The South Korea agreement will impose a 15% tariff, instead of the 25% Trump had threatened. South Korea would also buy $100 billion in energy resources from the U.S. and provide $350 billion for “investments owned and controlled by the United States, and selected by myself, as president,” Trump said.

While the American administration has not yet finalised the company that will spearhead the project, Trump hinted at broader regional implications.

The US President's fresh remarks come a day after he announced 25 per cent tariffs on imports from India and also a penalty for New Delhi's purchases from Russia.