Washington: South Korea's top trade negotiator announced on Wednesday that a comprehensive proposal for cooperation in the shipbuilding industry significantly contributed to reaching a trade agreement with the United States under President Donald Trump's administration.

According to Yonhap News Agency, Finance Minister Koo Yun-cheol, who also serves as the deputy prime minister for economic affairs, highlighted during a press briefing in Washington that the deal will lower reciprocal tariffs on Korea to 15 percent from the initially proposed 25 percent. The negotiations included a major cooperation initiative, "Make American Shipbuilding Great Again (MASGA)," aimed at revitalizing the U.S. shipbuilding industry, which faces stiff competition from China's vast shipbuilding capacity.

The MASGA project involves constructing new shipyards in the U.S., training shipbuilding personnel, reestablishing supply chains, and collaborating on the construction and maintenance of American ships. Koo emphasized that the initiative will be driven by South Korean enterprises' needs, offering new business opportunities for Korea's leading shipbuilding companies while aiding in the rejuvenation of the U.S. industry.

Koo noted President Trump's request for expeditious progress on U.S. shipbuilding efforts and praised the capabilities of the Korean shipbuilding industry. The Trump administration has been focused on restoring America's shipbuilding strength amidst the growing Sino-U.S. rivalry, with China holding a shipbuilding capacity more than 230 times that of the U.S.

Additionally, Koo stated that Seoul and Washington agreed not to further open Korea's agricultural market, despite the U.S.'s strong push for reduced non-tariff barriers and greater market access for its agricultural and livestock products. Ongoing technical consultations will address issues such as motor vehicle safety standards.

The minister concluded that the agreement will enhance and deepen bilateral economic relations. Following the successful deal, a planned meeting between Koo and U.S. Treasury Secretary Scott Bessent was canceled, as the two officials had already met at the White House.