebreakers built by Hanwha Ocean for Russian orders. Each vessel is valued at approximately 300 billion won, with the total contract nearing 2 trillion won, but deliveries have been stalled due to sanctions imposed following the Ukraine war. Reports indicate that the Russian side has filed a claim for damages with the International Commercial Arbitration Court.
The lawmakers warned that if this issue remains unresolved, Hanwha Ocean could face a liquidity crisis due to potential damages, which could weaken investment capacity for the Marsga Project. They also stressed that if the Russian orders shift to China, it could enhance China's shipbuilding competitiveness, resulting in unfavorable outcomes for the U.S.
The delegation explored the possibility that the Korean Peninsula issue could be a major agenda item during Chinese President Xi Jinping's expected visit to the U.S. in September. However, U.S. political figures reportedly viewed this possibility as low. Other topics discussed included the transfer of wartime operational control of U.S. forces in Korea and the issuance of work visas for Korean workers, among other security and economic issues between Korea and the U.S.
* This article has been translated by AI.
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