President Lee Jae Myung calls for contingency measures as US scales back joint military exercises with Seoul amid geopolitical tensions.
South Korean President Lee Jae Myung has instructed the country to prepare for a worst-case scenario following the US decision to reduce joint military drills with Seoul. The move follows an abrupt order from US authorities to scale back annual exercises, raising concerns over regional security dynamics.
The joint drills, a long-standing component of US-South Korea defense cooperation, have been a point of contention with North Korea. Previous reductions in 2018 were linked to diplomatic efforts, though tensions later resurfaced. Analysts warn the latest cut could signal shifting US priorities in the region.
Markets have yet to react significantly, but geopolitical risks may weigh on investor sentiment in Asia-Pacific equities and currencies.