Trump Mentions '10 Billion Dollar Defense Cost'; Government Says "This Agreement Is a Reasonable Outcome"

Ministry of Foreign Affairs: "Enforcing the SMA Agreement Within the Year to Ensure Legal Stability Will Benefit Korea-US Relations"

The government stated on the 16th that the recent South Korea-U.S. agreement was a mutually acceptable and reasonable outcome in response to former U.S. President Donald Trump, the Republican presidential candidate, saying that South Korea should bear a greater share of the costs for the U.S. troops stationed in Korea.

The chief representatives of both South Korea and the United States for the 12th Special Measures Agreement (SMA) negotiations on defense cost-sharing, Lee Tae-woo, South Korea's defense cost-sharing negotiation representative (right), and Linda Speck, Senior Advisor for Political-Military Affairs at the U.S. Department of State, are posing for a commemorative photo. (Photo by Yonhap News)

An official from the Ministry of Foreign Affairs said regarding former President Trump's remarks on defense cost-sharing, "We refrain from commenting on hypothetical questions," adding, "Earlier this month, South Korea and the U.S. made efforts through constructive consultations to reach a mutually acceptable and reasonable outcome, resulting in the conclusion of the 12th Special Measures Agreement (SMA) on defense cost-sharing."

The official continued, "We believe that activating the 12th SMA within this year to secure legal stability will help maintain stable development of South Korea-U.S. relations regardless of changes in the U.S. political situation."

On the 15th (local time), former President Trump stated in a discussion hosted by the Chicago Economic Club that if he were still president, South Korea would pay $10 billion annually (approximately 13 trillion won) for the costs of U.S. troops stationed in Korea.

The $10 billion figure is nearly nine times the 1.5192 trillion won defense cost-sharing amount agreed upon in the 12th SMA for 2026. The SMA links the cost-sharing amount to the consumer price index (CPI) increase over four years until 2030, with an annual increase capped at 5%.

Unlike South Korea, where the SMA must be ratified by the National Assembly to take effect, in the U.S., it is an administrative agreement that can, in principle, be overturned by the president's will. This raises concerns that if former President Trump returns to power, he could overturn the agreement.