*

Joint fact sheet comes two weeks after Trump-Lee summit

*

U.S. gives approval for South Korea to build nuclear

submarines

*

South Korea's currency stability to be taken into

consideration

(Adds context and analysis in paragraphs 5-7, 16; details on

tariffs on chips in paragraph 15; analysts in paragraphs 20-22)

By Ju-min Park and Kanishka Singh

SEOUL/WASHINGTON, Nov 14 (Reuters) - The U.S. and South

Korea released details of a trade agreement on Friday that

includes a $150 billion Korean investment in the American

shipbuilding sector and an additional $200 billion earmarked for

industrial sectors, the two countries said.

The joint announcement followed a meeting in October between

South Korean President Lee Jae Myung and U.S. President Donald

Trump, where they agreed to a deal that would cut American

import duties on South Korea's products to 15% from 25%.

"Finally, the South Korea-U.S. trade, commerce, and security

negotiations, which were among the biggest variables affecting

our economy and security, are ... concluded," Lee said on

Friday.

"Good competition requires excellent partners, and I believe

President Trump's rational decision played a significant role in

achieving meaningful agreement."

The announcement caps more than three months of wrangling

over Trump's tariffs that have targeted trading partners around

the world.

South Korea was particularly alarmed by the prospect of

crushing duties on key exports like semiconductors and autos.

Lee, who took office five months ago with a mandate to

steer the country away from the shock of a failed martial law

imposition by his predecessor, had sought to score an early

diplomatic win by turning an economic threat into an opportunity

to boost the country's trade and security status.

Under the agreement, Lee said South Korea will form a new

partnership with the U.S. on shipbuilding, artificial

intelligence and the nuclear industry, helping its ally "rebuild

crucial industries just as the U.S. helped South Korea in the

past."

A fact sheet released by the White House said that the U.S.

gave approval for South Korea to build nuclear-powered

submarines and Washington will work closely with Seoul to find

"avenues to source fuel."

The White House said South Korea will invest $350 billion in

the U.S., including $150 billion in the shipbuilding sector.

SOUTH KOREA FX STABILITY

Washington also accepted South Korea's request that $200

billion in cash investments as part of a $350 billion package

would come in installments no larger than $20 billion a year in

an effort to keep the won stable.

The fact sheet said the two countries have "a mutual

understanding" that South Korea's investment should not "give

rise to market instability."

If signs of instability appeared, South Korea could seek an

"adjustment in the amount and timing of the funding, and the

United States will, in good faith, give due consideration to

such request," it said.

The U.S. will cut tariffs on South Korean products including

autos to 15% from 25%. Chips, another major export item made by

companies like Samsung Electronics ( SSNLF ) and SK Hynix, will face

tariff terms no less favourable than those for Taiwan, a

presidential adviser said.

The agreement with Washington shows Lee made inroads on

major security and energy initiatives by paving the way to build

nuclear-powered submarines and expanding its nuclear energy

capabilities.

Lee's national security adviser said the countries had

discussed the issue of nuclear-powered submarines on the

"premise" that the vessels would be built in South Korea.

Trump previously said the submarines would be built in a

Korean-owned shipyard in Philadelphia.

Under the deal, the U.S. pledged to cooperate on finding a

way for South Korea to enrich uranium and reprocess spent

nuclear fuel.

Analysts said it was too early to say whether South Korea

got a better deal than Europe and Japan.

Doo Jin-ho, a security analyst at the Korea Research

Institute for National Security, said acquiring nuclear

submarines was no "game changer, but definitely better than any

other weapons systems to beef up deterrence against North

Korea."

Kim Dong-yup, a former Navy officer now at Kyungnam

University, said the agreement on nuclear energy and security

meant Seoul had to pay much more for defence, but Lee was faced

"with an inevitable choice."

Washington "supports the process that will lead to (South

Korea's) civil uranium enrichment and spent fuel reprocessing

for peaceful uses," the joint statement said.

A trade deal was first unveiled in July, when South Korea

agreed to invest hundreds of billions of dollars in U.S.

projects in exchange for lower tariffs.