South Korea and the U.S. Conclude 5th Defense Cost-Sharing Talks... "In-Depth Discussions"

Ministry of Foreign Affairs: "Will Conduct Consultations Frequently"

The fifth round of defense cost-sharing talks to determine South Korea's share of the costs for the U.S. Forces Korea (USFK) stationing has concluded.

According to the Ministry of Foreign Affairs on the 12th, the fifth meeting for the conclusion of the 12th Special Measures Agreement (SMA) on defense cost-sharing ended on the same day. A ministry official stated, "In this meeting, based on the previous four rounds of consultations, more focused and in-depth discussions were held on key issues of mutual interest," adding, "South Korea and the United States plan to continue holding consultations regularly regarding the 12th SMA."

On the morning of the 10th, the 5th meeting for the conclusion of the 12th Special Measures Agreement (SMA) on Defense Cost-Sharing between South Korea and the United States was held at the Korea National Defense University Seoul Campus in Yongsan-gu, Seoul.
[Photo by Ministry of Foreign Affairs]

The meeting was held over three days starting from the 10th at the Korea National Defense University Seoul Campus. South Korea was represented by Lee Tae-woo, the Ministry of Foreign Affairs' chief negotiator for defense cost-sharing, while the U.S. side was led by Linda Specht, Senior Advisor at the U.S. Department of State. Officials from both countries' foreign and defense ministries also attended.

Previously, South Korea and the U.S. held the first to third rounds of talks on April 23-25 in Honolulu, Hawaii; May 21-23 in Seoul; and June 10-12 in Washington D.C., respectively, to confirm their basic positions and exchange views on key issues and points of contention. South Korea has set "a reasonable level of contribution" as its negotiation standard, while the U.S. emphasizes "the necessity of cost-sharing to maintain defense posture."

Notably, since the third round, the intervals between negotiation sessions have noticeably shortened. In diplomatic circles, there is analysis that consensus on core issues such as the scale of contributions and criteria for rate increases is drawing closer. It is reported that both sides aim to complete related consultations before the U.S. presidential election in November. The validity period of the 11th SMA remains for one year and eight months.

The SMA is an agreement that stipulates the amount South Korea will bear for the stationing costs of USFK. South Korea's contributions cover wages for Korean workers employed by USFK, construction costs for military facilities within U.S. bases, ammunition management, transportation support, and procurement of supplies.

In March 2021, South Korea and the U.S. finalized the 11th SMA, valid until the end of 2025. At that time, the 2021 defense cost-sharing amount was agreed upon at 1.1833 trillion won, a 13.9% increase from the previous year (1.0389 trillion won), with plans to raise it annually over four years in line with the previous year's defense budget growth rate.

The results of the 12th SMA negotiation meetings will apply from 2026 onward.