Oct. 10—From films and TV shows to streaming K-pop music, Americans are increasingly engaged with culture and lifestyle modes in South Korea. And the relationship is expanding as Korean companies look to step up investments in the United States.

Editor's note : Honolulu Star-Advertiser reporter Kevin Knodell participated in the East-West Center's 2022 Korea-United States Journalists Exchange. Through the fellowship he conducted interviews for this story, in South Korea and Hawaii.

From films and TV shows to streaming K-pop music, Americans are increasingly engaged with culture and lifestyle modes in South Korea. And the relationship is expanding as Korean companies look to step up investments in the United States.

"Growing investments in the U.S. is a continuing trend across the Trump and Biden administrations ... in terms of semiconductors, electric vehicles and secondary batteries. Large investments are expected or taking place, " said Cho Seongdae, director of the Korean International Trade Association's Center for Trade Studies Cooperation in Seoul.

While March marked the 10th anniversary of the Korea-U.S. Free Trade Agreement, both countries are now wrestling with the consequences of the COVID-19 pandemic on the global economy.

According to data from the state Department of Business, Economic Development and Tourism, South Korea is Hawaii's No. 2 source of international imports and No. 6 international export market. Car parts, fuel, food, cosmetics and other goods move between Hawaii and South Korea by ship and plane.

But DBEDT's most recent data shows that while South Korea is one of the top international spenders on Hawaii exports, Korean spending here has declined in recent years.

"Over the last two years, during the pandemic, our students going abroad, tourism and travel have diminished. However, this trend will rebound, I expect, " said Cho, noting Hawaii is the top honeymoon destination for Korean couples. "I think Hawaii was the most negatively affected state from COVID-19 in terms of bilateral trade, " he said.

Preceding recent economic challenges, Hawaii and Korea have intertwined histories. Former South Korean Vice Foreign Minister Lim Sung-nam told the Honolulu Star-Advertiser that during the early part of the 20th century, "Hawaii was the first destination of the Korean immigrants." Also, Hawaii served as the birthplace of the Korean independence movement in the U.S. during Japanese colonization.

Syngman Rhee, an exiled Korean revolutionary-turned-Honolulu entrepreneur, was among those who returned to Korea after World War II Allied forces accepted the surrender of Japanese troops in 1945. Rhee became South Korea's controversial first president in 1948. Following a rise to power and rule defined by ruthless tactics in dealing with political opponents, Rhee's administration was overthrown in the 1960 April Revolution. He then returned to exile in Honolulu before his death in 1965.

In subsequent decades Korean politics continued to be dominated by a series of strongman leaders until a protest movement brought about the end of the country's military-focused rule and in 1988 ushered in inauguration of President Roh Tae-woo.

As the country democratized, it underwent a series of economic reforms and secured new trading agreements that brought about a historic business boom, with South Korea rising from being a major recipient of U.S. foreign aid to ranking as the world's 10th-largest economy. Today the country donates aid to other countries, and its companies have set up shop and made investments around the world.

Selective tax breaks As the spread of COVID-19 threw the global economy into chaos, straining supply chains and touching off various limits on travel, South Korea imposed strict restrictions on travel, which have only recently eased.

While pandemic-related restrictions have been largely lifted in the U.S., the American economy is now struggling with rising inflation worries. The Russian invasion of Ukraine brought further economic strains in boosting energy and fuel costs. Prior to the invasion, Russia was.

In August, Biden signed the $430 billion Inflation Reduction Act into law. The legislation has several provisions aimed at curbing inflation as well as combating climate change, including tax credits for buying electric vehicles. But the credits exclude foreign automakers like South Korea's Hyundai, which earlier this year pledged to make massive investments in the United States.

"That decision was announced when President Biden was in Korea in May. ... The chairman of Hyundai and President Biden had a joint conference publicizing Hyundai's decision to invest, " said Lim. "Without tax breaks I think Hyundai will have a lot of difficulties selling cars in the U.S., and that has created a huge concern in Korea these days."

Hyundai is currently the second-largest EV seller in the U.S., after Tesla. Cho argued that putting restrictions on which electric vehicles are eligible for a tax credit slows efforts to make the cars more affordable for the average American.

"This law also is focused on climate—to tackle climate change as well as inflation. However, this legislation seems to undermine the dissemination of electric cars, " said Cho.

In Hawaii the count of passenger EVs has topped the 20, 000 mark and represents about 2 % of all registered passenger vehicles, according to state figures. Electric vehicle ownership, which is expected to climb as more EV options become available, has been encouraged as a means to align with the state's clean energy goals. In 2018, Gov. David Ige signed bills to set a goal of making the islands carbon-neutral by 2045, including a goal of making all state-owned "light-duty " vehicles electric or otherwise zero-emission by 2035.

Vice President Kamala Harris traveled to South Korea in September to meet with officials to discuss Korean grievances with the Inflation Reduction Act as well as North Korean missile tests.

"I hope after the (U.S.) midterm elections, things can improve so that Hyundai can continue to make contributions to bring more EVs to the U.S., including Hawaii, " said Lim.

Cho said that when Biden was inaugurated in 2021, many Koreans were optimistic that he would loosen restrictions imposed by former President Donald Trump, who took a tough stance on trade with Asian countries. But Cho described that optimism as "naive, " maintaining that Biden's political history indicated that he shared some of Trump's protectionist instincts.

South Korea's National Assembly Speaker Kim Jin-pyo in September told a round ­table of American journalists, "Of course, in the short term this adoption of the Inflation Reduction Act can help you win in the election. But in the longer run it will have a devastating impact on the global economy."

"If the U.S. government declares that they will exclude Hyundai from the provision of tax credits, this will bring a massive shock to the market, " he added. The South Korean lawmaker charged that the new law violates the free trade agreement and "would impact not just Korean companies, but also the broader U.S. economy."

Many American auto companies themselves rely on semiconductors, car batteries and other components produced by Korean companies to power both gas and electric vehicles. Cho said that the American "big three " automakers—General Motors, Ford and Chrysler—all regularly use Korean batteries and other components.

Advanced country In regard to South Korea's creative industries, popularity and recognition are climbing. The K-pop industry streams a constant flow of information about bands and individual singers online to devoted fans. The 2020 best-picture Oscar went to the film "Parasite, " and the "Squid Game " television series scooped up Emmy wins, helping to solidify the country's place as a cultural force in the U.S. and elsewhere.

"In the past, Korea had an identity as a developing country. But now young people have an identity of Korea as an advanced country, " said Kim Dong-Choon, a sociologist at Sungkonghoe University. Many young people "have been exposed to Southeast Asia, Asia or African countries on development projects. ... So they have a more balanced view of other countries than older generations."

As Korea's economic power and cultural influence have grown, so has travel opportunity. Long-standing visa restrictions on travel between South Korea and U.S. have been lifted, and citizens can travel visa-free to each other's countries.

The Korean airline industry also has expanded, with flights to destinations across Asia and the Pacific islands on lower-cost carriers. Before COVID-19's flatlining of air travel, Guam and Saipan had emerged as alternative destinations to Hawaii due in part to shorter and cheaper flights available from several Korean airlines.

"I think there has been a lot of paradigm shift in terms of tourism, " said Lee Seongjun, a business student at Chungang University. "The number of places we can go has increased, including Hawaii."

Still, amid decades of economic rise, Korea has experienced societal growing pains.

During the 1997 Asian Financial Crisis, the South Korean government created a system that allowed companies to hire temporary workers for one to two years. Today as much as 40 % of Korea's workforce is made up of temporary workers, while new automated technology is eliminating many traditional jobs. Also, birthrates are down in the country, and many younger Koreans report a sense of economic uncertainty.

Even the Korean films and TV shows that have been hits often feature commentary on economic inequality and social issues. Some commentators have dubbed the recent generation of college graduates the "880, 000 Won Generation, " referencing a figure equivalent to $615 that's supposed to represent about what a temporary staff or contract worker makes monthly in net pay.

"Korea's super growth era is over, " said Park Kwon-il, an author and social critic. He said many Koreans, particularly younger ones, worry that they cannot raise enough money to buy homes or start families, let alone travel.

But many young Koreans say that while they feel they've been dealt a difficult hand by the preceding generation, they also don't want to be labeled as a doomed generation and want to forge their own paths.

"There are so many places that I want to go to, " said Kim Youjin, a college senior studying political science at Konkuk University. "I want to make an efficient plan so that I can go as many places as possible with a low budget. ... If I can earn more money after I find a job, I definitely want to go to Hawaii because I think every Korean person dreams of visiting Hawaii once in their life."