From Tierney's Real News:
ShareToday, President Trump announced a major expansion of the Korea Strategic Trade and Investment Deal, unlocking $200 billion in new Korean investments in the United States as part of the broader $350 billion partnership reached last year.
Tariffs served as the primary leverage that secured this deal. For those who still question how tariffs help Make America Great Again, this is a clear example.
In 2025, the Trump administration imposed or threatened reciprocal tariffs on South Korean goods at around 25 percent. To avoid or reduce those rates, South Korea committed $350 billion in U.S. investments—$150 billion for shipbuilding and $200 billion for strategic projects in energy—in exchange for lowering tariffs on most Korean goods to 15 percent.
This investment pledge was the explicit quid pro quo for tariff relief. Trump has directly linked the funding to the negotiations, noting that South Korea “paid to get tariffs reduced and part of that money is going to this project,” and that investments of this scale might not otherwise have been available. Throughout 2026, the threat of higher tariffs continued to ensure progress on delivering the commitments.
As a result, these commitments are now being converted into concrete, large-scale energy and infrastructure projects that will yield tens of thousands of American jobs, expand reliable power capacity, strengthen national energy security, and support the trillions of dollars already flowing into advanced manufacturing and semiconductors. (Read more.)

