President Lee Jae-myung has urged his government to build bipartisan support in the US Congress as Seoul navigates the economic and security implications of the US midterm elections.
Lee told a Cabinet meeting to expand engagement with US state governments and businesses, closely monitor financial markets and prepare contingency plans to limit any economic fallout.
“The most important thing is to focus our diplomatic efforts on strengthening and expanding trust and cooperation between South Korea and the United States from a mutually beneficial perspective,” he said.
Democrats took control of Congress in last week’s US midterm elections, making extraordinary gains deep in Republican territory with voters delivering a sharp rebuke to President Donald Trump and his agenda.
South Korean officials are assessing how the changed political landscape in Washington could affect AI investment and a crowded bilateral agenda spanning trade to friction over the treatment of companies and defence.
Finance Minister Lee Hyoung-il told lawmakers that AI investment in the real economy remained robust despite stock market concerns following the US midterms, citing expert assessments.
Industry Minister Kim Jung-kwan said the election result was unlikely to slow such investment.
The two allies are working through a large South Korean investment package in the US, while progress has been slow on the transfer of wartime operational control and Seoul’s push to acquire nuclear-powered submarines.
Analysts said cooperation on South Korea’s nuclear initiatives, including its push for uranium enrichment and spent fuel reprocessing, could face closer scrutiny in a Democratic-controlled Congress. — Reuters
