South Korea and US Conclude 2nd Defense Cost-Sharing Talks: "Mutual Understanding of Positions Enhanced"

Ministry of Foreign Affairs "Exchange of Mutual Review Opinions... Frequent Consultations Planned"

The second defense cost-sharing negotiations determining South Korea's share of the costs for the U.S. Forces Korea (USFK) presence after 2026 have concluded.

On the 23rd, South Korea and the United States held the final day of the 2nd meeting for the conclusion of the 12th Special Measures Agreement (SMA) on defense cost-sharing at the Korea Institute for Defense Analyses (KIDA) in Dongdaemun-gu, Seoul. Over the three-day meeting starting from the 21st, both sides exchanged views on key issues such as the scale of contributions and the criteria for calculation.

The 2nd meeting for the conclusion of the 12th Special Measures Agreement (SMA) on defense cost-sharing between South Korea and the United States is underway at the Korea Defense Research Institute in Dongdaemun-gu, Seoul.
[Photo by Ministry of Foreign Affairs]

The SMA is an agreement that stipulates the amount South Korea will bear for the costs of the USFK presence. The 11th SMA, concluded by South Korea and the U.S. in 2021, is valid until the end of 2025. According to the 11th SMA, the defense cost-sharing amount for 2021 was 1.1833 trillion won, which was a 13.9% increase compared to the previous year, and it was agreed to raise the amount annually over the next four years reflecting the defense budget increase rate.

An official from the Ministry of Foreign Affairs explained, "In this consultation, we exchanged mutual review opinions on the major positions and concerns regarding defense cost-sharing that both sides raised during the first consultation held in Honolulu in April," adding, "We enhanced understanding of each other's positions." He further added, "Going forward, South Korea and the U.S. will continue to hold consultations regarding the 12th SMA as needed."

The meeting was attended by South Korea’s defense cost-sharing negotiation representative Lee Tae-woo from the Ministry of Foreign Affairs, officials from the Ministry of National Defense, Ministry of Strategy and Finance, and Defense Acquisition Program Administration, and from the U.S. side, Senior Advisor Linda Speck from the State Department, along with officials from the State Department, Department of Defense, and USFK.

Defense cost-sharing negotiations are usually conducted alternately in both countries. The next, third meeting is expected to be held in the United States.