$200 Billion Korea-US Deal Hits Snags Over Texas Power Plant and Westinghouse Stake

The $200 billion investment package between South Korea and the US is facing a delay due to ongoing negotiations over several contentious issues. The two sides are struggling to agree on a gas-fired power plant in Texas, an equity stake in nuclear reactor manufacturer Westinghouse, and the viability of the Alaska LNG project.

According to reports, Washington has pushed for a 25 percent increase in investment from the initial $20 billion budget for the Texas project. Seoul is pushing for a 15-20% equity share in Westinghouse, which would give Korea a seat on the board and allow them to weigh in on major decisions.

The Alaska LNG project faces skepticism over its business viability, with high building and shipping costs, elevated US labor, and construction time estimated at over a decade. Seoul has been pushing not to rule out the project but to hold off on a final commitment until commercial viability is confirmed.