The two sides are yet to sign any written agreement, even though they met just two weeks ago and both announced that they had reached an agreement over tariffs and other security issues.

Officials in South Korea say that the apparent delay is due to discussions about their request to Washington for its blessing to build a nucleo-powered submarine. Lee made this public when he met Trump at an Asia-Pacific Forum last month.

Officials said that after the meeting they would release a factsheet detailing an agreement on the security issues, including the submarine. They would also outline a first-announced trade deal, first announced in July at the first Trump and Lee summit, whereby South Korea would pour hundreds of billions into U.S. project in exchange for lower duties.

In an interview conducted by local broadcaster KBS, South Korean Defence minister Ahn stated that the U.S. Departments need time to change their minds.

Washington has approved Seoul’s use of nuclear energy for the submarine, but the factsheet will take longer to complete because U.S. departments continue to give feedback and make adjustments to the wording. A senior South Korean official stated on Friday that Washington had approved Seoul’s use.

The White House didn't immediately respond to an inquiry for comment.

Worries about the delayed factsheet weighed on the won, which fell as much as 0.7% to 1,467.5 dollars per won. This was the lowest level for seven months.

Final Stages

Lee's position regarding the building of the submarine in South Korea appears to be at odds with Trumps recent social media comments, stating that it was approved but built at a U.S. Shipyard. Analysts question the willingness of the United States to transfer sensitive technologies. Both sides have said they have reached a trade agreement. After Lee and Trump met earlier, there were disagreements over the investment fund structure that prevented any joint statement.

A trade ministry official stated that "when it comes to tariffs the draft can be seen as finalised. It will be made public once the joint factsheet has been announced."

Kim Jung-kwan, the Industry Minister of South Korea, told a parliamentary committee on Tuesday that the negotiations on a joint factsheet are in the final stages. He did not provide any details about the announcement date. Kim Jung-kwan, the Industry Minister of South Korea, said that negotiations over the joint factsheet were in their final stages, but did not provide details on the timing of an announcement.

The official confirmed that a memorandum-of-understanding on South Korea's $350 Billion investment package was also prepared, but has yet to be signed. It is not known when or how it will be signed. The official from the trade ministry said that they were waiting for it to be announced officially before taking any further action, like explaining it to parliament. Reporting by Heejin Lee and Jihoon Kim in Seoul, with additional reporting by Trevor Hunnicutt in Washington and David Brunnstrom; editing by Saad sayeed

(source: Reuters)