Sign or Pay More: Hold South Korea to Every Dollar of Its $350 Billion Promise
Seoul agreed to invest big in America for lower tariffs. Texas power is moving; Alaska LNG is not signed. In our view, Trump is right to press, project by project, in writing.
By Clara Hughes
ALTAS WORLD NEWS OPINION | By Clara Hughes, Chief Opinion Editor | October 5, 2026 | 6-min read Last year, South Korea promised to invest $350 billion in the United States in return for lower U.S. tariffs on Korean goods. Last week, the first big pieces of that promise got names, price tags and an address in South Texas. They also exposed a gap between what Washington announced and what Seoul says it agreed to, most of all on a gas pipeline across Alaska. President Trump's answer was blunt: sign, or pay more. In our view, he is right to press. But the best way to hold an ally to a promise is project by project, in writing, with numbers that add up. Key Takeaways The first project is concrete: a $22.3 billion gas-fired power plant in Encinal, Texas, due to begin commercial operation in 2029 and reach full capacity in 2032 [1]. Korea's government says it will supply nearby AI data centers [2]. Eight large nuclear plants are planned under a $120 billion financing package, but Seoul says "specific details remain pending" [1][2]. On Alaska LNG, Seoul says the two countries will only "begin reviewing whether to move forward," and President Trump has warned, "I'll just charge them more" [2][3]. America runs a large trade deficit with South Korea. The investment pledge was supposed to help balance that ledger with factories, power plants and jobs on American soil. The question is how much of it will be built, and how fast. What Was Announced Yonhap News Agency reports that the $350 billion commitment breaks down into $150 billion for shipbuilding and the remainder for strategic investments, and that it came in return for lowering U.S. tariffs on Korean goods to 15 percent from 25 percent [1]. At the White House on Sept. 30, the President said South Korea "will invest up to $200 billion ... to build a 6-gigawatt power generation facility in Texas" and "eight new large-scale nuclear power plants" [1]. The Texas plant, called Project Star, is the most developed. According to…