South Korean Companies Double Q1 US Investment to $10.2 Billion as AI Boom Fuels Dealmaking
Updated
Updated · Financial Times · Jul 24
South Korean Companies Double Q1 US Investment to $10.2 Billion as AI Boom Fuels Dealmaking
1 articles · Updated · Financial Times · Jul 24
Summary
$10.2 billion of South Korean foreign direct investment reached the US in the first quarter, more than double a year earlier and the highest level in nearly five years.
AI-driven cash flows and tariff pressure are driving the surge, as exporters expand US production and buy advanced technology assets while Chinese rivals retreat from American dealmaking.
Samsung Electronics and SK Hynix are leading the push after their market values more than tripled in the past year; they have backed US AI, cooling and optical interconnect startups and are building larger US chip operations.
$25.7 billion was invested over all of 2025, up nearly 15%, and bankers expect more second-half deals as Seoul's top groups hunt North American targets and a $350 billion tariff-linked investment pledge supports further expansion.
As Korean AI profits surge, will buying U.S. startups and factories create lasting advantage or expose firms to overpriced assets and new risks?
Why are Samsung and SK Hynix pouring billions into U.S. AI and manufacturing deals now, and what does that reveal about the next supply-chain battleground?