South Korea’s Lee aims to revive U.S. shipbuilding for trade advantage

[American and South Korean flag standing on the table]
atakan/iStock via Getty Images

South Korean President Lee Jae Myung’s visit to the U.S. marked major announcements, including the record purchase of 103 Boeing airplanes [https://seekingalpha.com/news/4489012-korean-air-commits-to-record-purchase-of-103-boeing-jets-to-modernize-fleet] and increased spending to revive the U.S. shipbuilding sector as it aims to deepen economic ties with the U.S.

$150 billion is set aside for shipbuilding—one of the most tangible areas of investment under South Korea's total commitment to invest $350 billion in U.S. projects, according to a _Reuters_ report. Trump had earlier said that he wants to revive shipbuilding to keep up with China.

“We really sort of need each other. We love what they do. We love their products. We love their ships. We love a lot of the things that they make, and they love what we have,” Trump said during his press conference with the South Korean President.

"The K-shipbuilding industry, equipped with the world’s strongest capabilities, will bring about a renaissance of the U.S. shipbuilding industry and create a new historic turning point for mutual prosperity," Lee said [https://www.reuters.com/business/autos-transportation/south-korea-bets-big-reviving-troubled-us-shipbuilding-woo-trump-2025-08-26/].

South Korea highlighted conglomerate Hanwha Group acquiring a Philadelphia shipyard and pledging investment and workforce development. Overall, during Lee's visit, 11 non-binding agreements were inked between U.S. and South Korean enterprises, according to the country's industry ministry.

These moves are designed to strengthen the alliance with Trump and secure trade advantages amid ongoing negotiations on tariffs and defense cost-sharing. In return for these investments, Trump agreed to reduce tariffs on South Korean imports from 25% to 15%, as part of a new but still-evolving trade framework.

ETFs to track the South Korean market: (NYSEARCA:EWY [https://seekingalpha.com/symbol/EWY]), (NYSEARCA:KORU [https://seekingalpha.com/symbol/KORU]), (NYSEARCA:FLKR [https://seekingalpha.com/symbol/FLKR])

AI ETFs: (NYSEARCA:IVES [https://seekingalpha.com/symbol/IVES]), (NASDAQ:AIQ [https://seekingalpha.com/symbol/AIQ]), (NASDAQ:BOTZ [https://seekingalpha.com/symbol/BOTZ]), (NYSEARCA:DTEC [https://seekingalpha.com/symbol/DTEC]), (NYSEARCA:GINN [https://seekingalpha.com/symbol/GINN]), (NASDAQ:ROBT [https://seekingalpha.com/symbol/ROBT]), (NYSEARCA:TECB [https://seekingalpha.com/symbol/TECB]), (NASDAQ:XT [https://seekingalpha.com/symbol/XT]), (NYSEARCA:THNQ [https://seekingalpha.com/symbol/THNQ]), and (NYSEARCA:CHAT [https://seekingalpha.com/symbol/CHAT]).

DEAR READERS: We recognize that politics often intersects with the financial news of the day, so we invite you to click here [https://seekingalpha.com/article/4802982-politics-and-the-markets-082625] to join the separate political discussion.

MORE ON SOUTH KOREA

* FLKR: Benefit From AI And Semiconductor Tailwinds [https://seekingalpha.com/article/4810174-flkr-etf-benefit-from-ai-semiconductor-tailwinds]
* EWY: Dividend Tax Reform Could Boost Payout Ratios [https://seekingalpha.com/article/4799507-ewy-dividend-tax-reform-could-boost-payout-ratios]
* Soros Capital bets on South Korea and chips, withdraws from Brazil in Q2 trades [https://seekingalpha.com/news/4485618-soros-capital-bets-on-south-korea-and-chips-withdraws-from-brazil-in-q2-trades]
* South Korea’s Upstage enters global AI charts - report [https://seekingalpha.com/news/4482981-south-koreas-upstage-enters-global-ai-charts---report]
* Seeking Alpha’s Quant Rating on iShares MSCI South Korea ETF [https://seekingalpha.com/symbol/EWY/ratings/quant-ratings]