Trump’s $900 Billion Funding Demands Face Korea, Japan Caution
(Bloomberg) – Donald Trump faces new obstacles in the pressure of securing great investment pledge from Asian allies after implying the possibility of examining the agreement of South Korea’s terms Washington and a contestant who will lead Japan’s ruling party.
South Korea’s National Security Advisor WI Sung-Lac, Seoul’s investment hostage with Washington on a channel refers to a news television interview, “We can not pay $ 350 billion in cash,” he said. “It is not a level that we can manage in an objective and realistic way.”
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Imiz Our location is not a negotiation tactic, ”he added.
WI’s comments came after Trump defined the investment words accepted by South Korea and Japan as “ahead ..
Seoul and Washington accepted as a promise of an investment promise of $ 350 billion as part of a wider trade agreement to reduce US tariffs to 25% in July, but the two sides are divided on how to structure. A similar pledge made by Japan worth $ 550 billion remained uncertain on its application features, while the details of the agreement worried the authorities in Seoul.
South Korean Prime Minister Kim Min-Seok, in an interview with Bloomberg News last week, said the investment could provide a serious blow to the national economy without the currency exchange with the United States. The total of $ 350 billion is equivalent to more than 80% of South Korea’s external reserves.
During the weekend, it was also expressed in US investment vehicles of $ 550 billion from Japan, and the best contestant who will lead Japan’s ruling party, claimed that the negotiation of trade with the United States may be on the table if the agreement does not serve Japan’s interests.
Sanae Takaichi, on Sunday about the investment fund, said, “If Japan’s interests emerges in the process of implementing an unfair agreement, we must withstand the ground,” he said. “This contains a potential re -negotiation.”
US Trade Secretary Howard Lotnick told South Korean officials that Washington preferred cash investment instead of loans.
WI, the government’s two leaders next month at the Apec Summit in Gyeongju alternatives and hopes of progress, he said.
Separately, Korean Finance Minister Koo Yun-Cheol said to journalists on Saturday that he had interviews about foreign exchange with the US and will soon announce the details. A presidential official said that Koo’s words were related to the report of the US Treasury on monetary policies of major trade partners.
