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PPP, DP trade barbs and spar over subcommittees, but make no progress on U.S. investment bill

Published: 24 Feb. 2026, 19:18 Updated: 24 Feb. 2026, 19:54

Democratic Party Rep. Jung Tae-ho, right, the ruling party’s committee secretary, and People Power Party Rep. Park Soo-young, the opposition committee secretary, confer during a plenary meeting of the National Assembly’s special committee on the special act on investment in the United States on Feb. 24. [YONHAP]

A National Assembly panel tasked with handling a bill to boost Korean investment in the United States wrapped up its first meeting on Tuesday with only a public hearing, failing even to place the bill on the agenda.

Committee-level talks between the two main parties’ committee secretaries, which had been expected the next day to discuss forming a subcommittee, also did not take place.

With U.S. President Donald Trump's administration expected to ramp up tariff pressure on Korea, the ruling Democratic Party (DP) has argued the investment bill should move quickly, including measures such as creating an investment fund. The conservative People Power Party (PPP), however, has criticized the DP’s move to press ahead with the plenary session for what is broadly known as the three judicial reform bills.

These three bills would allow citizens to file constitutional complaints against Supreme Court rulings, increase the number of Supreme Court justices from 14 to 26 and establish criminal penalties for judges and prosecutors who intentionally misinterpret laws or manipulate facts.

“An unplanned plenary session was convened, and the bills placed on the agenda are themselves uncomfortable,” said PPP Rep. Kim Sang-hoon. “That is why party leaders are feeling uneasy about this panel’s progress.”

The investment bill panel had initially planned to hold the public hearing and place the bill on the agenda on Tuesday, then proceed to an alternative debate with Minister of Finance and Economy Koo-yun Cheol and Minister Kim Jung-kwan of the Ministry of Trade, Industry and Resources.

Jung Tae-ho, center, the Democratic Party’s floor negotiator, speaks during a special committee meeting on the proposed special bill to promote investment in the United States at the National Assembly in Yeouido, western Seoul, on Feb. 24. [NEWS1]

The panel then aimed to convene a subcommittee on Wednesday to review the bill, with the goal of passing it by March 9. But after the DP signaled it would hold a plenary session on Tuesday afternoon, Kim Sang-hoon asked the ministers not to attend.

“It appeared difficult to hold the alternative debate as scheduled, and the party concluded it could not keep ministers waiting indefinitely,” said a PPP official.

As Rep. Kim refused to proceed with the planned schedule, objections erupted from DP members on the panel. “You adjourned even the first meeting unilaterally, and I can’t accept that,” said DP Rep. Huh Young.

“It feels like you’re trying to stop after the public hearing,” said Rep. Jung Tae-ho, the DP’s committee secretary. “At the very least, we need to put the bill on the agenda today so the Assembly can send an external message that it is making an effort.”

Steel products are seen piled up at a port in Pyeongtaek, Gyeonggi on Feb. 23. [NEWS1]

“If this bill is so urgent, why didn’t you start sooner?” Rep. Kim fired back at Huh. “What is this, trying to do it all in a flash?”

“We took today’s political schedule into account when we set the agenda yesterday,” Jung said in a press briefing held after the meeting. “We again agreed to place the public hearing and the bill on the agenda as a package, hear a review report and key statements, then proceed with an alternative debate and questions for the public hearing before referring the bill to a subcommittee.”

“I strongly express deep regret over the unilateral breach of what was agreed,” Jung said.

The parties also remain split over the makeup of the subcommittee. The PPP proposed an even split of three members each from the DP and PPP. The DP called for eight members, with four from the DP, three from the PPP and one from a minor party.

The National Assembly main building is seen in Yeouido, western Seoul on July 6, 2024. [NEWS1]

“Didn’t we offer a compromise of 3-3-1 from our side?” Huh said at Tuesday’s meeting. “It can be formed through a reasonable adjustment.”

“If the government and the ruling party say this bill is really important, isn’t that something you could concede?” responded Rep. Park Soo-young, the PPP’s committee secretary, referring to a 3-3 split.

While talks between the committee secretaries are expected to continue on the subcommittee and the overall timetable, holding the subcommittee meeting on Wednesday now looks unlikely.

“The PPP appears to be intentionally delaying the bill’s placement on the agenda and trying to avoid holding the subcommittee meeting,” said a DP official on the panel. The official warned that if the subcommittee is postponed, the plan to pass the bill by March 9 would also be thrown off.

U.S. President Donald Trump speaks during an event to announce new tariffs in the Rose Garden at the White House, on April 2, 2025 in Washington D.C. [AP/YONHAP]

Witnesses who participated in Tuesday's hearing shared differing views on how quickly the legislation should move through the proceedings. Participants included Seo Eun-jong of BNP Paribas, Hur Jung, a professor of economics at Sogang University, Kim Yang-hee, a professor of economics and finance at Daegu University and Cheong In-kyo, a professor of international trade at Inha University.

Most agreed on the need for legislation, but Prof. Kim urged caution. “With 64 percent of U.S. voters opposed to tariffs, the [Trump] administration will not be able to raise tariffs recklessly until the midterms,” said Kim. “We should think again about whether it makes sense to rush U.S. investment right now.”

There were also calls to create a dedicated institution to implement the bill, tentatively envisioned as a Korea-U. S. strategic investment corporation.

“There is a need for a specialized organization in the mid- to long-term,” said Cheong. “In the short term, the Korea Investment Corporation could set up a tentative U.S. investment strategy center and recruit around 50 industry and hands-on investment specialists to run it.”

“A specialized institution should make investments while coordinating policy with the government, financial regulators, companies and pension funds,” said Seo.

This article was originally written in Korean and translated by a bilingual reporter with the help of generative AI tools. It was then edited by a native English-speaking editor. All AI-assisted translations are reviewed and refined by our newsroom.
BY OH SO-YEONG [[email protected]]