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Updated December 9, 2021

South Korea: Background and U.S. Relations

Overview
South Korea (officially the Republic of Korea, or ROK) is
one of the United States' most important strategic and
economic partners in Asia. The U.S.-ROK Mutual Defense
Treaty, signed in 1953 at the end of the Korean War,
commits the United States to help South Korea defend
itself, particularly from North Korea (officially the
Democratic People's Republic of Korea, or DPRK). The
alliance also helps the United States to promote its interests
in East Asia and around the globe, including by deploying
ROK troops to U.S.-led military conflicts in the Middle
East. Approximately 28,500 U.S. troops are based in the
ROK. The economic relationship is bolstered by the U.S.-
South Korea Free Trade Agreement (KORUS FTA),
implemented in 2012. In 2020, South Korea was the United
States' seventh-largest trading partner, and the United
States was South Korea's second-largest trading partner,
behind China.
In May 2021, President Joseph Biden and ROK President
Moon Jae-in met in Washington, DC. During their summit,
Biden and Moon discussed North Korea policy, and
identified ways to expand cooperation on global and
regional issues, such as climate change, energy, cyber-
security, global health, and space. They also announced a
Coronavirus Disease 2019 (COVID-19) vaccine
partnership; an ROK pledge of $220 million in aid to
Northern Triangle Central American countries to help
resolve U.S. inward migration challenges; and investments
in the United States by ROK technology companies in key
sectors. Moon's presidency is to end in May 2022.
North Korea Policy Coordination
North Korea is the dominant strategic concern in the U.S.-
South Korea relationship. Moon has promoted engagement
with the DPRK, which he says is critical to prevent military
conflict and establish a durable peace on the Korean
Peninsula. U.N. and U.S. sanctions severely limit Seoul's
ability to conduct inter-Korean cooperation activities. Since
early 2019, the DPRK largely has ignored U.S. and ROK
outreach, including humanitarian aid offers.
The Biden Administration has stated it is pursuing a
calibrated, practical approach that is open to and will
explore diplomacy with North Korea while retaining U.S.
and international sanctions to achieve the eventual
complete denuclearization of the Korean Peninsula. The
approach appears to envision incrementally offering partial
sanctions relief in exchange for partial steps toward
denuclearization. Moon has welcomed the Biden policy.
At their 2021 summit, Biden and Moon stated their belief
that 2018 U.S.-North Korea and South Korea-North Korea
agreements negotiated by Moon and former President
Donald Trump could form the basis for denuclearization
and achieving permanent peace on the Korean Peninsula.

Biden supported inter-Korean dialogue and Moon reiterated
support for full implementation of U.N. sanctions.

DPRK leader Kim Jong-un has characterized U.S. offers of
diplomacy as a petty trick for hiding hostile acts, such
as the continuation of U.S.-ROK military exercises, the
maintenance of sanctions against North Korea, and South
Korean acquisition and development of sophisticated
military equipment. In reaction to the stasis in U.S.-DPRK
and ROK-DPRK diplomacy as his time in office runs out,
Moon has been pushing for a U.S.-ROK pre-emptive
declaration formally ending the Korean War as an incentive
for Pyongyang to come to the negotiating table.
North Korea has continued to conduct cyberattacks around
the globe and test short- and medium-range missile
capabilities to develop their ability to evade missile
defenses. The most recent tests occurred in September and
October 2021, when North Korea launched three new types
of missiles and claimed it had developed a faster fueling
system. It also test-launched what may be a submarine-
launched ballistic missile. Some analysts worry that DPRK
leader Kim Jong-un will abandon his nearly four-year-old
unilateral moratorium on nuclear tests and long-range
ballistic missile tests.
US-outh Korea Securty Issues
The Biden Administration has worked to repair the alliance,
which was strained during the Trump years. In February
2021, the Biden Administration concluded a cost-sharing
negotiation with South Korea that boosted South Korea's
contribution by 13.9%. The ROK traditionally has paid for
about 50% (over $800 million annually) of the total non-
personnel costs of the U.S. military presence, according to
congressional testimony by U.S. military officials.
Washington and Seoul have been adapting their alliance to
recognize South Korea's increased capabilities and desire

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