US and South Korea reach agreement on cost sharing for US troops

US and South Korea reach agreement on cost sharing for US troops

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Negotiations on the Special Measures Agreement, or SMA, severely damaged the U.S. alliance with South Korea during the Trump administration, after former President Donald Trump demanded that Seoul pay up to 400% more for the presence of 28,500 troops on the peninsula. News of the deal comes as Secretary of State Antony Blinken prepares to make his first international trip as the top US diplomat to South Korea and Japan next week.

CNN previously reported that the deal was likely to be a multiyear deal that would increase Seoul’s contribution to covering the presence of US troops around the 13% increase that South Korea suggested in 2020 as its best possible offer, of according to two sources familiar with the conversations. The final deal may also include mandatory increases in South Korea’s defense budget, as well as an understanding that Seoul will make certain purchases of military equipment, one of the sources said.

“We are pleased that negotiators in the United States and the Republic of Korea have reached consensus on a draft text for a Special Measures Agreement that will strengthen our Alliance and our shared defense,” said the spokesman. “America’s alliances are a tremendous source of our strength. This development reflects the Biden-Harris government’s commitment to invigorating and modernizing our democratic alliances around the world to promote our shared security and prosperity.”

Reaching a cost-sharing agreement fits the Biden administration’s goal of repairing alliances and returning to “normal order” – engaging with allies using established, formal and accountable structures.

Seoul’s talks on cost sharing with the Biden government began last month, along with a review of North Korea’s policy by the White House.
The policy review was already underway when the United Nations released a February report saying that Pyongyang continued to seek and develop nuclear material and technology and should take months to complete, two sources familiar with the government’s thinking told CNN.

Agreeing on a joint strategy for North Korea should be more challenging than reaching a cost-sharing agreement, according to regional experts.

South Korean President Moon Jae-in faces an election later this year and is looking forward to a diplomatic achievement with North Korea in the short term, while the Biden government said it will take its time to develop a strategy.

The cautious approach marks a significant departure from the previous administration.

On his last day in office, former President Barack Obama told then President Trump that he believed North Korea was the biggest threat to the U.S. Trump then made it a priority, asking his secretary of defense to make his first international trip to South Korea and Japan with less than a month in office.

This story was updated with additional details on Sunday.

CNN’s Kylie Atwood and Oren Liebermann contributed to this report.

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