The agreement comes after other American allies, like Japan, clinched their own deals to partly moderate President Trump’s tariff threats.

This deal would mean the duties will be lowered from the 25% that Trump had threatened in his "tariff letter" to Seoul earlier this month. South Korea will "give to the United States $350 Billion Dollars for Investments owned and controlled by the United States,

South Korea pledged to invest $350 billion in the U.S., as well as to lower tariff barriers, as part of the deal.