"It is better to invest in the U.S. in fields like AI"
On subsidy abolition: "It won't be a simple 'give or not give' situation"
"The U.S. side liked the six sectors including shipbuilding and energy"
Choi Tae-won, Chairman of the Korea Chamber of Commerce and Industry and SK Group, emphasized that he is considering additional investments in the United States even after the launch of Donald Trump's second administration, but incentives such as tax cuts are necessary.
Choi Tae-won, Chairman of SK Group and Chairman of the Korea Chamber of Commerce and Industry, is interviewed by the press at the '2025 Trans-Pacific Dialogue (TPD)' event hosted by the Choi Jong-hyun Academic Foundation at a hotel in Washington DC on the 21st (local time). February 23, 2025. Photo by Washington Correspondents. Redistribution and DB prohibited. Yonhap News
On the 21st (local time), Chairman Choi met with reporters at the '2025 Trans-Pacific Dialogue' (TPD) event hosted by the Choi Jong-hyun Academic Institute held at a hotel in Washington DC, saying, "We will continue to review (investment in the U.S.)" and "In business, it is natural to make necessary investments."
He said, "No company approaches thinking about how much to invest during the Trump era; rather, they discuss how good or bad it is for their business," adding, "The Trump administration says they want more production facilities in the U.S., but we need incentives alongside that."
Chairman Choi expressed his intention to observe the incentives the U.S. will offer. He said, "The U.S. says they will lower (taxes), but nothing has been announced yet," and added, "We need to wait a bit longer. Only then can we make plans or reflect something, but nothing has come out yet."
Regarding incentives, Chairman Choi said, "It may not necessarily be just about money. There can be various types of incentives," and "It is necessary for Korea and the U.S. to work together to do mutually beneficial things." He also explained, "If the relationship is only about buying cheaper things and selling more of our own, it would be quite barren," and "Korea and the U.S. need to create big projects that generate synergy so that Korea can ride the current trend waves well."
Chairman Choi hoped that the Trump administration's tough stance would soften. The Trump administration is showing moves to abolish subsidies under the Inflation Reduction Act (IRA) and the CHIPS Act from the previous Joe Biden administration. Regarding the abolition of subsidies, Chairman Choi said, "It's not for me to say, but one of the U.S. political figures I met during my visit said, 'That will continue to be well executed. I believe so, and it is good for the U.S., so why wouldn't they provide it?'" He added, "In reality, they will consider their own interests. It won't be a simple 'give or not give' situation."
He continued, "I expect the Trump administration to review it again, and the results of that review need to come out," and explained, "They said they will announce something around April at the earliest, so let's wait and see."
Choi Tae-won, Chairman of SK Group and Chairman of the Korea Chamber of Commerce and Industry, is interviewed by the press at the '2025 Trans-Pacific Dialogue (TPD)' event hosted by the Choi Jong-hyun Academy at a hotel in Washington DC on the 21st (local time). 2025.2.23 [Provided by Washington Correspondents. Redistribution and DB prohibited] Yonhap News
In response to criticism that the U.S. is not an attractive investment destination due to high labor costs, he said, "That kind of discussion is not at the current stage," and "The situation varies by industry sector." He also said, "There are disadvantages in the U.S., but there are also advantages," adding, "Honestly, in fields like artificial intelligence (AI), investing in the U.S. might be much better than investing elsewhere right now."
Regarding reports that the Trump administration is pressuring Taiwan's TSMC, the world's largest global foundry (semiconductor contract manufacturing) company, including attempts to have it acquire Intel's U.S. factory, Chairman Choi responded, "Pressuring? I don't see it that way."
Chairman Choi led a 'Trade Outreach Delegation to the U.S.' consisting of 26 members on the 19th and 20th, meeting with senior officials from the White House, the Treasury Department, key members of Congress, and governors. The Korea Chamber of Commerce and Industry prepared six sectors: shipbuilding, energy, nuclear power, AI and semiconductors, mobility, and materials, parts, and equipment.
Regarding the achievements of this delegation, Chairman Choi said, "The plan was to talk about things that would interest them (the U.S. side) as much as possible, and in that respect, there were achievements," adding, "We prepared so that there would be mutually beneficial discussions, and I think the U.S. side liked the six sectors quite a lot."
When asked about any requests to the Korean government negotiating with the U.S., Chairman Choi replied, "I will make sure to convey them well. Negotiations must be done well."
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.
