Trump calls Korea 'serious partner' in reviving US shipbuilding

U.S. President Donald Trump speaks at the 2025 Asia-Pacific Economic Cooperation CEO Summit in Gyeongju, North Gyeongsang Province, Wednesday. Reuters–Yonhap

U.S. President Donald Trump said Wednesday that the U.S. and Korea are "serious partners" in efforts to revive his country's shipbuilding sector, highlighting Hanwha Philly Shipyard as a key player poised to become "one of the most successful yards in the world."

He also signaled that a long-stalled trade deal with Seoul could be finalized soon, while praising Korea as a model of economic transformation and democratic success.

Speaking during his keynote address at the Asia-Pacific Economic Cooperation (APEC) CEO Summit in Gyeongju, North Gyeongsang Province — delivered shortly after his arrival in Korea earlier the same day — Trump said the U.S. shipbuilding industry has fallen behind due to decades of stagnation.

"We were number one in the world during World War II. We produced a ship a day," Trump said. "And today we're not really building ships. We're going to start, and we're going to have a very thriving shipbuilding industry. And we’re working on it with South Korea, very much."

Blaming the former Joe Biden administration for mismanagement, Trump claimed that Philly Shipyard in Philadelphia, now owned by Hanwha Ocean, will become one of the most successful shipyards in the world. "We're serious partners. We're wedded, and we have a very special relationship — a special bond," he said.

Korean businesspeople applaud as U.S. President Donald Trump arrives at the Asia-Pacific Economic Cooperation CEO Summit in Gyeongju, North Gyeongsang Province, Wednesday. AP-Yonhap

Trump also praised Korea's transformation into a global economic and technological powerhouse, calling it a model for other nations. He described the country as a free, democratic society that has achieved remarkable progress few others can replicate.

"The world studies what you've done," he said, "But most still don't understand it. And maybe that’s a good thing for you."

Turning to trade, Trump said the long-stalled agreement with Korea would be finalized "very soon." He described Korean Minister of Trade, Industry and Energy Kim Jung-kwan as "a tough man."

"On this trip alone, I’ve signed groundbreaking agreements with Malaysia, Cambodia, Japan," Trump said. "Our deal with the Republic of Korea will be finalized very soon — like moments, or very shortly thereafter."

While a July agreement set a blanket U.S. tariff on Korean goods at 15 percent, down from 25 percent, alongside Korea's promised $350 billion investment in the U.S., the tariff reduction has yet to be implemented.

As negotiations continue, the U.S. is reportedly pressing for more direct cash investment, similar to a deal struck with Japan, while Korea insists that much of the investment should take the form of loans and loan guarantees. Expectations were low among political observers for a finalized deal during the APEC event.

Trump also commented on upcoming negotiations with Chinese President Xi Jinping, ahead of a scheduled bilateral summit on Thursday.

"I think we’re going to have a deal," Trump said. "It’ll be a good deal for both sides. And that’s really a great result."

Following the speech, Trump and President Lee Jae Myung held a summit meeting. Trump's visit marks reciprocal visits between the two leaders within 147 days of the start of the Lee administration.