Kang Kyung-wha is the Republic of Korea’s ambassador to the United States. She previously served as Korea’s foreign minister from 2017 to 2021.
For over 70 years, the alliance between the United States and the Republic of Korea has helped preserve peace and stability on the Korean Peninsula and beyond. Today, our partnership is expanding to focus on what our countries build together as well as what we defend together.
Last year, President Lee Jae Myung of the Republic of Korea and President Donald Trump agreed on a road map for the next stage of our alliance. A central part of that agreement was Korea’s commitment to invest $350 billion in the U.S.: $200 billion in energy and high-tech industries, and $150 billion in shipbuilding — sectors that are integral to the economic and national security of our two countries.
Following intensive consultations, Korea is now turning its commitment into real investment in America. President Trump recently unveiled the first of the strategic investments — a $22.3 billion natural-gas power project in Encinal, Texas. The 6.47-gigawatt facility, which would rank among the largest natural-gas power projects in the U.S., is expected to be fully operational by 2032.
Our governments have also agreed on a framework to build nuclear power plants in the U.S. This would involve up to $120 billion in Korean investment in eight large-scale reactors to be built by Korean and American companies.
Korea and the U.S. have also agreed to commence working on the Alaska LNG project, subject to meeting commercial reasonableness and applicable domestic legal requirements. The project would carry natural gas from Alaska’s North Slope to the southern coast, where it would be liquefied for export.
These projects show the scale of what our alliance can build together in America.
Energy is one area where our countries’ strengths complement each other. The rapid growth of artificial intelligence and data centers, together with the expansion of semiconductor and advanced manufacturing, is driving enormous U.S. demand for reliable power. Korean investment and expertise can help America meet that need. Korea has a strong record of delivering major industrial and energy projects, while the U.S. offers world-class technology, abundant energy resources and a huge market for AI, semiconductors and other advanced industries.
Our economic partnership is not new. Since 2017, Korean companies have invested over $200 billion in the U.S., making Korea a leading source of capital for new industrial facilities. More than 2,350 U.S. affiliates of Korean companies operate nationwide. Nearly 80 percent of recent Korean investment has been in industries important to U.S. economic security, including semiconductors, batteries, energy, critical minerals, automobiles and shipbuilding.
Korean investment is already building substantial industrial capacity in the U.S. Hyundai Motor Group manufactures vehicles in Georgia and Alabama. LG operates major battery manufacturing facilities across America. Samsung Electronics has semiconductor manufacturing facilities in Texas, while SK Hynix recently broke ground on a $4 billion facility in Indiana to package advanced high-bandwidth memory chips. Korean companies are opening facilities and hiring American workers, becoming part of local communities and strengthening U.S. supply chains.
The other pillar of Korea’s new investment commitment is shipbuilding, with $150 billion dedicated to the sector. The United States is seeking to rebuild its domestic shipbuilding industry, while Korea is home to some of the world’s most advanced shipbuilders. Korea’s Hanwha acquired Philly Shipyard in 2024 and is implementing a $5 billion plan to expand and modernize the yard, aiming to increase production from fewer than two ships a year to as many as 20. More projects like this are being developed, bringing Korean investment and expertise to American shipyards and helping expand U.S. maritime capacity.
None of this would be possible without a strong security foundation. As a steadfast and increasingly capable security partner, Korea is taking on greater responsibility in our combined defense posture on the Korean Peninsula. The agreement between the two presidents also set out U.S. support for Korea’s plans to build nuclear-powered submarines, along with closer cooperation in civil nuclear energy. Progress in both would further strengthen our security partnership.
Rooted in the sacrifices our countries made during the Korean War, the U.S.-Korea alliance has grown and matured over seven decades. Overcoming the trials and tribulations of changing times, it has enabled Korea’s evolution into a vibrant democracy and an advanced manufacturing powerhouse that is an indispensable strategic partner for the United States. As our cooperation expands into advanced technologies and other strategic sectors, long-term success will depend not simply on short-term opportunities but on reliable partners and mutual confidence that commitments will be honored.
The next chapter of our alliance will be measured not only by what we continue to defend together but also by what we build together. Korean investment, grounded in this enduring partnership, will strengthen American manufacturing while creating lasting value for Korea, helping make both countries more prosperous and secure for decades to come.
The post South Korean ambassador: My country is betting $350 billion on U.S. industry appeared first on Washington Post.
