Ruling Party to Propose US Investment Special Act on 26th—'Not Subject to National Assembly Ratification'

(Seoul=Yonhap Infomax) Da Ye On—The Democratic Party of Korea (DPK) will introduce a Special Act on US Investment on November 26 as a follow-up measure to implement the memorandum of understanding (MOU) reached in the South Korea-US tariff negotiations.

Heo Young, Senior Deputy Floor Leader for Policy at the DPK, told reporters after the inaugural meeting of the "APEC Outcome Expansion and Korea-US Tariff Negotiation Follow-up Support Committee" at the National Assembly on the 25th, "The party and government discussed key elements to be included in the special act, such as the establishment of a special fund for strategic Korea-US investment, decision-making structures, and reporting requirements to the National Assembly."

He added, "We have decided to submit the special act on Wednesday, November 26, to ensure that the reduction in tariffs on automobiles and parts can be retroactively applied from November 1."

The special act will be formally proposed by Kim Byung Ki, the DPK's Floor Leader and chair of the follow-up support committee.

Heo explained, "Once our side submits the bill, in accordance with the prior Korea-US agreement, the US will recognize Korea's legislative action as an implementation measure of the MOU and will publish in the Federal Register that the effective date of the tariff reduction will be retroactively applied to November 1."

Heo repeatedly emphasized that the special act resulting from the Korea-US tariff negotiations is not subject to National Assembly ratification. "The Korea-US Strategic Investment MOU does not constitute a treaty with binding force under international law and therefore is not subject to ratification by the National Assembly," he said.

He continued, "The government will respect the National Assembly's democratic oversight authority and ensure sufficient deliberation and supervision through the special act for implementing the Korea-US Strategic Investment MOU. Given the significance of the matter and public interest, the government will report and fully explain all necessary details to the National Assembly."

Regarding the People Power Party's claim that the US Investment Special Act requires National Assembly ratification, Heo stated, "The tariff negotiations were initiated by a Trump executive order, and the US Congress does not ratify such tariff negotiations. Likewise, Korea does not need to ratify the MOU."

However, he stressed, "Even though the MOU is an agreement between the two countries' leaders, the National Assembly will provide a more binding legal framework through the special act."

He also noted, "In addition to the bill to be proposed by Chairman Kim Byung Ki, we expect and are planning for additional legislative proposals from individual lawmakers. These will be thoroughly discussed and coordinated during the combined review process."

Regarding the nuclear-powered submarine approved by former US President Donald Trump during the Korea-US summit, the terminology will be standardized as "nuclear-powered submarine" rather than "nuclear propulsion submarine."

Heo stated, "For the construction of our nuclear-powered submarine, which requires a nationwide effort, the government will do its utmost to realize this as early as possible through close inter-agency cooperation and follow-up consultations with the US."

He added, "Through this meeting, the committee agreed on the need for a pan-government task force, budget allocation, and legal support for the construction of the nuclear-powered submarine, and will actively support efforts to strengthen national security in response to the rapidly changing security environment."

On non-tariff trade issues, Heo emphasized, "In the automotive sector, we have agreed to improve automotive safety and environmental standards and non-tariff barriers at a level that minimizes the impact on our domestic auto market."

He continued, "In agriculture, there will be no further opening of our market. Import quarantine negotiations and risk assessments for biotech products will be conducted objectively and scientifically to ensure public health and food safety are not compromised."

He added, "For digital sector agreements, issues such as network usage fees, digital regulation of online platforms, and map data export permissions will be thoroughly reviewed from a national interest perspective, with close communication between relevant ministries and the National Assembly to coordinate with the US side."

Additionally, he announced plans to convene a Korea-US FTA Joint Committee within the year to finalize concrete implementation plans for non-tariff areas.

d​yon@yna.co.kr

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