Anna Jiwon Park has been covering the politics at The Korea Times since the summer of 2024, when she joined the press pool for the Office of the President in Korea. Prior to that, she spent about five years reporting extensively on financial markets, regulatory authorities and the financial industry. She joined The Korea Times in 2019 after spending eight years as a broadcast journalist at Arirang TV, Korea’s leading global broadcaster, covering politics, defense and culture.
Lee seeks to calm foreign investors as trade tensions with US mount
President Lee Jae Myung listens to remarks from participants during a meeting with foreign-invested companies at Cheong Wa Dae in Seoul, Wednesday. Joint Press Corps
By Anna J. Park
President pledges to offer top-tier investment climate despite global headwinds
President Lee Jae Myung urged foreign investors Wednesday to trust the Korean government and the country’s economic fundamentals, reaffirming his administration’s commitment to improving conditions for foreign capital.
He made the remarks at a meeting with executives from foreign-invested companies at Cheong Wa Dae, as Korea faces tariff pressure from the United States and fallout from an investigation into a massive personal data breach at Coupang, which is headquartered in the United States. The event was intended to give the president an opportunity to hear directly from foreign investors operating in the country.
Foreign-invested companies in Korea are defined under the Foreign Investment Promotion Act as firms in which foreign investors hold shares above a designated threshold. Representatives from seven foreign chambers of commerce in Korea attending the meeting, including James Kim, chairman of the American Chamber of Commerce in Korea, and Philippe Van Hoof, chairman of the European Chamber of Commerce in Korea, as well as senior executives from 31 foreign-invested companies.
Without directly mentioning U.S. President Donald Trump’s threat to impose a 25 percent tariff on Korean imports or the Coupang investigation — which has fueled diplomatic tensions with Washington — Lee said in his opening remarks that the government would “create an objective environment so that Korea can become one of the world’s best destinations for investments.”
The president went on to emphasize the government’s role in enabling free economic activity based on rationality and predictability. He highlighted the importance of policy stability and consistency in attracting corporate investments.
President Lee Jae Myung speaks during a meeting with foreign-invested companies at Cheong Wa Dae in Seoul, Wednesday. Joint Press Corps
Reflecting on recent economic conditions, Lee noted that the first half of last year was marked by severe uncertainty, including negative growth, creating challenges for foreign investors. However, he said conditions improved significantly in the second half, resulting in the largest inflow of foreign investment in the country’s history.
“From the government’s perspective, this is extremely welcome,” Lee said, adding that his administration would work to ensure a more stable and predictable policy environment, emphasizing continuity and sustained support for foreign capital.
Addressing geopolitical concerns, Lee sought to reassure investors about security risks on the Korean Peninsula.
“Peace on the peninsula is critically important, and there is no need for concern,” he said, adding that his government would avoid unnecessary military confrontation with North Korea. “The geopolitical risk surrounding the peninsula will effectively disappear.”
The president also underscored plans to reform corporate governance, pledging to ensure that shareholders are treated as rightful owners of companies. The president further promised clearer direction in industrial and economic policy, including concrete steps to rationalize regulations and eliminate unnecessary rules.
“The goal is to ensure that companies can compete freely and fairly,” Lee said, stressing that all administrative and policy decisions would be made transparently.
President Lee Jae Myung speaks during a meeting with foreign-invested companies at Cheong Wa Dae in Seoul, Wednesday. Joint Press Corps
Commenting on the recent Korean stock market performance, Lee said recent gains have exceeded expectations, attributing the rise to a reassessment of Korea’s underlying fundamentals.
As for the government’s broader policy direction, he pointed to balanced regional development and sustained support for young people. He explained his administration’s push to rebalance development between the Seoul metropolitan area and regional areas, suggesting that the government’s regional-focused policies could become an important factor in future investment decisions.