Korea Inc. meets with Lutnick, Rubio as trade deal finalized in Gyeongju

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Korea Inc. meets with Lutnick, Rubio as trade deal finalized in Gyeongju

Published: 29 Oct. 2025, 19:27

LEE JAE-LIM
[email protected]

Audio report: written by reporters, read by AI

President Lee Jae Myung shakes hands with U.S. President Donald Trump during a special dinner banquet hosted by President Lee at the Hilton Hotel in Gyeongju, North Gyeongsang, on Oct. 29. [JOINT PRESS CORPS]

GYEONGJU, North Gyeongsang — Korea’s top business leaders and senior officials joined a high-profile roundtable meeting on Wednesday evening hosted by U.S. Commerce Secretary Howard Lutnick as Seoul and Washington finally finalized a bilateral trade pact.

From the Korean side, Samsung Electronics Executive Chairman Lee Jae-yong, SK Group Chairman Chey Tae-won, Hyundai Motor Executive Chair Euisun Chung and LG Group Chairman Koo Kwang-mo attended the event, held alongside the Asia-Pacific Economic Cooperation (APEC) CEO Summit in Gyeongju, North Gyeongsang, and joined by other top executives from both nations.

The participating firms were reportedly handpicked by Washington, chosen for their involvement in bilateral projects linked to Korea’s $350 billion investment plan in the United States, covering key sectors such as semiconductors, shipbuilding, energy, defense and materials.

U.S. President Donald Trump, right, accompanied by Korean President Lee Jae Myung, inspects an honor guard during a welcome ceremony for the U.S. leader ahead of their talks at the National Museum in Gyeongju, North Gyeongsang, on Oct. 29. [JOINT PRESS CORPS]

The gathering was regarded as a reciprocal event to the Korea-U.S. Business Roundtable held in Washington in late August during President Lee Jae Myung’s visit to the United States, intended to foster a cooperative atmosphere amid stalled tariff negotiations.

The roundtable was followed by a dinner banquet co-hosted by Lutnick and U.S. Secretary of State Marco Rubio, attended by around 100 to 150 business leaders from both countries.

Industry Minister Kim Jung-kwan, who leads Korea’s negotiating team, has held multiple virtual meetings in recent days with Secretary Lutnick to discuss the investment framework, as well as an in-person meeting in Washington last week with Presidential Policy Director Kim Yong-beom. Both sides reportedly resumed virtual consultations immediately after returning to Seoul in a final push to bridge differences.

The two countries reached a tentative agreement in July for the United States to cut reciprocal tariffs on Korean imports from 25 percent to 15 percent in exchange for Korea’s pledge of investment.

U.S. President Donald Trump delivers an address during the CEO Summit of the Asia-Pacific Economic Cooperation forum at the Gyeongju Arts Center in Gyeongju, North Gyeongsang, on Oct. 29. [JOINT PRESS CORPS]

U.S. President Donald Trump hinted at a possible resolution, saying the deal could be “finalized very soon, moments or very shortly thereafter,” during his speech made between CEO Summit sessions on Wednesday. He added, “These agreements will be incredible victories for all of us because everyone is better off when we have stable partnerships, not plagued by chronic problems and imbalances.”

Trump also praised Korea’s negotiators, describing Minister Kim Jung-kwan as an “incredible” and “tough” counterpart, and reaffirmed that the two countries are “serious partners” with a very special bond.” He highlighted Korea’s shipbuilding strength, saying, “The Philadelphia shipyard [Hanwha Philly Shipyard] is going to be one of the most successful yards in the world.”

The encounter came at a critical moment as Korea and the United States discussed the structure of Seoul's $350 billion investment package, pledged in return for lowered tariffs.

The Korean government perceives that the sheer size of the funding could harm the country’s market stability, so the focus has centered on reducing the size of the investment vehicle.

In line with the endeavor, the Korean government proposed including a separate $150 billion of direct investments by Korean companies in the broader, government-led $350 billion package, according to Foreign Minister Cho Hyun during a parliamentary audit on Tuesday.

The invitation list for the roundtable and dinner with the U.S. Commerce Secretary effectively serves as a short list of Korean firms that Washington has closely watched in the context of U.S.-bound investment.

Tech-focused firms like Samsung, LG and SK and shipbuilders such as HD Hyundai and Hanwha Ocean were predictable, but the inclusion of Choi Yun-beom, chairman of Korea Zinc, came as a surprise.

The selection appears to be associated with the U.S. push to strengthen the supply chain for critical minerals, including rare earths, given that the Korean smelter has acquired refining capabilities for these materials.

At the APEC CEO Summit’s keynote session, President Lee warned against the rise of protectionism and economic nationalism, emphasizing that the global community must resist division even in difficult times.

“In an era where mere survival is urgent, inclusiveness and coexistence may sound hollow,” Lee said. “But paradoxically, it is during crises that the role of APEC — as a platform for solidarity — shines even more.”

Quoting the adage, “A friend in need is a friend indeed,” Lee added, “We’ve demonstrated, time and again, that mutual trust and cooperation pave the path to shared prosperity.”

BY LEE JAE-LIM, PARK EUN-JEE [[email protected]]