The South Korean won appreciated to approximately 1,380 per US dollar on Monday, bolstered by a softer US dollar and enhanced market sentiment in light of the recent trade agreement between the US and the EU. This recovery of the won was also supported by renewed investor interest in Asian markets and developments in trade negotiations between South Korea and the United States.
Seoul has proposed a substantial shipbuilding investment initiative dubbed "Make American Shipbuilding Great Again" (MASGA). This initiative entails significant capital investments by South Korean shipbuilders within the US, alongside financial support in the form of loans and guarantees provided by Korean financial institutions. US Commerce Secretary Howard Lutnick, a key participant in these bilateral discussions, has reportedly shown a positive response to this proposal.
Additionally, South Korea’s Finance Minister, Koo Yun-cheol, is expected to visit Washington later this week and potentially meet with US Treasury Secretary Scott Bessent by Thursday. This meeting could advance negotiations in anticipation of the upcoming August 1 trade deadline.
