Seoul Rules Out Start of Strategic US Investments Before Mid-2026
South Korea’s Finance Minister Ko Yun-cheol said the planned $350 billion in strategic investments in the United States is unlikely to begin before mid-2026, citing current foreign-exchange conditions and the weakness of the won as obstacles to near-term implementation.
The remarks follow an agreement between Seoul and Washington to cap annual outbound investment flows at $20 billion in exchange for reduced US tariffs on Korean imports.
Ko explained that even large projects such as nuclear power plants require lengthy steps including site selection, design and construction, which will limit initial capital outflows.
The government does not plan to impose additional currency controls as it seeks to upgrade South Korea to developed-market status and further internationalize the won.
The currency has recently approached its lowest level since the global financial crisis despite strong exports and a buoyant stock market.
Seoul pledged to continue market-stabilization measures and accelerate the creation of a special investment fund to support projects that may include nuclear energy, artificial intelligence and biotechnology, aiming to bolster economic growth forecast at 2 percent this year.
The remarks follow an agreement between Seoul and Washington to cap annual outbound investment flows at $20 billion in exchange for reduced US tariffs on Korean imports.
Ko explained that even large projects such as nuclear power plants require lengthy steps including site selection, design and construction, which will limit initial capital outflows.
The government does not plan to impose additional currency controls as it seeks to upgrade South Korea to developed-market status and further internationalize the won.
The currency has recently approached its lowest level since the global financial crisis despite strong exports and a buoyant stock market.
Seoul pledged to continue market-stabilization measures and accelerate the creation of a special investment fund to support projects that may include nuclear energy, artificial intelligence and biotechnology, aiming to bolster economic growth forecast at 2 percent this year.
