Business Leaders Flood President Moon with 'Detailed Proposals'

[Image source=Yonhap News]

[Asia Economy Reporter Kim Hyewon] "It would be great if President Moon Jae-in could send a video message of encouragement to our company expatriates and their families stationed in China. Also, to stimulate domestic demand, I hope evening company dinners can be revitalized, but I wish the concerns about violating the 52-hour workweek could be resolved."

This was what Samsung Electronics Vice Chairman Lee Jae-yong said on the 13th in front of President Moon Jae-in and the Blue House staff. Blue House spokesperson Kang Min-seok stated in a written briefing, "After the meeting, Vice Chairman Lee made two proposals to the Blue House," revealing this. The business community evaluated these remarks as "quite detailed suggestions" compared to the usual statements made during meetings between the president and group heads. It also indicates that the atmosphere of the private meeting was amicable.

At the COVID-19 response economic meeting hosted by President Moon that day, Vice Chairman Lee, SK Group Chairman Chey Tae-won, LG Group Chairman Koo Kwang-mo, and CJ Group Chairman Lee Jae-hyun attended as heads of their groups. Also, Hyundai Motor Group Senior Vice Chairman Chung Eui-sun and Lotte Group Chairman Shin Dong-bin, who were on business trips, were represented by Hyundai Motor Vice Chairman Yoon Yeo-cheol and Lotte Holdings Vice Chairman Hwang Kak-gyu, respectively. They reported on each group's current issues related to resolving the COVID-19 crisis and made policy suggestions to President Moon.

First, Vice Chairman Lee led the mood by saying, "I feel a heavy responsibility," and "I will definitely keep the promise made two years ago." He added that no matter how difficult the economy is, he will personally oversee the company's fundamental duties of job creation, innovation, and investment. This means he intends to proceed without disruption with the 180 trillion won investment and 40,000 hiring plan announced in 2018.

Hyundai Motor Group, which was directly hit by COVID-19, achieved some results from its meeting with President Moon. Vice Chairman Yoon requested, "Thanks to our government's swift support, 38 out of 40 wiring harness factories in China have resumed operations, and we are procuring parts via air transport. Please temporarily reduce tariffs based on sea freight standards and apply special measures." Deputy Prime Minister and Minister of Economy and Finance Hong Nam-ki immediately responded, "We are actively reviewing tariff reductions on air freight." Only the details such as duration and tariff rates remain to be decided, effectively allowing a temporary reduction.

Chairman Chey specifically requested the government not to reduce Korea-China air cargo flights while mentioning the semiconductor business in Chongqing, China. This is because narrowing air cargo routes could disrupt the supply of semiconductor wafers produced in China. Chairman Chey also pledged to focus on investment and job creation, promising to maintain investment and employment at last year's levels.

Chairman Koo shared his reflections as a business leader amid the COVID-19 crisis instead of making policy proposals to the government. He said, "We are reexamining production strategies to ensure stable parts procurement and supply chain construction," adding, "It is necessary to localize and diversify key materials and parts to reduce dependence on specific countries, and I deeply felt the importance of small and medium-sized partner companies."

Vice Chairman Hwang invited President Moon to a shopping mall, citing an example where sales rose 10% compared to the previous day after the president delivered a reassuring message to the public. In response, Deputy Prime Minister Hong said, "We will present sector-specific measures for industries heavily affected such as tourism, distribution, and accommodation starting next week."

This content was produced with the assistance of AI translation services.