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A suggestion has emerged from a close aide to President Donald Trump that he should hold talks with President Lee Jae-myung first and cooperate closely with South Korea before meeting with North Korean Chairman Kim Jong-un. Fred Fleitz, Vice President of the American First Policy Institute (AFPI), a conservative U.S. think tank, sent an op-ed titled “5 Things Trump Must Do Before Meeting Kim Jong-un Again” to the conservative U.S. media outlet *American Greatness* on the 21st. Fleitz is considered a member of President Trump’s inner circle, having served as Chief of Staff to the White House National Security Advisor during Trump’s first term.

In an op-ed, he argued, “President Trump should hold talks with President Lee Jae-myung (before meeting Chairman Kim), and it is desirable for him to visit Seoul if possible.” He continued, “The President’s visit to Korea would strongly convey his commitment to U.S.-Korea relations and his resolve to resume face-to-face diplomacy with Kim Jong-un, and efforts (to meet Kim Jong-un) are reportedly being pursued for this fall.” He added, “Trump could reinforce his message through another major speech at the Korean National Assembly, just as he did in 2018.” Deputy Director Flytz also suggested, “Secretary of State Marco Rubio should be immediately dispatched to Seoul to drive the momentum this fall toward a concrete summit.”

He continued by stating, “The Lee Jae-myung administration has demonstrated stronger-than-expected cooperation in the fields of trade and security,” citing examples such as a 7.5% increase in South Korea’s defense budget this year, an additional $1 billion in support for U.S. Forces Korea, an agreement on large-scale shipbuilding cooperation between the two countries to expand the U.S. Navy’s capabilities, and prospects for U.S. companies to win large contracts related to South Korea’s first nuclear-powered submarine and civilian nuclear power programs.

He also assessed, “Unlike some European allies, South Korea did not attempt to undermine U.S. efforts for a war against Iran by denying access to key bases or publicly criticizing President Trump’s Iran policy.” Deputy Director Flytes then suggested, “Secretary Rubio should evaluate these achievements and work with Seoul to finalize the details of the Trump-Kim Jong-un summit, regardless of whether it is held privately or on the sidelines of the Asia-Pacific Economic Cooperation (APEC) summit in China in November.” He specifically assessed that President Trump’s order to drastically reduce the annual South Korea-U.S. joint military exercises was “a negligible cost if it can bring Kim Jong-un to the talks,” adding that “Secretary Rubio must ensure that this concession is closely coordinated with South Korea and does not exceed the scope necessary to bring Kim Jong-un to the negotiating table.”

Deputy Director Flytz urged the appointment of a special envoy to North Korea to “work dedicatedly to facilitating peace talks and promoting North Korea’s denuclearization,” recommending Michael DeSombri, Assistant Secretary of State for East Asian and Pacific Affairs, who “possesses extensive experience in the Asia-Pacific sector and a clear ‘America First’ stance.” Flytz further stated that “South Korea is part of the security alliance network that President Trump must utilize to counter growing threats from China, Russia, and North Korea in the Indo-Pacific region,” and called for strengthening trilateral cooperation among South Korea, the U.S., and Japan, as well as consultations with other regional nations such as Australia, India, the Philippines, Taiwan, and the United Kingdom.

Along with this, he cited “the inertia of U.S. officials, particularly within the Department of Energy, and congressional hesitation” as the reasons for the delay in expanding South Korea’s civilian uranium enrichment and nuclear waste reprocessing authority, which were part of the trade and security agreements reached by the South Korean and U.S. presidents last year. Flytz then advised sending Commerce Secretary Scott Besant and Energy Secretary Chris Wright to South Korea, stating, “Instruct them to remove the obstacles remaining in the South Korea-U.S. trade and energy agreements.” This appears to be a case of confusing Commerce Secretary Howard Rutnick with Treasury Secretary Besant.

Going forward, undocumented immigrants will be completely unable to receive benefits from four major refundable tax credits, including the Child Tax Credit.

On the 20th, the U.S. Treasury Department and the IRS published a draft of new regulations regarding eligibility requirements for individual income tax credits in the Federal Register. The IRS plans to gather public opinion for the next 45 days and hold a public hearing on October 14 to finalize the regulations. Once the final regulations are published in the Register and finalized, they will be fully applied starting with tax filings for the confirmed tax year. According to these regulations, undocumented immigrants who do not have a Social Security Number (SSN) or file taxes using an Individual Taxpayer Identification Number (ITIN) will be completely prohibited from receiving major refundable tax benefits, including the Earned Income Tax Credit (EITC), Child Tax Credit (CTC), American Opportunity Tax Credit (AOTC), and Adoption Credit.

The proposed regulation announced on this day is being pursued to strengthen the enforcement of the Personal Responsibility and Work Opportunity Adjustment Act (PRWORA), enacted in 1996. The intent is to strictly limit legal eligibility by clearly defining the “refund portion” of certain refundable tax credits as Federal Public Benefits. Treasury Secretary Scott Bessent emphasized, “Under the Trump administration, the era of undocumented immigrants receiving benefits funded by taxpayers’ money is over.” He added, “U.S. taxpayers should not bear the cost of benefits paid to those legally prohibited from receiving them.

This amendment is a measure that upholds fairness in the tax system and puts Americans first.” According to the new regulation, eligibility for Federal Public Benefits, including refundable tax credits, requires being a U.S. citizen, a U.S. national, or a qualified alien as of the filing date of the federal income tax return. Qualified aliens include permanent residents, asylum seekers, refugees, and other specific groups defined by PRWORA. Taxpayers must declare on their tax returns that they are eligible to receive the refund portion of the relevant deduction, subject to penalties for perjury. In the case of joint filing by married couples, only one spouse needs to be a U.S. citizen, U.S. national, or a qualified alien. Immigration policy experts estimate that this measure will cause more than one million undocumented immigrant households in the U.S. to lose tax benefits.

Consequently, the financial burden on undocumented families and ITIN taxpayers within immigrant communities, including the Korean community, is expected to increase significantly. Immigration law and tax experts advised, “Previously, it was possible to claim refund-type deductions for certain children with ITINs, but once the final regulations are confirmed, the path to refunds will effectively be blocked.” They added, “Since incorrectly claiming deductions while failing to meet eligibility requirements could lead to disadvantages during future permanent residency applications or status adjustments, taxpayers should consult with a professional in advance to meticulously re-examine their eligibility requirements when filing future taxes.”

A court has ruled that the Donald Trump administration can maintain the tariffs it has imposed on “small parcels” valued at $800 or less. On the 13th, the U.S. Court of International Trade ruled against a U.S. auto parts importer in a lawsuit demanding the reinstatement of duty-free exemptions, claiming the administration’s suspension of the exemption illegally infringed upon legislative authority. The court determined that the administration’s action fell within the scope of presidential authority permitted under the International Emergency Economic Powers Act (IEEPA).

 

Consequently, the executive order abolishing the “duty-free de minimis treatment” based on the IEEPA will remain in effect. The court determined that the previously implemented duty exemption for imported products valued at $800 or less constituted a form of preferential treatment, differing in nature from the IEEPA-based reciprocal tariffs that the Supreme Court had deemed illegal.

The winter dismantling requirement for New York City outdoor dining, implemented since the pandemic, will be lifted, and year-round operation will be fully permitted. As a result, the financial burden on restaurant owners who previously had to dismantle and store outdoor structures annually is expected to be significantly reduced, and stagnant outdoor dining programs are anticipated to regain vitality. On

the 13th, the New York City Council put Intro 655, which outlines these provisions, to a vote and passed it by an overwhelming margin of 37 votes to 5. This amendment was pushed forward as a legislative package combining ordinances proposed by Council Speaker Julie Menin and Councilmember Lincoln Ressler with the goal of supporting small businesses and revitalizing local commercial districts.

Mayor Zoran Mamdani has already expressed his support, making implementation virtually certain. The ordinance is scheduled to take effect immediately upon the Mayor’s signature. The outdoor dining program, introduced as a measure to revitalize the restaurant industry during the COVID-19 pandemic, was prepared in two forms: a ‘Roadway Cafe’ installed along the roadside for automobiles and a ‘Sidewalk Cafe’ installed along the pedestrian roadside in front of the restaurant.

Among these, ‘Sidewalk Cafes’ were allowed to remain open year-round starting from the first year of implementation, whereas ‘Roadway Cafes’ were required to be dismantled for the four winter months from November 30 to March 31 of the following year. Consequently, many businesses abandoned participation because they could not afford the installation, dismantling, and storage costs, which amounted to tens of thousands of dollars.

This led to repeated criticism that the outdoor dining program had significantly contracted, with the number of outdoor eateries plummeting from over 12,000 during the pandemic to around 1,800 recently. However, with the passage of this amendment, restaurant owners can now maintain their roadside outdoor dining year-round without the winter dismantling process. The ordinance includes new standards for installing insulation and heating facilities to attract customers during the winter, as well as a temporary permit system and installment fee payment scheme to support existing operators in seamlessly transitioning to year-round licenses.

However, compromise measures were also included to minimize noise complaints near residential areas and address the issue of deteriorating residents’ quality of life. The nighttime closing time for outdoor dining has been shortened by one hour, from the existing midnight (12:00 AM) to 11:00 PM, to guarantee the right to sleep for nearby residents. City Council President Julie Menin stated, “Outdoor dining is an important asset that has transformed New York City’s streetscape and revitalized local businesses,” adding, “This measure will provide practical assistance to small business owners who have been struggling due to excessive regulations and serve as an opportunity to create a vibrant urban environment that both residents and visitors can enjoy.”

Bloomberg reported on the 9th that Treasury Secretary Scott Besant and the Treasury Department are signaling to the market that they want to prevent long-term U.S. Treasury yields from rising through a recent series of measures. Bloomberg noted that this perception is spreading among Wall Street traders and market strategists, citing factors supporting this view such as the Treasury Department’s recent intervention to boost the value of the yen, indications of a reduction in long-term bond issuance, and Secretary Besant’s remarks defending the U.S. Federal Reserve (Fed) under Kevin Warsh. Regarding the recent joint intervention by U.S. and Japanese foreign exchange authorities to boost the yen, Bloomberg assessed that it is “interpreted as a measure to reduce the risk that Japan might sell off U.S. Treasuries in large quantities to secure the dollars needed to defend its currency.”

Previously, since the 31st of last month, U.S. and Japanese foreign exchange authorities have intervened in the foreign exchange market by jointly selling dollars and buying yen to boost the value of the yen. Secretary Besant also called for an expansion of the limits on the Federal Reserve’s crisis response liquidity supply facility, the “Foreign Institutions and Monetary Authority of America (FIMA) Repurchase Agreement (Repo) Facility,” to allow Japanese foreign exchange authorities to secure dollars for market intervention without selling U.S. Treasuries. Bloomberg reported that the market interprets the subtle changes made by the U.S. Treasury Department in its quarterly report on bond issuance plans last week as a signal that the department may reduce the issuance of long-term bonds.

In a statement released alongside last week’s quarterly report, the Treasury Department used the phrase “potential changes” instead of the previously used “potential increases.” Bloomberg stated, “Bond investors interpreted this change as suggesting the possibility of reducing the volume of long-term bond issuance.” This implies that the Treasury sent a signal to the market in advance that it is willing to cut the volume of long-term bonds to lower yields, amidst record-high U.S. long-term bond yields. Since bond yields move inversely to bond prices, a decrease in the volume of bond issuance (supply) can reduce upward pressure on interest rates (downward pressure on bond prices).

The yield on 30-year U.S. Treasury bonds, which serves as a benchmark for U.S. mortgages, rose to 5.28% on the 31st of last month, marking its highest level in 19 years since July 2007. Further increases in long-term Treasury yields could increase the political burden on President Trump and the Republican Party ahead of the upcoming November midterm elections.

Bloomberg reported that Secretary Besant’s recent public defense of Fed Chair Wash, following the triggering of a surge in bond yields via a press conference about ten days ago, is one of the efforts to prevent further interest rate increases. Earlier, Chair Wash reiterated the principle of responding to price stability during a press conference following the Federal Open Market Committee (FOMC) meeting on the 29th of last month. However, he disappointed the market by failing to provide clues regarding specific methodologies or action plans, which led to a sharp rise in long-term Treasury yields.

In response, Secretary Besant appeared on CNBC on the 5th to support Chair Wash, stating that the market needs a “detox” from the Fed’s remarks regarding monetary policy. Bloomberg reported that while Secretary Besant and the Treasury Department are mobilizing various measures to defend against rising long-term bond yields, some market experts believe the impact of these measures on the market may be limited.

Peter Boockvar, Chief Investment Officer at OnePoint BFG, assessed the Treasury’s intervention in the foreign exchange market, stating, “It appears that the vulnerability of the U.S. Treasury market has reached its peak due to rising long-term rates, leading to a situation where overseas holders are advised not to sell.” Phoebe White, Head of U.S. Interest Rate Strategy at UBS, also noted that the recent Treasury measures may have only a limited impact. However, regarding the series of measures, he assessed that “it demonstrates that the Treasury will mobilize every available means if there is anything it can do to prevent further increases in long-term government bond yields.”

On the 5th, the U.S. Citizenship and Immigration Services (USCIS) announced guidelines significantly expanding its review discretion, allowing examiners to immediately dismiss immigration applications without issuing Requests for Evidence (RFE) or Notices of Intent to Deny (NOID) for cases where required documents are missing or eligibility is insufficient. These guidelines went into effect immediately upon the announcement.

They apply retroactively to all pending cases currently under review, as well as to newly filed applications. Previously, it was common practice to grant an opportunity to supplement missing documents via an RFE; however, going forward, applications may be dismissed without further action if complete documentation is not provided at the time of initial filing. In addition, USCIS has revised regulations to allow examiners to set response deadlines shorter than the previous maximum of 12 weeks at their discretion for certain cases where an RFE is issued and has eliminated the additional 14-day grace period previously provided for applications sent via international mail.

This measure is interpreted as an attempt to resolve processing delays by blocking fraudulent applications that seek to obtain temporary benefits, such as an Employment Authorization Document (EAD), by submitting incomplete documents, and by reducing unnecessary administrative waste. Accordingly, applicants preparing for permanent residency or visa changes and extensions are expected to ensure thorough preparation from the initial document submission stage, without missing a single detail.

A bill being pursued in the U.S. Congress to grant permanent residency opportunities to long-term immigrants, such as Deferred Action for Childhood Arrivals (DACA) recipients and H-1B visa holders, is drawing attention. On the 27th, Senator Alex Padilla, Ranking Democrat on the Senate Immigration Subcommittee, and Senate Democratic Majority Leader Dick Durbin jointly introduced an amendment to the immigration law that would grant eligibility to apply for permanent residency to immigrants who have resided in the U.S. for seven years or more.

Thirteen Democratic lawmakers, including Senator Andy Kim, have listed their names as co-sponsors of this bill. Additionally, Representative Joy Lofgren is pursuing a related bill with the same intent in the House of Representatives. Under Section 249 of the current Immigration and Naturalization Act (INA), the Secretary of Homeland Security is authorized to grant permanent residency opportunities to individuals who have resided in the United States for a certain period and meet specific conditions. However, this provision, enacted in 1929, has not been changed for approximately 40 years since the 1986 Immigration Reform Act amended the eligibility criteria to “entries made before January 1, 1972.”

Consequently, obtaining permanent residency through this provision is effectively impossible. The bill promoted by Representative Padilla and others aims to amend the requirements of this provision to grant permanent residency opportunities to immigrants who meet criteria, such as having resided in the United States for at least seven years and having no criminal record. In particular, instead of fixing the eligibility criteria to a specific date, the bill changes the rule to recognize eligibility if an individual has resided in the U.S. for at least seven years as of the time of application, thereby avoiding the need for Congress to cumbersomely re-amend the law in the future. If the bill is finally passed, it is estimated that more than 8 million people will become eligible to apply for permanent residency, including DACA recipients and Dreamers who came to the U.S. as children and grew up, refugees, children of long-term visa holders at risk of deportation, essential workers, and highly skilled workers such as H-1B visa holders.

The bill is supported by more than 30 civic organizations, including the National Association of Korean American Service and Education Organizations (NAKASEC). However, the bill faces significant political hurdles in the U.S. Congress. With Republicans holding a majority in both the Senate and the House, and severe partisan conflict surrounding immigration policy, the process of passing the bill is bound to be arduous.

The number of undocumented Korean immigrants in the United States, which had been showing a steady decline, is estimated to have reversed course and surpassed 140,000. According to the latest estimates provided exclusively to this newspaper on the 30th by the non-profit think tank Migration Policy Institute (MPI), the number of undocumented Korean nationals in the U.S. is projected to reach 142,000 as of mid-2024. This represents a staggering 22% surge compared to the 2023 estimate of 116,000 undocumented Korean immigrants.

Until now, the number of undocumented Korean immigrants across the U.S. had been on a continuous downward trend since peaking at 192,000 in 2013. Looking at yearly trends, the number steadily declined from 173,000 in 2019 to 116,000 last year, but it has shown a sharp rebound this year, surpassing the 140,000 mark again. However, the institute did not disclose the specific reasons behind the sudden resurgence in the number of undocumented Korean immigrants in this survey.

Meanwhile, according to the “Analysis Report on the Status of Undocumented Immigrants in the U.S. as of 2024,” officially released by the MPI on the 29th, the total number of undocumented immigrants in the U.S. is currently estimated at 15.8 million, a record high. The institute analyzed that the explosive increase in the total number of undocumented immigrants in the U.S. was caused by a combination of factors: a record surge in the influx of immigrants through the southern U.S.-Mexico border during the Joe Biden administration, coupled with the federal government’s extensive implementation of humanitarian temporary entry permit programs to alleviate unrest in border regions.

In particular, the study found that the number of undocumented immigrants from Latin American countries who crossed the border directly increased most significantly during this period. [Reported on page A3 of this newspaper’s July 30 issue] Although the detailed country-specific statistics tables in the official report recently released to the public did not include specific figures regarding Korean nationals, at the special request of this newspaper, the MPI separately extracted the status of undocumented Korean immigrants from its internal data and provided it to this newspaper as the final result.

Since the launch of the second Trump administration, processing times for legal immigration procedures, such as permanent residency renewals and citizenship applications, have noticeably lengthened, leading to growing inconvenience and anxiety among immigrants, including Koreans. Analysts attribute these delays to the U.S. Citizenship and Immigration Services (USCIS) significantly strengthening FBI background checks and security screenings.

While permanent residency renewals (I-90) and citizenship applications (N-400) were often processed within four to six months in the past, there have recently been a series of cases taking seven months to over a year. A Korean permanent resident, identified as Mr. K, applied for a renewal last December but has not received his new card even now, seven months later. He stated, “Renewals used to be completed in about three to four months, but this time, there has been no progress for well over half a year.” Citizenship applicants are facing a similar situation.

Another Korean applicant who applied for citizenship last October stated that they had not even been notified of an interview schedule for nine months, remarking, “The processing speed seems to have definitely slowed down compared to before.” The immigration industry attributes this phenomenon to the Trump administration’s strengthened security screening policies. The U.S. Citizenship and Immigration Services (USCIS) recently issued internal guidelines to expand FBI background checks for most immigration benefit applications, including permanent residency, citizenship, and asylum. In particular, it instructed that approval decisions be withheld even for applications where a background check had already been completed if a re-examination is required under the new standards.

This measure follows up on an executive order signed by President Trump last February. The executive order mandates that USCIS utilize the FBI’s criminal record database to the maximum extent permitted by law to more thoroughly verify applicants’ criminal histories and national security risks. Under the new guidelines, most immigration applications requiring fingerprint submission have become subject to stricter screening. This applies not only to permanent residency and citizenship applications but also to family petitions for U.S. citizens and permanent residents, as well as fiancé visa petitions. USCIS has decided not to issue approval decisions until the new security review is completed, while conversely, it can deny applications without further inquiry for cases where grounds for denial are clear.

The enhanced review is known to cross-verify not only U.S. criminal records but also criminal history from the country of origin, past immigration records, and instances of misrepresentation. There are also predictions that processing times may be further extended for some applicants as additional security reviews are conducted. USCIS explained, “Some processing delays may occur during the application of the new verification procedures, but this is a temporary phenomenon,” adding that it is “a measure for the safety of U.S. citizens and national security.” However, immigration lawyers are concerned that delays could be prolonged as large-scale re-verification operations are added to the already backlogged USCIS review system.

Attorney Jeon Jong-jun explained, “In the past, permanent residency renewals or citizenship applications were often completed within about six months, but now it is not uncommon to see cases taking nearly a year.” He added, “The biggest reason is that the background check and fingerprint verification procedures have become much stricter than before.” The immigration industry advises that since strengthened background check policies are highly likely to remain in place, immigrants planning to renew their permanent residency or apply for citizenship need to consider important schedules in advance—such as overseas travel, employment, or renewing driver’s licenses or identification—and check the progress frequently with ample time.

It has been revealed that the number of monthly arrests of undocumented immigrants by the Federal Immigration and Customs Enforcement (ICE) in June reached an all-time high. Tom Horman, White House Border Affairs Director, stated this in an interview with News Nation on the 23rd, saying, “With additional funding secured for ICE, we are pushing enforcement operations to deport undocumented immigrants even more aggressively.” Director Horman added, “Arrests of undocumented immigrants in July are taking place at a pace that surpasses last month,” suggesting the possibility of breaking the monthly record for the second consecutive month.

However, he did not provide specific figures for the number of arrests. In this regard, according to an analysis by Professor Austin Kosher of Syracuse University, the daily average number of arrests by ICE from July 1 to 11 was recorded at 1,474, already surpassing the 1,300 recorded last June.

This marks the fastest arrest rate since the launch of the second Trump administration. Conversely, the daily average number of deportations from April to July was approximately 1,256, failing to keep pace with the arrest rate. Consequently, the number of detainees continues to rise; as of the 11th of this month, the total number of ICE detainees reached 65,765, an increase from approximately 60,300 in early April.

According to Professor Kosher, immigrants with no criminal records currently make up the largest group among ICE detainees. While the proportion of detainees for simple immigration violations has increased, the proportion of immigrants suspected of crimes or with criminal records has decreased. Meanwhile, Border Commissioner Homan announced plans to expand the use of body cameras by ICE enforcement agents nationwide.