Ruling party vows passage of US investment bill by late February or early March: lawmaker
Rep. Han Jeoung-ae of the ruling Democratic Party of Korea speaks during a press briefing at the National Assembly in Seoul, Sunday. Yonhap
The ruling Democratic Party of Korea (DPK) said Sunday it will make efforts for the National Assembly to pass a special bill on implementing Korea's investment package for the United States by late this month or early March.
Rep. Han Jeoung-ae of the DPK, who chairs parliament's policy committee, said at a press briefing that the Assembly will work to process the legislation for a plenary vote during an extraordinary session scheduled from late this month through early March.
"We expect the bill could be processed in a plenary session between late February and early March, and we will do our best to meet that timeline," Han told reporters.
The DPK introduced the special bill on investment in the U.S. in November last year to implement the trade deal reached at the summit talks between President Lee Jae Myung and U.S. President Donald Trump.
The legislation calls for laying out the procedures required to carry out Seoul's investments in the U.S., including implementing a set of memoranda of understanding (MOUs) and the establishment of a "strategic investment fund" for the $350 billion package.
The progress of the bill has become an issue after Trump threatened to raise the reciprocal tariff for Korea to 25 percent from 15 percent, citing what he claims to be a delay in Seoul's legislative procedures.
Trump's warning sent top Seoul officials rushing to reassure Washington that the investment plans will be carried out in line with the joint summit agreements.
Industry Minister Kim Jung-kwan cut short his trip to Canada last week and flew to Washington for talks with U.S. Commerce Secretary Howard Lutnick to work out the matter.
After meeting Lutnick, Kim said the talks did not reach a conclusion, but he believes the meeting helped resolve "unnecessary misunderstandings."
Han expressed regret over Washington's reaction, saying that the U.S. should be well aware of the National Assembly procedures to process the bill.
"I wonder whether the U.S. administration might be creating an unnecessary conflict," she said. "The U.S. is aware of and has agreed to the fact that we need to go through our legislative process. ... It takes time."
Han said there will be no guarantee that the agreements will be honored if negotiations continue with the U.S. abruptly raising tariffs because the bill has not been processed quickly enough.
"This is extremely concerning," she said. "Shouldn't the U.S. respect the procedures of the counterpart country to ensure that the MOUs, concluded on the basis of mutual respect and understanding, are honored? ... I cannot help but say that this approach is deeply regrettable."