'Defense Cost-Sharing Talks' Conclude Second Day... ROK-US Delegations Strive to Narrow Differences

Intensive Discussions Between Senior Representatives Ahead of Unpaid Leave for Korean Workers at USFK in April

Jeong Eun-bo, the Special Representative for U.S.-Korea Defense Cost-Sharing Talks, is briefing on the U.S.-Korea defense cost-sharing negotiations at the Ministry of Foreign Affairs building in Jongno-gu, Seoul, on the 19th. Photo by Moon Ho-nam munonam@

[Asia Economy Reporter Lim Cheol-young] The Korean and U.S. delegations have concluded the second day of negotiations in the United States to finalize the 11th Special Measures Agreement (SMA) on defense cost-sharing between South Korea and the U.S. Although there remains a significant gap in their positions regarding the scale of defense cost increases, both sides are making every effort to narrow the distance in the final stages ahead of the unpaid leave for Korean workers employed by the U.S. Forces Korea, scheduled to take effect on April 1.

On the 19th, a Ministry of Foreign Affairs official stated, "The second day of negotiations for the SMA was completed on the 18th local time in Los Angeles, USA." This meeting, resumed two months after the January 14-15 session held in Washington DC, was originally scheduled for the 17th and 18th, but it is reported that talks may continue until just before the Korean delegation departs on the 19th local time.

The second day of talks reportedly proceeded similarly to the previous day, with Defense Cost-Sharing Negotiator Jung Eun-bo and U.S. State Department Defense Cost-Sharing Negotiator James DeHart meeting several times for focused discussions.

After the January negotiations, the Korean side proposed prioritizing the settlement of labor costs for Korean workers employed by the U.S. Forces Korea and requested a prompt resumption of talks. However, the U.S. side consistently showed reluctance to schedule negotiations while continuing pressure outside the negotiation table.

Since September last year, the negotiations have been deadlocked over the scale of defense cost increases. The Korean side has maintained that the U.S. proposal for the increase is neither reasonable nor fair. The U.S. initially proposed $5 billion, six times last year's defense cost, then adjusted it down to $4 billion, while the Korean side is reportedly insisting on a single-digit increase. The gap is thus very large.

If no conclusion is reached in this seventh round of negotiations, it appears unavoidable that unpaid leave will be imposed on Korean workers employed by the U.S. Forces Korea. Accordingly, the Korean delegation aims for a full agreement but plans to focus on settling the labor cost issue first if differences cannot be narrowed. The Korean side has already proposed a memorandum of understanding to the U.S. side to prioritize settling labor costs and continue further negotiations.

On the 16th (local time), Negotiator Jung arrived at Los Angeles Airport and told reporters, "We must first strive to conclude the main SMA negotiations as soon as possible," adding, "If concluding the main negotiations proves difficult, efforts should also be made to settle the proposals already put forward."

A Ministry of Foreign Affairs official emphasized, "The government maintains the basic stance of sharing defense costs fairly and reasonably within the existing agreement framework and intends to closely consult with the U.S. side to promptly reach a mutually acceptable agreement," adding, "We expect the negotiations to proceed in a direction that strengthens the ROK-U.S. alliance and combined defense posture."

Jung Eun-bo, South Korea's Special Representative for Defense Cost-Sharing Negotiations, and James DeHart, U.S. Department of State's Defense Cost-Sharing Negotiations Representative, are attending a meeting on the 17th (local time) in Los Angeles, USA, for the conclusion of the 11th Special Measures Agreement on Defense Cost-Sharing between South Korea and the United States, posing for a commemorative photo. (Photo by Ministry of Foreign Affairs)

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