S.Korea fails to reach agreement with U.S. on defense cost sharing

South Korea and the United States on Wednesday failed to reach an agreement on sharing the cost of U.S. forces stationing in South Korea after a two-day negotiation.

"There has been almost no progress," said a South Korean negotiator after the talks, adding that the two sides will set schedule for the next round talks later.

"We will continue our efforts to end the negotiations within this year, as we have to receive parliamentary approval on the results which will be implemented starting from next year," said the South Korean negotiator.

The two sides have difference over the proportion of Seoul's burden.

Washington claims that Seoul only shoulders 38 percent of the total expense for the U.S. troop presence each year and calls for a more "equitable sharing."

However, Seoul argued that South Korea is paying more than 40 percent of the cost when its non-cash assistance is taken into account, such as land leases and supplying soldiers under the Korean Augmentation to the United States Army deployment.

Under an earlier agreement between Seoul and Washington, South Korea provides 680.4 billion won (708 million U.S. dollars) each year from 2005 to 2006 to assist the 30,000-strong U.S. troop presence.

Source: Xinhua