Overview

• The agreement raises South Korea's contribution by 8.3% in the first year, amounting to $1.125 billion, with annual increases capped at 5%.
• Negotiations concluded ahead of the US presidential election to mitigate potential future complications if former President Trump wins.
• Approximately 28,500 US troops remain stationed in South Korea to deter North Korean aggression.
• The deal, pending approval by South Korea's government and parliament, will extend through 2030.
• Previous negotiations under Trump strained the alliance, with demands for significantly higher payments from South Korea.