Kim Yongbeom Vows to "Continue Raising Issues" Over 50-50 Split of U.S. Investment Profits

"Selecting Profitable Investments Is the Top Priority"
"The U.S. Views Korea as a Beneficiary... The First Document Was 'Even Worse Than the Eulsa Treaty'"
"Our Five-Page Statement with a Strengthened Position Became the Breakthrough"

Kim Yongbeom, Policy Chief at the Presidential Office, stated that he will "continue to raise issues" regarding the outcome of the tariff negotiations, which stipulate that the profits from investments in the United States will be split 50-50 between the two countries. Kim has repeatedly expressed regret that, although provisions were included to allow for adjustments to the profit-sharing ratio under certain conditions, they were ultimately unable to change the ratio.

Yonhap News Agency

Appearing on SBS 8 News on the 17th, Kim said, "We insisted on adjusting the ratio with the U.S. side until the very end, and we managed to secure language that allows for adjustments under certain conditions." He further commented on the unfair demands from the U.S., explaining, "Fundamentally, the negotiations took place in a global environment where the United States is trying to offset its trade deficit amid global imbalances. The U.S. sees Korea as a beneficiary in the global trade and security environment, and, as was the case in negotiations with Japan, believes that beneficiary countries should bear a certain level of burden."

He emphasized that, going forward, selecting profitable investment opportunities is the most important priority. While efforts to adjust the profit-sharing ratio based on Korea’s position reflected in the memorandum of understanding (MOU) will continue, he implied that it is even more crucial to identify investments that can actually generate returns, given that the negotiations were unfair from the outset. Regarding the possibility of the U.S. making unreasonable demands, Kim said, "A consultative committee chaired by Minister of Trade, Industry and Energy Kim Jeonggwan is set to conduct prior consultations," adding, "Since we have emphasized commercial rationality, I expect that projects lacking profitability will be sufficiently blocked."

Kim also shared an anecdote from the tariff negotiation process. He recalled, "On August 2, when the Industrial Policy Secretary said a document had arrived from the U.S., I asked about its content, and was told, 'Compared to this, the Eulsa Treaty pales in comparison.' The format and content of the document must have been so outrageous to warrant such a description. It was filled with truly absurd demands."

He also discussed the situation during the first Korea-U.S. summit. Kim said, "Tensions were running high and conflicts peaked ahead of the Korea-U.S. summit in August. After a final two-hour debate with U.S. Secretary of Commerce Howard Lutnick, the U.S. demands became much clearer."

He continued, "We conducted an in-depth analysis of how to raise the full $350 billion in cash investment, which was contrary to our expectations, and based on this, we sent a five-page document outlining our position. That document included a request for solutions to foreign exchange issues, such as a currency swap. The U.S. must have found this very difficult, and there was a period with no dialogue between the two countries."

Kim added, "After the August summit, our strengthened position statement became the breakthrough in the negotiations. By adhering to our principles until the end, we secured concessions such as a $20 billion annual cap."

This content was produced with the assistance of AI translation services.