US, South Korea Reach Significant Trade Agreement Amid Regional Tensions

President Trump is in South Korea as part of his Asia tour, where he has secured a "pretty much" finalized trade deal with South Korean President Lee Jae Myung. The agreement, which follows months of deadlocked negotiations, includes a reduction of US tariffs on South Korean imports to 15% and a pledge of up to $350 billion in South Korean investment in the United States, although some issues such as auto tariffs and investment structures remain unresolved. This deal has contributed to a stronger outlook for Korean export industries and a rebound in the South Korean won. The trade agreement comes amid heightened regional tensions following North Korea's ballistic missile test, yet Trump downplayed the threat and is preparing for an upcoming meeting with Chinese President Xi Jinping. The US-South Korea deal and the potential US-China summit have significant implications for global economic relations and trade dynamics. Additionally, South Korea recently announced a major $5 billion investment by Amazon in AI infrastructure, underscoring deeper economic ties with the US.