South Korea and the US finalize agreement for nuclear submarines with US$25 billion in purchases until 2030

South Korea and the United States concluded an agreement to build nuclear-powered submarines, announced by South Korean President Lee Jae-myung this Friday, November 14, 2025, in Seoul. The pact represents an advance in bilateral military cooperation, driven by the need to strengthen defense against regional threats, such as those from North Korea. In addition to nuclear technology, the agreement involves significant investments in equipment and logistical support.

The president highlighted that the document finalizes negotiations on trade, tariffs and security, resolving key variables for the South Korean economy and stability.

• American support for uranium enrichment for peaceful purposes.
• Reprocessing of used nuclear fuel with cooperation in supplies.
• Creation of a working group for joint shipbuilding.

Bilateral pact details

The joint statement emphasizes the commitment to expanding combat-ready American commercial and military vessels.

Lee Jae-myung mentioned that the United States supports Seoul’s efforts to pursue uranium enrichment andfuel reprocessing, including joint supply plans. The manufacturing location for the submarines has not yet been defined, but the partnership aims to accelerate production.

Planned military investments

Seoul plans to allocate US$25 billion to purchases of military equipment from the United States by 2030, increasing defense spending to 3.5% of GDP.

Comprehensive support for American troops stationed in South Korea will total $33 billion, covering logistics and infrastructure. This measure reinforces the joint military presence on the Korean peninsula.

In addition, the agreement includes negotiations to reduce non-tariff barriers, such as regulations on American automobiles and agricultural products.

Advances in shipbuilding

The two countries have established a working group dedicated to shipbuilding, with a focus on increasing ship production capacity.

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This initiative could involve the manufacturing of American vessels in South Korean shipyards, benefiting the US shipping industry. Nuclear propulsion technology, one of Washington’s most protected military secrets, will be shared in a controlled manner.

Cooperation extends to partnerships in artificial intelligence and the civil nuclear industry.

Regional security context

The decision comes amid growing tensions in Asia-Pacific, with testingand missiles by North Korea and Chinese maneuvers in the South China Sea.

The pact strengthens conventional deterrence against Pyongyang by allowing nuclear submarines to track adversary ships for longer periods.

Experts highlight that the agreement is in line with the American strategy to contain proliferation, under the supervision of the International Atomic Energy Agency.

South Korea, which already has a fleet of diesel submarines, seeks to modernize its navy to lead combined defenses. This advance places Seoul among nations with advanced naval nuclear capabilities, such as the US, UK and France, albeit without nuclear weapons on board. The partnership also accelerates Seoul’s accession to the Patent Cooperation Treaty by December 2025, facilitating bilateral technological innovations.

Cooperation beyond defense

The announcement is part of a recent summit between Lee Jae-myung and the American president, which reduced tariffs on South Korean products from 25% to 15%.