Lee Concludes Schedule with Visit to Philly Shipyard
Lee Showers Trump with Praise... No Surprise Demands
Outstanding Issues Remain, Including U.S. Demands for Additional Opening of Agricultural and Fisheries Markets
President Lee Jae-myung and First Lady Kim Hye-kyung are greeting as they board Air Force One upon returning from their visit to the United States at Philadelphia International Airport in Pennsylvania on the 26th (local time). Photo by Yonhap News
The most significant achievement President Lee Jae Myung gained from his six-day, three-night official visit was the establishment of a relationship of trust with U.S. President Donald Trump. Although there was a period of tension caused by President Trump's remarks on social networking services, the South Korea-U.S. summit proceeded in a friendly atmosphere, thanks to President Lee's repeated praise. However, unresolved issues remain, such as the detailed coordination of the U.S. investment fund and additional demands from the Trump administration.
During his visit to the United States, President Lee elicited a favorable response from President Trump. President Lee showered President Trump with praise, mentioning the White House remodeling led by Trump and calling it "dignified," and, considering Trump's aspiration for a Nobel Peace Prize, urging him to "become a peacemaker." In response, President Trump also praised President Lee, stating, "He is more determined than any other leader to resolve the North Korean issue," and "He is an outstanding figure representing Korea."
Just before the summit, President Trump had created a tense atmosphere by posting on social media, "There are purges or revolutions happening in Korea. We will not do business with Seoul." As a result, officials at the presidential office were concerned that President Lee might find himself in a situation similar to that of Ukrainian President Volodymyr Zelensky or South African President Cyril Ramaphosa, who had faced controversy at the White House earlier this year.
Lee Showers Trump with Praise... No Surprise Demands
President Lee Jae Myung delivers a congratulatory speech at the naming ceremony of the 'State of Maine' ship at Hanwha Philly Shipyard in Philadelphia, USA, on the 26th (local time). Photo by Yonhap News
However, during the South Korea-U.S. summit, President Trump's antagonistic stance disappeared, and there were no unexpected demands from the U.S. side. Previously, the United States had continued to make additional requests, such as further opening of the agricultural market, even after the tariff negotiations were concluded on July 31. On the flight to Washington, D.C. on August 24, President Lee also mentioned, "There are requests to change the terms of the agreement." Nevertheless, President Trump declared at the proclamation signing ceremony, "The agreement has been finalized. We have maintained our position," indicating his intention to uphold the existing agreement framework.
On August 26 (local time), President Trump commented on trade negotiations with South Korea, saying, "We tried to see if they could do something, but they kept the agreement." During a cabinet meeting at the White House that day, President Trump said, "There were issues with Korea, but I had a meeting with President Lee Jae Myung yesterday and they were resolved." He added, "We did nothing; we just kept the same agreement," and explained, "He kept the agreement."
These remarks were made in the context of discussing the status of trade agreements not only with South Korea, but also with other major trading partners such as the European Union, Japan, and Vietnam. It is interpreted as an indication that during the South Korea-U.S. summit at the White House the previous day, contentious issues between the two countries were resolved in a way favorable to the United States.
However, there are still significant differences of opinion on specific issues. Regarding the method of U.S.-bound investment, South Korea insists on creating a fund focused on guarantees and loans, while the United States is demanding an increase in the proportion of direct investment. Kim Yongbeom, Policy Chief of the Presidential Office, explained, "Once the memorandum of understanding (MOU) between the two countries is finalized, issues related to the U.S. investment fund and others will be discussed in detail."
Outstanding Issues Remain, Including Additional U.S. Demands for Agricultural and Marine Product Market Opening
President Lee Jae Myung is smiling while shaking hands with U.S. President Donald Trump after the South Korea-U.S. summit held at the Oval Office of the White House in Washington DC on the 25th (local time). Photo by Yonhap News
The presidential office also stated that the issue of further opening the agricultural and livestock market was not discussed at the summit. However, there are expectations that the U.S. may raise the issue again in the future, as the sensitive matter was likely set aside only temporarily. U.S. Secretary of Commerce Howard Lutnick indicated continued pressure for market opening by stating at the South Korea-U.S. business roundtable held immediately after the summit, "We will continue to develop markets for our farmers, manufacturers, and innovators."
It is also noteworthy that the two countries reaffirmed their commitment to cooperation using the shipbuilding industry as leverage. President Lee said, "Not only in shipbuilding, but also in the manufacturing sector, a renaissance is taking place in the United States, and we hope South Korea can join in." President Trump responded, "I hope that, through cooperation with South Korea, ships will once again be built in the United States."
Reaching a consensus on North Korea policy and security issues was also significant. When asked by reporters whether he would attend the Asia-Pacific Economic Cooperation (APEC) summit to be held in Gyeongju this October, President Trump left open the possibility of meeting with North Korean leader Kim Jong Un. Although sensitive security issues were not discussed in detail, some progress was made as President Lee agreed to the U.S. request to increase defense spending.
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