South Korean president says his country can't afford Trump's demands

South Korean President Lee Jae Myung in an interview with Reuters said his country cannnot afford to meet President Trump's demands that it invest $350 billion into America in exchange for the removal of punishing tariffs. 

"Without a currency swap, if we were to withdraw $350 billion in the manner that the U.S. is demanding and to invest this all in cash in the U.S., South Korea would face a situation as it had in the 1997 financial crisis," Lee told Reuters through a translator, explaining that the demands would plunge the country into a financial crisis.

"Reaching detailed agreements that guarantee commercial reasonableness is now the central task - yet it also remains the biggest obstacle," Lee said.

Trump said Korea’s investment projects would be selected by him and the country would have discretion on how their money would be used.

Lee also said many in his country were angered by the "harsh" treatment workers at Hyundai battery plant in Georgia faced during a recent imigration raid, and warned it could make other companies wary of making in investments in the United States.

"I do not believe this was intentional, and the U.S. has apologised for this incident, and we have agreed to seek reasonable measures in this regard and we are working on them," he said in the interview.

When asked if he would walk away from America’s demands, Lee said “I believe that between blood allies, we will be able to maintain the minimum amount of rationality."

The South Korean president hopes the talks on the country’s investment into America don't extend into next year. 

"We should end this unstable situation as soon as possible," he said