South Korea’s ruling Democratic Party has introduced a bill to set up a special fund that will support the 350 billion dollar investment the country has committed to make in the United States. The Industry Ministry said on Wednesday that the bill was drafted in consultation with the government and is a key requirement for the United States to retroactively reduce tariffs on South Korean autos and auto parts from November 1.
The two countries recently announced the details of the agreement reached by their Presidents after more than three months of negotiations. The talks focused on creating a structure for the large scale investment that would not destabilise the South Korean won.
According to the bill, the fund will be created under a special Act and will be financed using income from South Korea’s foreign assets and government backed bonds issued in offshore markets. The investment includes 250 billion dollars for strategic industries in the United States and 150 billion dollars for projects aimed at modernising the American shipbuilding sector.
The Industry Ministry said it has informed the United States Commerce Secretary Howard Lutnick about the introduction of the bill. In its letter, the ministry requested the implementation of the tariff cuts on autos and auto parts now that the legislative process has begun.
Also read: Viksit Workforce for a Viksit Bharat
Do Follow: The Mainstream formerly known as CIO News LinkedIn Account | The Mainstream formerly known as CIO News Facebook | The Mainstream formerly known as CIO News Youtube | The Mainstream formerly known as CIO News Twitter
About us:
The Mainstream is a premier platform delivering the latest updates and informed perspectives across the technology business and cyber landscape. Built on research-driven, thought leadership and original intellectual property, The Mainstream also curates summits & conferences that convene decision makers to explore how technology reshapes industries and leadership. With a growing presence in India and globally across the Middle East, Africa, ASEAN, the USA, the UK and Australia, The Mainstream carries a vision to bring the latest happenings and insights to 8.2 billion people and to place technology at the centre of conversation for leaders navigating the future.
