The National Assembly passed a special bill on Korea’s investments in the United States Thursday, establishing a legal framework to manage $350 billion worth of investment projects agreed upon by the two countries.
The new law is aimed at providing administrative and financial backing for projects linked to economic cooperation between the two countries, including $150 billion for shipbuilding.
A key provision of the legislation is the creation of a new entity called the Korea-U.S. Strategic Investment Corp., which will oversee the investment projects in the U.S.
The corporation will be set up with a paid-in capital of 2 trillion won ($1.36 billion), with the funding to be raised through Korean government contributions, entrusted assets and the issuance of strategic investment bonds.
2. How is this related to the sub
(1) Tariff War: Korean government set up an institutional oversight framework to oversee investment to the US agreed upon Trump-Lee summit.
3. My opinion
Unlike Trump’s verbal agreement, this law has standardized anti-corruption oversight clauses to counter possible theft by corrupt US politicians and hidden clauses that would act as state subsidies to Korean exporters to the US.
Trump wanted “gentlemen’s agreement” and “verbal agreement” which allow his cronies have cash grab. Korean government used the vagueness of the agreement to create “US investment Corp” which would act as state subsidy for Korean companies to the US. So-called “US investment fund” Trump triumphantly declared would subsidize Korean companies in the US which have been eyeing on to take control of crucial strategic sector such as electric grid & shipbuilding.
gina21078 on
omg imagine if we had this kind of international investment in our infrastructure instead of just arguing about student loans all the time.
79792348978 on
Wasn’t “lowering” illegal ieepa tariffs part of our half of the deal? I don’t understand why the Korean govt would proceed as normal given that
3 Comments
1. Summary
The National Assembly passed a special bill on Korea’s investments in the United States Thursday, establishing a legal framework to manage $350 billion worth of investment projects agreed upon by the two countries.
The new law is aimed at providing administrative and financial backing for projects linked to economic cooperation between the two countries, including $150 billion for shipbuilding.
A key provision of the legislation is the creation of a new entity called the Korea-U.S. Strategic Investment Corp., which will oversee the investment projects in the U.S.
The corporation will be set up with a paid-in capital of 2 trillion won ($1.36 billion), with the funding to be raised through Korean government contributions, entrusted assets and the issuance of strategic investment bonds.
2. How is this related to the sub
(1) Tariff War: Korean government set up an institutional oversight framework to oversee investment to the US agreed upon Trump-Lee summit.
3. My opinion
Unlike Trump’s verbal agreement, this law has standardized anti-corruption oversight clauses to counter possible theft by corrupt US politicians and hidden clauses that would act as state subsidies to Korean exporters to the US.
Trump wanted “gentlemen’s agreement” and “verbal agreement” which allow his cronies have cash grab. Korean government used the vagueness of the agreement to create “US investment Corp” which would act as state subsidy for Korean companies to the US. So-called “US investment fund” Trump triumphantly declared would subsidize Korean companies in the US which have been eyeing on to take control of crucial strategic sector such as electric grid & shipbuilding.
omg imagine if we had this kind of international investment in our infrastructure instead of just arguing about student loans all the time.
Wasn’t “lowering” illegal ieepa tariffs part of our half of the deal? I don’t understand why the Korean govt would proceed as normal given that