The South Korean government allegedly finds Washington's tariff terms so odious that it is reportedly reconsidering its pledge to invest $350 billion in the U.S. and just accept 25% tariffs.
South Korea’s negotiations with the U.S. on a trade deal to lower tariffs have stalled amid concerns over the foreign exchange implications of a $350 billion investment fund, part of an agreement reached with President Donald Trump in July.
WHAT HAS JAPAN AGREED TO?
South Korean officials, who had argued that the package would mostly comprise loans and guarantees with limited direct investment, said last week they could not accept terms similar to those of a $550 billion investment package finalised this month by Japan.
Tokyo agreed to transfer money within 45 days after the U.S. selects a project, and that available free cash flows from investments would be split evenly until they reached an allocated amount, after which 90% would go to the U.S.
South Korea’s economy is much smaller than Japan’s. It had a current account surplus of $99 billion last year, compared with Japan’s surplus of nearly $200 billion, and central bank foreign reserves of $416 billion in August, compared with Japan’s $1.3 trillion.
In other words, the US is conducting highway robbery by demanding that Korea pay approximately 350 billion USD, which is 84% of Korean foreign currency reserve in 45 days
In that case it would be better for Korea to accept the 25% tariffs instead of giving extortion money to the US and creating an economic crisis.
The Gismaga crowd, which includes @GIKorea who is also no friend of Korea are agitated that they won’t get 350 billion USD and thousands of MAGA jobs from Korea.
No brainer why they are overreacting and throwing insults at us Koreans.
They have no logical counterargument to the logical and reasonable points put forward by the more smarter Koreans.
That implies the South Korean Government cannot be trusted to honor their word.
A move like that could result in very negative financial and diplomatic consequences world-wide for Korea.
But, of course, China will be happy to provide security forces from their close ally, North Korea…
WTF did he just say?
Korea finds the tariffs to be so terrible they may just accept the tariffs?
That sounds like Korea Thing’s policy on anàl sèx.
Ah yes proof that @setnaffa despite his claims is no friend of Korea.
Had he bothered to read he would have come across this;
https://ajw-origin.potaufeu.asahi.com/ajw/articles/16030354
South Korea’s negotiations with the U.S. on a trade deal to lower tariffs have stalled amid concerns over the foreign exchange implications of a $350 billion investment fund, part of an agreement reached with President Donald Trump in July.
WHAT HAS JAPAN AGREED TO?
South Korean officials, who had argued that the package would mostly comprise loans and guarantees with limited direct investment, said last week they could not accept terms similar to those of a $550 billion investment package finalised this month by Japan.
Tokyo agreed to transfer money within 45 days after the U.S. selects a project, and that available free cash flows from investments would be split evenly until they reached an allocated amount, after which 90% would go to the U.S.
South Korea’s economy is much smaller than Japan’s. It had a current account surplus of $99 billion last year, compared with Japan’s surplus of nearly $200 billion, and central bank foreign reserves of $416 billion in August, compared with Japan’s $1.3 trillion.
In other words, the US is conducting highway robbery by demanding that Korea pay approximately 350 billion USD, which is 84% of Korean foreign currency reserve in 45 days
In that case it would be better for Korea to accept the 25% tariffs instead of giving extortion money to the US and creating an economic crisis.
The Gismaga crowd, which includes @GIKorea who is also no friend of Korea are agitated that they won’t get 350 billion USD and thousands of MAGA jobs from Korea.
No brainer why they are overreacting and throwing insults at us Koreans.
They have no logical counterargument to the logical and reasonable points put forward by the more smarter Koreans.