South Korea resists Trump’s calls for $350B upfront investments in tariff deal

[waving the American flag, the Star-Spangled Banner, the Stars and Stripes and south korean flag on blue sky, korean and us alliance, us and korean alliance]

South Korea cannot pay $350B upfront for U.S. investments, a top aide to the country’s president said after U.S. President Donald Trump touted this week that the Asian country has agreed to the proposal as part of a tariff agreement signed in July. [https://seekingalpha.com/news/4499385-trump-presses-japan-south-korea-to-pay-billions-upfront-in-investments]

In July, the Trump administration agreed to lower South Korea’s reciprocal tariffs, as well as levies on autos, to 15% from an initially imposed 25% rate in exchange for Korean investments worth $350B in the U.S., among other measures. [https://seekingalpha.com/news/4475077-trump-says-us-strikes-trade-deal-with-south-korea-imposes-15-tariffs]

Speaking to reporters at the White House on Thursday, Trump insisted that South Korea would pay for the investments "upfront," a demand resisted by the Korean side, noting that such an outlay would plunge the country into a financial crisis similar to the one it experienced in 1997.

"The position we're talking about is not a negotiating tactic, but rather, it is objectively and realistically not a level we are able to handle," said South [https://www.reuters.com/world/asia-pacific/south-korea-cannot-pay-350-billion-us-tariff-deal-trump-suggests-top-aide-says-2025-09-27/] Korea's National Security Adviser Wi Sung-lac on Channel A News television, according to Reuters. "We are not able to pay $350 billion in cash," he said.

Wi added that no one will question Seoul’s views on the viability of the proposal if it is required as an upfront payment. "We're discussing alternatives," he added [https://www.reuters.com/world/asia-pacific/south-korea-cannot-pay-350-billion-us-tariff-deal-trump-suggests-top-aide-says-2025-09-27/], noting that his country is expecting to finalize the U.S. trade deal when Trump visits Korea to attend the summit of the Asia-Pacific Economic Cooperation (APEC) next month.

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]).

MORE ON SOUTH KOREA-RELATED ETFS

* EWY: Taking Stock Of The Largest South Korean ETF [https://seekingalpha.com/article/4818627-ewy-taking-stock-of-largest-south-korean-etf]
* 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]
* Trump presses Japan, South Korea to pay billions 'upfront' in investments [https://seekingalpha.com/news/4499385-trump-presses-japan-south-korea-to-pay-billions-upfront-in-investments]
* U.S., South Korea in talks to fine-tune $350B trade agreement - report [https://seekingalpha.com/news/4499091-us-south-korea-in-talks-to-fine-tune-350b-trade-agreement---report]