► The ROK-U.S. summit was held in Washington, D.C. on April 26 during President Yoon’s state visit to the United States. The bilateral relations were at a stalemate without a state visit for a while.

► The most noticeable achievement of this summit is by far the establishment of a Nuclear Consultative Group (NCG).

► The NCG establishment will also play a positive role in the transition of wartime operational control (OPCON).

► The ROK-US summit brings economic achievements as well. Joint ventures involving ROK and U.S. companies were agreed during the summit and U.S. firms announced plans to invest in Korea.

The ROK-U.S. summit was held in Washington, D.C. on April 26 during President Yoon’s state visit to the United States. The bilateral relations were at a stalemate without a state visit for a while. In fact, the two countries’ relations gradually soured due to ROK’s balanced diplomacy and tilt toward China. In this regard, the ROK-U.S. summit sets a historic milestone in restoring and rebuilding relations between the two allies.

The most noticeable achievement of this summit is by far the establishment of a Nuclear Consultative Group (NCG). The U.S. had sole authority over the use of its nuclear weapons so far and did not share a single part or role with ROK. The USFK Command did not have any authority for the use of U.S. nuclear weapons and the U.S. Strategic Command which has the authority to deploy U.S. nuclear assets did not consult with its Korean counterpart. By forming the NCG, the two countries laid a foundation to closely cooperate in the operation of U.S. nuclear weapons.

Koreans questioned the credibility of U.S. extended deterrence as DPRK continued to develop new weapons last year and ramp up its ‘nuclear capabilities’. ROK continuously called for a balance of nuclear power on the Korean Peninsula. However, the U.S. took a negative stance on the redeployment of tactical nuclear weapons. After agreeing the timely deployment of strategic assets on the Korean Peninsula at the Extended Deterrence Strategy and Consultation Group (EDSCG), the two countries agreed to strengthen cooperation in information sharing, strategic planning, consultation process and the execution of nuclear operations at the 54th Security Consultative Meeting (SCM) last year. In this regard, the establishment of the NCG is the culmination of the allies’ efforts and realization of the agreements.

Unlike the NATO Nuclear Planning Group (NPG), the NCG on a bilateral level can deepen coordination between the two countries. In addition, joint operations that combine ROK’s conventional forces with U.S. nuclear assets can be carried out in a practical manner and the two countries can directly engage in nuclear operations planning. Although ROK does not have tactical nuclear weapons, its voice under the NCG will be incomparably significant than any other NPG member country.

The NCG establishment will also play a positive role in the transition of wartime operational control (OPCON). In case a four-star ROK general takes the helm of the Combined Forces Command after the OPCON transfer, there is no guarantee that swift and decisive response will follow suit in nuclear contingencies on the Korean Peninsula. This is because the U.S. has the sole and exclusive authority for the use of its nuclear weapons. In this respect, the establishment of the NCG laid a foundation for the ROK military after the OPCON transfer to respond to and take command in nuclear war scenarios on the Korean Peninsula.

The ROK-US summit brings economic achievements as well. Joint ventures involving ROK and U.S. companies were agreed during the summit and U.S. firms announced plans to invest in Korea. Without doubt, this is a major step forward however there are many challenges ahead which include looking for ways to minimize damages to local businesses from the Inflation Reduction Act (IRA) and the CHIPS Act. Unless substantial amendments are made, prospects to fundamentally address Korean firms’ concerns look dim as the IRA and CHIPS Act are already passed by the U.S. Congress and signed into law. Not only Korean firms but also a slew of foreign companies will have to bear the loss. Thus, the Korean government must examine and navigate more policy options with flexibility such as extending grace periods, completing plant constructions earlier than scheduled in the U.S., and diversifying battery and mineral supply chains.

Another caveat is how much economic profit Korean companies will generate in the U.S.-based supply chains. The Biden Administration centered on ‘America First’ policies has high expectations on the role Korean advanced technology firms will play in American supply chains. Therefore, it is imperative for the Korean government to come up with strategies to promote national interests and on a positive note, the ROK-U.S. summit will open doors to new opportunities for local businesses to reap more tangible benefits in the U.S.