S. Korea's National Assembly set to vote on bill on U.S. investment pledges
The National Assembly is set to convene on Thursday to vote on a special bill on South Korea's US$350 billion investment pledge to the United States under a trade deal between the two nations after rival parties reached a bipartisan agreement earlier this week, Yonhap reports.
On Wednesday, the ruling Democratic Party (DP) and the main opposition People Power Party (PPP) approved the bill during a meeting of the parliamentary legislation and judiciary committee.
Under the bill, a new state-run corporation specialized in implementing the investment package will be set up with a paid-in capital of 2 trillion won (US$1.36 billion), fully financed by the South Korean government.
The corporation will consist of a total workforce of 50 employees, and three members on the board of directors will be required to have at least 10 years of experience in the financial sector or strategic industries to prevent crony appointments.
The bill was introduced by the DP in November to carry out Seoul's investment pledges to the U.S. as part of a trade deal reached by the two countries last year.
The legislation calls for outlining the procedures for implementing Seoul's investments in the U.S., including the execution of memoranda of understanding and the establishment of a "strategic investment fund" for the $350 billion package.
The government has been seeking to accelerate the passage of the bill after U.S. President Donald Trump threatened to raise reciprocal tariffs on Korean goods back to 25 percent from 15 percent in January, citing a delay in Seoul's legislative process needed to move the trade deal forward.
As reported earlier, S. Korean exports increased 55.6% in the first 10 days of March.