[News Today] FAST-TRACK FOR 1BN USD INVESTMENT

[LEAD]
South Korea's economic delegation visited the United States last week and met with U.S. Commerce Secretary Howard Lutnick. He discussed a one billion dollar investment guideline, serving as a potential roadmap for Korean companies. These companies are now carefully considering their investment plans.

[REPORT]
U.S. Commerce Secretary Howard Lutnick stressed that the more companies invest in the U.S., the more benefits they will get, according to Korean corporate officials who attended the meeting in Washington.

When participants mentioned an investment plan in the one-hundred million dollar range, Lutnick reportedly said there’s a fast-track process for those investing one billion dollars.

He said investment of over one billion will receive fast-track support including a designated support staff while investments of over ten billion dollars will result in even more benefits.

Despite sources saying they did not necessarily feel pressed regarding the investment figure, the commerce secretary’s words can be viewed as applying a sort of pressure to invest much more than current plans.

Among already sealed Korean projects in the U.S., 37 billion dollars went into Samsung’s Texas plant and 7.6 billion in Hyundai Motor’s Georgia plant.

Combined with those planned in the future, Korean investment already surpasses the figure mentioned by the U.S. government by several dozen fold.

It’s still unclear, however, what kind of benefits the U.S. will offer to new investment deals.

Companies remain cautious noting it’s too early to disclose whether or not there would be further investments.

Chey Tae-won, chairman of the Korea Chamber of Commerce and Industry who led the South Korean business delegation said that investing in necessary areas is a given but there must be incentives.

Cho Sung-Dae / Korea International Trade Association
More thought should be given to how to maximize appeal on the actual execution and interactive aspects of investment.

Pundits believe the latest meeting shows that the purpose of President Trump’s tariff policy is encouraging investment in the U.S.

Seoul’s trade minister Ahn Duk-geun will also visit the U.S. as early as this week to discuss trade issues such as tariffs and subsidies.