President Donald Trump has given South Korea clearance to build a nuclear submarine in a Philadelphia shipyard, he said Wednesday.
Trump’s announcement also said the country agreed to pay $350 billion to lower the tariff prices against them, buy oil and gas, along with investments exceeding $600 billion in the United States. The president met with South Korea during the Asia-Pacific Economic Cooperation summit on his tour of Asia.
“Our Military Alliance is stronger than ever before and, based on that, I have given them approval to build a Nuclear Powered Submarine, rather than the old fashioned, and far less nimble, diesel powered Submarines that they have now. A great trip, with a great President of South Korea!” he wrote on Truth Social.
Trump later touted the nuclear submarine’s U.S.-based construction, saying the country is “building its Nuclear Powered Submarine in the Philadelphia Shipyards, right here in the good ol’ U.S.A. Shipbuilding in our Country will soon be making a BIG COMEBACK.” South Korea’s Hanwha Group purchased the shipyard last year.
Trump met with South Korean President Lee Jae Myung for 90 minutes on Wednesday. Afterward, Trump said the two countries had finalized a trade deal. “I think the meeting was determined, very much determined,” Trump said. “We made a deal, pretty much finalized a trade deal.”
Two senior South Korean officials in a media briefing also confirmed that the two countries had agreed to terms on a trade deal, the Wall Street Journal reported.
There had been previous doubts that the United States and South Korea could reach a tariff agreement, but Trump silenced speculation.
The trade agreement marks another in several that the administration has inked with countries following Trump’s sweeping tariff declaration earlier this year. China, one of the chief countries being taxed, still hasn’t resolved its differences with the U.S.
Trump will meet with Chinese President Xi Jinping on Thursday, hoping to make progress on the trade front. The president had recently announced a new tariff hike of 100% by Nov. 1 after China unveiled new export controls on rare earth minerals.
Treasury Secretary Scott Bessent said the two countries reached a tentative framework on Sunday to avoid a 100% tariff.
“I think we’ve reached a substantial framework for the two leaders who will meet in Korea next Thursday,” Bessent told ABC News. “The president had given me maximum leverage when he threatened 100% tariffs if the Chinese imposed their rare earth global export controls, so I think we have averted that,” adding that the tariffs on Chinese goods would be avoided if the deal holds.
TRUMP SAYS HE REACHED TRADE DEAL WITH SOUTH KOREA: ‘GREAT SESSION’
Trump said around 5 p.m. Eastern time on Wednesday that his meeting with Xi would occur in “a few hours.”
“Very much looking forward to my meeting with President Xi of China,” he added.
