Hong Nam-ki, Deputy Prime Minister, Announces Establishment of 500 Billion KRW 'Win-Win Special Guarantee' for Auto Parts Industry (Update)

Hong Nam-ki, Deputy Prime Minister and Minister of Economy and Finance, is delivering opening remarks at the "5th Emergency Economic Central Countermeasures Headquarters Meeting" held at the Government Seoul Office Building on the 28th.

[Asia Economy Reporter Kwangho Lee] Hong Nam-ki, Deputy Prime Minister and Minister of Economy and Finance, announced on the 28th that regarding the automobile parts industry struggling due to the COVID-19 pandemic, "The complete vehicle industry, government, and local governments will join forces to establish and supply a 500 billion KRW scale 'Win-Win Special Guarantee'."

At the 5th Emergency Economic Central Countermeasures Headquarters (Economic Central Headquarters) meeting held at the Government Seoul Office on the same day, Deputy Prime Minister Hong stated, "We will support liquidity to small and medium-sized parts companies that have excellent technology or delivery contract performance with complete vehicle manufacturers but are unable to receive support due to low credit ratings or exhausted loan/guarantee limits, thereby protecting the automobile industry ecosystem."

He also emphasized, "To support automobile demand, we will expedite the purchase of public sector work vehicles (more than 90% by the third quarter of this year, about 9,500 units), and expand the support scale for electric cargo vehicles, which have high market demand, to about double (from 5,500 units to 11,000 units)."

Deputy Prime Minister Hong also announced that a large-scale special discount event, 'Korea Together Sale,' will be held over two weeks from June 26 to July 12 to stimulate consumption.

He explained, "'Korea Together Sale' is a large-scale special discount event held for the first time in the first half of the year, comparable to the representative sale event scheduled for the second half, the 'Korea Sale Festa.' This event aims to alleviate the difficulties of large and small distribution companies, small and medium enterprises, and small business owners who have been directly hit by the COVID-19 crisis, and to provide a venue for consumption activation to stimulate consumption."

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