This article is by Oh Hyun-seok, Yoon Ji-won and read by an artificial voice.
GYEONGJU, North Gyeongsang - The U.S. government reportedly pushed Korea to increase its investment package to over $350 billion, a request that President Lee Jae Myung fended off with a determination to bring the whole negotiation back to zero, according to senior government officials on Thursday.
The U.S. delegation - including Commerce Secretary Howard Lutnick - insisted that in addition to the $200 billion in cash investments already proposed, Korea should commit at least $150 billion more in other forms of investment.
"The United States wanted more investment not only in shipbuilding but also in reviving American manufacturing," an official said. "What made negotiations difficult was the sheer scale of the total investment being demanded."
Washington had pushed for the amount to go beyond $350 billion - plus additional commitments. This pressure continued right up to Tuesday, just one day before the Korea-U.S. summit.
Multiple sources confirmed that the United States also threatened to maintain the current 25 percent tariff on automobiles unless the demand was met - a move that hinted they were willing to let the negotiations collapse. With the summit just a day away, the U.S. side delayed confirming detailed arrangements, further heightening tensions.
"The atmosphere at the time was very pessimistic," recalled a senior official from the presidential office.
However, Lee, after receiving updates on the situation, told aides, "There's no way Trump will let it end like this," urging his team to remain calm. Lee reportedly asked about various scenarios should the United States stick with the 25 percent auto tariff - signaling that he was prepared to pursue a "no deal" strategy if necessary.
"He set a red line," said a senior presidential aide. "He told us not to agree to anything that would undermine the national interest, and that gave his aides the resolve to hold firm."
As late as the early morning of Wednesday, the day of the summit, the situation remained uncertain. Until 10 a.m., Trump's Air Force One remained in Tokyo, an hour past its scheduled departure for Korea.
Just as fears of a collapsed negotiation mounted, communication between the two sides resumed. The United States then notified Korea that it could accept Seoul's investment proposal. Both sides finalized the agreement within an hour after reporting to their presidents.
In the end, the United States agreed to the original $350 billion package. Unlike in the U.S.-Japan talks, Washington also accepted Korea's request to set an annual cap of $20 billion on direct cash investments.
However, the U.S. position prevailed on a key sticking point: how to divide the profits before the principal is recovered. Korea had sought a 90-to-10 split, but the final deal settled on a 50-50 division.
"We stuck to the 90-to-10 request until the end, but it wasn't accepted," a senior official said.
Still, the Korean side highlighted safeguards included in the deal - such as a provision allowing adjustments to the profit-sharing ratio if principal and interest cannot be recovered within 20 years, and an "umbrella structure" that allows losses in one project to be offset by gains in another.
When Trump landed at Gimhae International Airport, the only remaining step was for the two presidents to confirm the agreement. Trump's cooperative tone made the outcome clear.
At the APEC CEO Summit - Trump's first stop after arriving in Korea - he mentioned Korean Industry Minister Kim Jung-kwan by name, saying, "He's a fine man and a very tough negotiator. I wish I had met someone a little less capable."
During the summit's opening remarks, Trump added, "Korea and the United States will lead global shipbuilding together again, and soon rank among the world's top players."
The private summit between the two leaders reportedly did not include further discussion of tariffs.
"The fact that tariffs weren't mentio...