Trump Assures South Korean CEOs of Impending “Good Deal” with China

Trump Predicts “Good Deal” with China During South Korea CEO Meeting

During a high-profile visit to South Korea, former US President Donald Trump offered an optimistic assessment of the strained US-China economic relationship, telling a group of prominent South Korean chief executives that the United States was “going to have a good deal” with Beijing.

The comments, delivered during a dialogue focused on regional economic stability and supply chain security, provided a glimpse into the potential direction of US trade policy in 2025. The assurance was delivered as Washington and Beijing continue to navigate the complex aftermath of the previous trade war, which saw billions of dollars in tariffs imposed by both sides.

The Context of the South Korean Dialogue

The meeting with South Korean business leaders—reportedly held near Gyeongju, according to BBC reporting by China correspondent Laura Bicker—underscored the critical role Seoul plays in the global economic architecture, particularly regarding advanced manufacturing, semiconductors, and technology supply chains.

South Korean companies are acutely sensitive to fluctuations in US-China trade relations. They rely heavily on the Chinese market for sales and manufacturing, while simultaneously depending on the US for security guarantees and access to critical technology. Trump’s statement was likely intended to reassure these CEOs that future US policy would seek resolution rather than escalation, a message vital for companies whose profitability hinges on predictable international trade flows.

Why South Korea Matters in US-China Trade

South Korea operates at the nexus of the two largest economies, making its business community particularly vulnerable to geopolitical friction. Key areas of concern for the CEOs present included:

• Semiconductor Supply Chains: South Korean giants like Samsung and SK Hynix face immense pressure navigating US export controls aimed at restricting China’s access to advanced chip technology.
• Market Access: Continued access to the vast Chinese consumer market is essential for South Korean automotive, electronics, and chemical exports.
• Investment Security: Uncertainty over tariffs and regulatory changes in both the US and China complicates long-term investment decisions for Korean conglomerates.

The Ongoing US-China Trade Landscape

The phrase “good deal” carries significant weight, referencing the Phase One agreement signed in January 2020. While that deal temporarily eased tensions, it failed to address core structural issues, such as intellectual property theft, forced technology transfer, and China’s extensive state subsidies for key industries.

Any future “good deal” would need to tackle these more complex, systemic issues that have defined the geopolitical competition between the two economic superpowers. Analysts suggest that a meaningful resolution would require:

1. Enforcement Mechanisms: Stronger provisions ensuring China adheres to purchase commitments and structural reforms.
2. Tariff Resolution: A clear roadmap for reducing or eliminating the tariffs currently impacting sectors from agriculture to industrial goods.
3. Technology Policy: Clarity on export controls, particularly those targeting advanced semiconductors and artificial intelligence technology.

The optimism expressed by Trump contrasts with the prevailing cautious tone in Washington, where bipartisan consensus generally favors a policy of strategic competition and de-risking supply chains away from China.

Local Reactions: Protests Highlight Regional Tensions

The visit and the subsequent trade comments occurred against a backdrop of visible political tension in South Korea. While official meetings proceeded, significant protests took place in the capital, Seoul, reflecting deep domestic divisions regarding foreign policy alignment.

Protesters voiced opposition to both the American and Chinese influence in the region, highlighting the difficult position South Korea occupies as a key US ally with massive economic ties to China.

“No Trump!” shouted hundreds of demonstrators in central Seoul over the weekend.

Another rally nearby chanted, “No China!”

These dual protests illustrate the complex geopolitical tightrope South Korea walks. While the US remains the primary security partner, China is the largest trading partner. Public sentiment often reflects a desire for greater national autonomy and a reduction in external pressures from both global powers.

Key Takeaways for Global Business Leaders

Trump’s assurance of a forthcoming “good deal” offers a potential signal to global markets, but it must be viewed through the lens of political rhetoric rather than immediate policy change. For South Korean and international CEOs, the key takeaways from the dialogue are centered on risk management and strategic planning:

• Policy Volatility: US trade policy remains subject to significant shifts depending on political leadership and priorities. Businesses must prepare for scenarios ranging from renewed trade war escalation to rapid de-escalation.
• Supply Chain Resilience: The pressure to diversify supply chains remains a strategic necessity, regardless of short-term trade agreements.
• Focus on Structural Issues: Any lasting resolution must address the fundamental disagreements over intellectual property and state subsidies, which are unlikely to be solved quickly.

What’s Next

The immediate impact of the statement is primarily rhetorical, providing a boost of confidence to regional business leaders who are eager for stability. However, the true test of any “good deal” will be its ability to resolve the structural economic conflicts that have defined US-China relations for the past decade. Global attention will remain focused on the specifics of any proposed trade negotiations, particularly how they address the technology sector and the future of tariffs.