Under the 1953 U.S.-R.O.K. Mutual Defense Treaty, the United States agreed to help the Republic of Korea defend itself against external aggression. Since that time in support of this commitment, the United States has maintained military personnel in Korea, including the Army? Second Infantry Division and several Air Force tactical squadrons. To coordinate operations between these units and the over 680,000-strong Korean armed forces, a Combined Forces Command (CFC) was established in 1978. The head of the CFC also serves as Commander of the United Nations Command (UNC) and U.S. Forces Korea (USFK). The current commander is General Burwell Baxter "B.B." Bell.

Several aspects of the security relationship are changing as the U.S. moves from a leading to a supporting role. In 2004, agreement was reached on the return of the Yongsan base in Seoul--as well as a number of other U.S. bases--to the R.O.K. and the eventual relocation of all U.S. forces to south of the Han River. In addition, the U.S. and R.O.K. agreed to move 12,500 of the 37,500 U.S. troops out of Korea by 2008. At the same time U.S. troops are being redeployed from Korea, the U.S. will bolster combined U.S./R.O.K. deterrent and defense capabilities by providing $11 billion in force enhancements in Korea and at regional facilities over the next four years.

As Korea? economy has developed, trade has become an increasingly important aspect of the U.S.-R.O.K. relationship. The U.S. seeks to improve access to Korea? expanding market and increase investment opportunities for American business. The implementation of structural reforms contained in the IMF? 1998 program for Korea improved access to the Korean market, although a range of serious sectoral and structural barriers still remain. Korean leaders appear determined to successfully manage the complex economic relationship with the United States and take a more active role in international economic fora as befits Korea? status as a major trading nation. On February 2, 2006, the two governments announced their intent to negotiate a Free Trade Agreement (FTA). Together, there will be 5 rounds of talks; two in Korea and three in the U.S. Because the President? Trade Promotion Authority (TPA) expires in June 2007, the U.S. is seeking to conclude FTA negotiations by the end of 2006. If successful, a comprehensive U.S.-R.O.K. FTA would bring greater vibrancy to this already close economic relationship, creating 100,000 new jobs and trade worth $20 billion through increased trade and investment.