• BUSINESS
    • FINANCE
    • LEGAL
    • RETAIL & CONSUMER
    • AUTOS & TRANSPORTATION
    • HEALTHCARE & PHARMACEUTICALS
    • MEDIA & TELECOM
    • AEROSPACE AND DEFENSE
    • ENERGY
  • MARKETS
    • EUROPEAN MARKETS
    • ASIAN MARKETS
    • U.S. MARKETS
    • COMMODITIES
    • EMERGING MARKETS
    • DEALS
    • RATES & BONDS
  • WORLD
    • UNITED STATES
    • EUROPE
    • UNITED KINGDOM
    • ASIA PACIFIC
    • MIDDLE EAST
    • AFRICA
    • CHINA
    • INDIA
    • JAPAN
    • AMERICAS
    • FRANCE
    • GERMANY
  • POLITICS
    • GOVERNMENT
    • UNITED STATES
    • US SUPREME COURT
  • TECH
    • ARTIFICIAL INTELLIGENCE
    • CYBERSECURITY
    • SPACE
    • DISRUPTED
  • COMMENTARY
  • BREAKINGVIEWS
    • BREAKINGVIEWS PREDICTIONS
  • MONEY
    • WEALTH
    • FUNDS
    • ETFS
  • LIFE
    • LIFESTYLE
    • SPORTS
    • SCIENCE
  • SECTORS
    • ENERGY
    • HEALTHCARE
    • MEDIA & TELECOM
    • SUSTAINABILITY
    • ENVIRONMENT
    • RETAIL & CONSUMER
    • AUTOS & TRANSPORTATION
    • AEROSPACE AND DEFENSE
FinanceTime
  • August 19th, 2026

FinanceTimeFinancetime

  • BUSINESS
    • FINANCE
    • LEGAL
    • RETAIL & CONSUMER
    • AUTOS & TRANSPORTATION
    • HEALTHCARE & PHARMACEUTICALS
    • MEDIA & TELECOM
    • AEROSPACE AND DEFENSE
    • ENERGY
  • MARKETS
    • EUROPEAN MARKETS
    • ASIAN MARKETS
    • U.S. MARKETS
    • COMMODITIES
    • EMERGING MARKETS
    • DEALS
    • RATES & BONDS
  • WORLD
    • UNITED STATES
    • EUROPE
    • UNITED KINGDOM
    • ASIA PACIFIC
    • MIDDLE EAST
    • AFRICA
    • CHINA
    • INDIA
    • JAPAN
    • AMERICAS
    • FRANCE
    • GERMANY
  • POLITICS
    • GOVERNMENT
    • UNITED STATES
    • US SUPREME COURT
  • TECH
    • ARTIFICIAL INTELLIGENCE
    • CYBERSECURITY
    • SPACE
    • DISRUPTED
  • COMMENTARY
  • BREAKINGVIEWS
    • BREAKINGVIEWS PREDICTIONS
  • MONEY
    • WEALTH
    • FUNDS
    • ETFS
  • LIFE
    • LIFESTYLE
    • SPORTS
    • SCIENCE
  • SECTORS
    • ENERGY
    • HEALTHCARE
    • MEDIA & TELECOM
    • SUSTAINABILITY
    • ENVIRONMENT
    • RETAIL & CONSUMER
    • AUTOS & TRANSPORTATION
    • AEROSPACE AND DEFENSE
U.S. Army soldiers move jerrycans at a U.S. army base near the demilitarized zone separating two Koreas, in Dongducheon, South Korea, August 18, 2026.Kim Hong-Ji
U.S. Army soldiers move jerrycans at a U.S. army base near the demilitarized zone separating two Koreas, in Dongducheon, South Korea, August 18, 2026.Kim Hong-Ji
Home
Business
Aerospace & Defense

How has the US-South Korea relationship evolved under Trump?

August 18th, 2026 | 07:12 AM BUSINESS Aerospace & Defense 5

Facebook Twitter Google+ LinkedIn Pinterest

Worth reading...

Defense contractor Lyntris, shareholders raise about $298 million in downsized US IPO
U.S. Army picks Hanwha defence unit for mobile artillery prototypes
Ukraine's ousted defence minister calls for wartime elections
Estonia PM says arson attack on defence contractor may be linked to Russia
By Kyu-Seok Shim

U.S. President Donald Trump's order to scale back joint military drills with South Korea has revived one of the most contentious issues from his first term, underscoring how his deal-focused approach continues to test the more than 70-year-old alliance.

Here's a look at how U.S.-South Korea ties have evolved under Trump.

HOW HAS TRUMP'S NORTH KOREA POLICY SHAPED THE ​ALLIANCE?

Trump moved from threatening North Korea with "fire and fury" in 2017 to meeting its leader Kim Jong Un in Singapore in 2018, Hanoi in 2019 and at the ‌Demilitarized Zone later that year.

After the Singapore summit, Trump suspended the August 2018 Ulchi Freedom Guardian joint exercise with South Korea, calling it expensive and provocative. Several subsequent drills were cancelled or redesigned.

Talks in Hanoi collapsed without a denuclearisation agreement, and North Korea subsequently expanded its missile and nuclear capabilities. The allies have since restored larger exercises, which now cover threats including drones and cyberattacks.

Trump's latest order revives his first-term approach under different ​conditions. North Korea has expanded its weapons arsenal, continues missile testing and has developed close military ties with Russia.

Nevertheless, Trump says his relationship with Kim remains good and ​described North Korea as "unthreatening and respectful" during his presidency.

HAS THE U.S. SECURITY COMMITMENT CHANGED?

Trump has repeatedly questioned the cost of maintaining roughly 28,500 U.S. troops ⁠in South Korea while insisting that Seoul remains an important ally.

His second administration has also pushed to "modernise" the alliance, potentially giving U.S. forces greater flexibility to respond to challenges beyond ​the Korean Peninsula, particularly China. That creates tensions for Seoul, which depends on Washington to deter North Korea but is reluctant to be drawn into a conflict over Taiwan, the democratically governed island ​Beijing claims as its own.

Negotiations with Trump have advanced some South Korean priorities, with the U.S. president last year endorsing Seoul's pursuit of nuclear-powered submarines.

Seoul also wants greater latitude to enrich uranium and reprocess spent nuclear fuel, as well as faster transfer of wartime operational control.

South Korean President Lee Jae Myung has boosted defence spending and pledged a larger security role, while maintaining that Washington's defence commitment remains firm.

WHY DOES BURDEN-SHARING REMAIN CONTENTIOUS?

During ​his first term, Trump demanded a sharp increase in South Korea's contribution to hosting U.S. troops, raising concern in Seoul that he might reduce forces if it refused.

The allies have a ​cost-sharing agreement covering 2026 to 2030, under which Seoul will contribute about 1.52 trillion won ($1.1 billion) this year toward the upkeep of U.S. troops.

Trump has nevertheless continued to argue that South Korea pays too ‌little, while Seoul says ⁠the existing agreement should be honoured.

HOW HAVE TRADE TIES CHANGED?

Trump's first administration renegotiated a bilateral free trade agreement and imposed tariffs affecting South Korean steel.

His second term has brought broader tariff pressure. Washington initially threatened 25% tariffs before agreeing to a 15% rate in return for South Korean investment and other commitments.

Trump later threatened higher tariffs again, accusing Seoul of moving too slowly to implement the agreement. U.S. concerns have included South Korean regulation of American technology companies, with scrutiny of Seoul's treatment of U.S.-listed e-commerce company Coupang becoming a bilateral irritant.

WHY HAS INVESTMENT BECOME SO IMPORTANT?

South ​Korean companies have invested heavily in U.S. semiconductors, ​batteries, electric vehicles and shipbuilding.

Seoul also pledged $350 ⁠billion for U.S. projects in return for tariff relief. Disagreement emerged after Trump described the sum as payable upfront, while Seoul said it would involve loans, guarantees and equity and warned that a cash payment could destabilise its economy.

The detention of hundreds of South Korean workers during a ​2025 immigration raid at a Hyundai-LG battery project in Georgia raised alarm in Seoul and prompted warnings companies could reconsider U.S. projects.

HOW HAS ​POLITICAL MANAGEMENT CHANGED?

Trump's two terms ⁠have largely coincided with liberal South Korean governments that favour engagement with North Korea.

Former South Korean president Moon Jae-in helped facilitate Trump’s diplomacy with Kim, but differences over sanctions and inter-Korean cooperation occasionally caused friction, including with Trump’s first ambassador, Harry Harris.

The conservative Yoon Suk Yeol government took a hard line on Pyongyang and strengthened security cooperation with Washington and Tokyo. Trump's second term has again largely ⁠overlapped with a ​liberal government under Lee, who also favours lowering tensions with North Korea.

Trump's personalised diplomacy has also prompted Seoul ​to cultivate unconventional channels into the White House. During the 2025 tariff negotiations, South Korean officials engaged directly with White House Chief of Staff Susie Wiles, whom they believed could clarify Trump's intentions.

The arrival of Seoul-born former Republican congresswoman Michelle Steel ​as ambassador gives Trump a politically aligned envoy as the two governments navigate differences over North Korea, defence costs, tariffs and investment.

  • Topic
  • USA
  • TRUMP/SOUTHKOREA
  • ALLIANCE (EXPLAINER)
Facebook Twitter Google+ LinkedIn Pinterest
Next article Airbus targets A350F maiden flight in September, sources say
Previous article Philippines sees no impact on defence ties from US Middle East redeployment 

Related Posts

Aerospace & Defense
August 19th, 2026

Defense contractor Lyntris, shareholders raise about $298 million in dow...

Aerospace & Defense
August 18th, 2026

U.S. Army picks Hanwha defence unit for mobile artillery prototypes

Aerospace & Defense
August 18th, 2026

Ukraine's ousted defence minister calls for wartime elections

Aerospace & Defense
August 18th, 2026

Estonia PM says arson attack on defence contractor may be linked to Russ...

Aerospace & Defense
August 18th, 2026

American Airlines to restore seatback screens, add premium seats in prof...

Aerospace & Defense
August 18th, 2026

Airbus targets A350F maiden flight in September, sources say

The Wire
Aug 19th 2 h ago
Litigation

Greater regulatory scrutiny no bar to mining mergers, bosse...

Aug 19th 2 h ago
Energy

Turkey is ready to search for oil and gas in Syria, Turkish...

Aug 19th 2 h ago
Technology

Nebius plans $4.5 billion convertible debt sale to fund dat...

Aug 19th 3 h ago
Baseball

Now healthy, Blue Jays' Max Scherzer takes aim at Rays

Aug 19th 3 h ago
Retail & Consumer

Off-price retailer TJX raises annual profit forecasts

TRENDING ON FINANCETIME
Aug 19th, 2026 Business

European corporate outlook keeps improving as recovery goes beyond energy profits

Aug 19th, 2026 Baseball

With Jo Adell in question, Guardians chase series win vs. Giants

Aug 19th, 2026 Technology

Analog Devices' quarterly forecast tops estimates on AI-fueled chip demand

Aug 19th, 2026 India

Global shocks, IPO wave could temper India's earnings-led market revival, Abakkus Investment says

Aug 19th, 2026 Africa

Egypt to widen cash subsidy scheme to cover more essential foods

Markets-Sectors
HEALTHCARE +1.60%

  • BUSINESS
  • MARKETS
  • WORLD
  • POLITICS
  • TECH
  • COMMENTARY
  • BREAKINGVIEWS
  • MONEY
  • LIFE
  • SECTORS
  • Back to top
FinanceTime
FinanceTime

World Business & Financial News, Breaking US & International News

Additional Services
  • Privacy-Policy
  • Terms and Conditions
© Financetime.org 2026. All rights reserved. Hosted by LeadsDeposit.com
Produced by C-iT