U.S. Wields Threats at Ally: "South Korea Must Invest in Alaska or Face Heavier Costs"
A report by South Korea’s JoongAng Ilbo (Japanese edition) on October 3 stated that U.S. President Trump said if South Korea does not swiftly agree to invest in the Alaska liquefied natural gas (LNG) project, he would impose greater burdens on Seoul. The president publicly exerted pressure on the South Korean government.
On October 2 (U.S. local time), when asked whether it was premature to announce the deal given that South Korea had not yet agreed to the Alaska project, Trump responded: “It is not too early. The South Korean delegation attended the consultation meeting.”
Trump added: “We’ll see. If they don’t want to do it, I’m not bothered. We can charge them double.”
When pressed again on South Korea’s statement that it has not yet agreed, he said: “We should tell them that if they don’t agree soon, we’ll double the amount.”
Trump did not specify whether the reference was to tariffs being doubled, but it is notable that both tariff increases and higher investment requirements could increase the financial burden on South Korea.
Last year, South Korea agreed to invest $350 billion in the United States in exchange for a reduction in U.S. tariffs on South Korean goods from 25% to 15%.
Last month, on the 30th, Trump unilaterally announced that South Korea had agreed to invest $50 billion in the Alaska LNG project. However, the South Korean government remained silent, stating that decisions regarding investment and scale had not yet been made.
The sudden pressure from Trump on South Korea over the Alaska project appears linked to the upcoming midterm elections. From the outset, the project has been interpreted as a move supporting incumbent Republican lawmakers, particularly amid a tight race in the Alaska Senate election between Republican and Democratic candidates.
Trump is effectively pressuring South Korea to commit to investment in the Alaska LNG project. He stated that if no agreement is reached with the South Korean government on this project, the U.S. will “double the charges.”
A joint statement issued by the U.S. and South Korea noted that the two countries would advance plans for a gas-fired combined-cycle power plant in Encina, Texas, as the first U.S. project under the initiative, and would further discuss future construction of eight large-scale nuclear power plants and the Alaska project. This differs from Trump’s claim that South Korea would invest $50 billion in the Alaska project.
Trump continues to unilaterally announce projects involving South Korean investment. That morning, the social media platform Truth Social announced that South Korea would invest $8.4 billion in an oil production expansion project. However, according to South Korea’s official report, this project was not included in the investment agreement and remains under discussion.
Original article: toutiao.com/article/1878001781214339/
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