Newsdeck

Seoul rejects Trump demand it pays for missile system

By AFP 28 April 2017

by Park Chan-Kyong Seoul on Friday brushed aside US President Donald Trump's suggestion it should pay for a $1 billion missile defence system the two allies are installing in South Korea to guard against threats from the North.

The first parts of the Terminal High Altitude Area Defense (THAAD) system have already been delivered to a former golf course in the South — infuriating China — at a time of heightened tensions over Pyongyang’s nuclear and missile programmes.

Top US officials have said THAAD will be operational “within days”.

“I informed South Korea it would be appropriate if they paid. It’s a billion-dollar system,” Trump was quoted as saying by the Reuters news agency. “It’s phenomenal, shoots missiles right out of the sky.”

The two countries have been in a security alliance since the 1950-53 Korean war, and more than 28,000 US troops are stationed in the South.

Seoul retorted that under the Status of Forces Agreement that governs the US military presence in the country, the South would provide the THAAD site and infrastructure while the US would pay to deploy and operate it.

“There is no change to this basic position,” South Korea’s defence ministry said in a statement.

The row comes with tensions high on the Korean peninsula following a series of missile launches by the North and warnings from the Trump administration that military action was an “option on the table”.

Trump said there was “a chance” of “a major, major conflict” with the North — which would put the South, whose capital is within range of Pyongyang’s artillery, at risk of horrific casualties.

But earlier this week Washington said it would seek stronger sanctions against Pyongyang and held open the possibility of negotiations, with US Pacific Command chief Admiral Harry Harris saying it wanted to bring leader Kim Jong-Un “to his senses, not to his knees”.

The White House also wants China to do more to rein in the North, with Trump saying he believed leader Xi Jinping was “trying very hard”.

Chinese foreign ministry spokesman Geng Shuang told reporters that the two presidents had been “in constant touch with each other”, which was “good for the two countries and also for the whole world”.

But Beijing has been infuriated by the THAAD deployment, which it fears weakens its own ballistic capabilities and says upsets the regional security balance. 

– ‘Horrible deal’ -THAAD is designed to intercept and destroy short and medium-range ballistic missiles during their final phase of flight.

South Koreans are ambivalent over its deployment, with only 51.8 percent in favour in a Korea Research opinion poll last month.

Social media commentators derided Trump’s comments. “So he wants to start a war with North Korea and he wants South Korea to pay for it,” wrote one Twitter poster. 

On the website of South Korea’s Chosun Ilbo newspaper, a reader asked: “Have you been irritating North Korea in order to sell THAAD?”

And on the Kyunghyang Ilbo site another posted: “One billion dollars? Please take it back.”

The South’s economy has already been hit hard by a series of measures imposed by Beijing as apparent retaliation to the deployment.

The tourist industry has been hammered by a Chinese ban on tour groups, with visitor numbers from the Asian giant plummeting 40 percent in March.

Lotte Group, a South Korean retail giant, has had to shut down 85 of its 99 stores in China due to boycott calls after the group agreed to provide the golf course where THAAD is being installed to the government. Its accumulated losses as a result are reportedly expected to hit $1 billion in the first half of this year alone.

The Export-Import Bank of Korea said this month that South Korea could suffer up to 16 trillion won ($14 billion) losses from reduced trade and falls in Chinese tourist numbers over the next two years.

In the Reuters interview, Trump also said he would renegotiate or terminate the five-year-old free trade agreement between South Korea and the US.

The issue had raised widespread concerns in Asia’s fourth-largest economy when he brought it up on the campaign trail, but appeared to have been put on the back burner in his first 100 days in office.

But Trump said: “It is unacceptable, it is a horrible deal made by Hillary.”

South Korean business leaders voiced alarm in response, with the Federation of Korean Industries, whose members include the country’s biggest manufacturers, saying the FTA was “a major pillar of bilateral ties” and warning of “the spread of global protectionism”. DM

Gallery

Watch Pauli van Wyk’s Cat Play The Piano Here!

No, not really. But now that we have your attention, we wanted to tell you a little bit about what happened at SARS.

Tom Moyane and his cronies bequeathed South Africa with a R48-billion tax shortfall, as of February 2018. It's the only thing that grew under Moyane's tenure... the year before, the hole had been R30.7-billion. And to fund those shortfalls, you know who has to cough up? You - the South African taxpayer.

It was the sterling work of a team of investigative journalists, Scorpio’s Pauli van Wyk and Marianne Thamm along with our great friends at amaBhungane, that caused the SARS capturers to be finally flushed out of the system. Moyane, Makwakwa… the lot of them... gone.

But our job is not yet done. We need more readers to become Maverick Insiders, the friends who will help ensure that many more investigations will come. Contributions go directly towards growing our editorial team and ensuring that Daily Maverick and Scorpio have a sustainable future. We can’t rely on advertising and don't want to restrict access to only those who can afford a paywall subscription. Membership is about more than just contributing financially – it is about how we Defend Truth, together.

So, if you feel so inclined, and would like a way to support the cause, please join our community of Maverick Insiders.... you could view it as the opposite of a sin tax. And if you are already Maverick Insider, tell your mother, call a friend, whisper to your loved one, shout at your boss, write to a stranger, announce it on your social network. The battle for the future of South Africa is on, and you can be part of it.


Comments

Please note you must be a Maverick Insider to comment. Sign up here or if you are already an Insider.

FAMILY TIES

Botswana curbs Bridgette Radebe’s freedom to come and go

By Carien Du Plessis

JK Rowling is no longer a billionaire due to the amount of money she has donated to charity.