Anchor: With less than a week before Washington’s 25 percent reciprocal tariff takes effect on goods shipped from South Korea, the Seoul government has put forth a package of private investment and public financial support to benefit the U.S. shipbuilding industry. It’s been dubbed “Make American Shipbuilding Great Again.”
Choi You Sun reports.

Report: South Korea has proposed a shipbuilding project worth tens of trillions of won amid last-ditch efforts to avoid Washington’s 25 percent reciprocal tariff.

According to multiple sources on Monday, Minister of Trade, Industry and Energy Kim Jung-kwan put forth the idea on Friday during talks with U.S. Secretary of Commerce Howard Lutnick at the latter’s residence in New York.

The envisioned project has been called “Make American Shipbuilding Great Again,” and it got its name from U.S. President Donald Trump’s political slogan, “Make America Great Again.”

It would consist of investments in the U.S. from South Korean shipbuilders and financial support from Seoul in the form of loans and guarantees, to be provided by the Export-Import Bank of Korea and the Korea Trade Insurance Corporation.

Before Kim left for the U.S., South Korea’s top​ three shipbuilders — HD Hyundai, Hanwha Ocean and Samsung Heavy Industries — reportedly submitted plans for personnel training, technology transfer, and the reinforcement of equipment and material supply chains designed for shipbuilding on U.S. soil.

Lutnick reportedly expressed satisfaction with the proposed package, and South Korea’s world-leading shipbuilders are expected to provide leverage in the ongoing negotiations as the U.S. ultimately seeks to revive its shipbuilding industry.

According to a report from the Korea Trade-Investment Promotion Agency, the American shipbuilding industry began to decline in the 2000s, resulting in the number of shipyards falling from around 400 to just 21, with annual production averaging between three and five vessels.

Seoul, for its part, is seeking to differentiate itself from Tokyo, which succeeded in lowering its tariff from 25 percent to 15 percent with a major investment package.

Instead, South Korean negotiators are highlighting a potential technological and industrial alliance in line with Trump’s goal of resuscitating America’s manufacturing sector.
Choi You Sun, KBS World Radio News.