South Korean Firms Pledge Billions in Domestic Investments

Major South Korean conglomerates, including Samsung Electronics and Hyundai Motor Group, announced substantial domestic investment plans totaling hundreds of billions of dollars on Sunday during a meeting with President Lee Jae-myung in Seoul. The pledges, aimed at bolstering the nation's technology and manufacturing sectors, come in the wake of a recent trade agreement with the United States that requires South Korea to direct significant funds toward American industries.

The meeting occurred two days after the two governments released details of the trade deal finalized on Friday. Under the agreement, South Korea committed to investing 350 billion dollars in U.S. sectors, including 150 billion dollars in shipbuilding and 200 billion dollars in other industries, with annual outflows capped at 20 billion dollars to safeguard financial stability. In return, the United States agreed to lower tariffs on South Korean automobiles and auto parts from 25 percent to 15 percent and to impose semiconductor tariffs no harsher than those on comparable foreign competitors. Officials described the pact as a means to avert steeper duties proposed by the Trump administration while addressing...