Prime Minister Jeong Sye-gyun: "134 Trillion Trade Finance to Be Supplied Smoothly in Second Half... Transition to 'Hangari-type Economy'"

Overhaul of Export Infrastructure to Overcome Mobility Constraints... Accelerating New Industry Development
Prime Minister Jeong Emphasizes "Mid-sized, Venture, and Small Giants as the Core of the Economy"

Prime Minister Chung Sye-kyun is speaking at the emergency ministerial meeting on the response to the COVID-19 cluster infections in the Seoul metropolitan area, held at the Seoul Situation Center of the Central Disaster and Safety Countermeasures Headquarters in the Government Seoul Office Building on the 9th. Photo by Moon Ho-nam munonam@

[Asia Economy Reporter Lim Cheol-young] "We will supply the total 134 trillion won in trade finance scheduled for the second half of the year without any setbacks and foster new industries that will lead the post-COVID era."

Prime Minister Chung Sye-kyun made this announcement on the 10th at 2 p.m. during the '2020 2nd Expanded Trade Strategy Adjustment Meeting' held at the Government Seoul Office. Representatives from local chambers of commerce of 17 cities and provinces participated in the meeting, where measures to revitalize export activities centered on regions and local sites were discussed and finalized.

In his opening remarks, Prime Minister Chung said, "Exports have decreased by over 20% consecutively in April and May due to the novel coronavirus infection (COVID-19), and uncertainties in the global economy are increasing due to the US-China conflict," adding, "The government will also implement various measures to overcome these difficulties and find new paths for growth."

He first pledged to supply 134 trillion won in trade finance in the second half of the year without any disruption. He explained, "We will strengthen financial support to prevent competitive companies from going bankrupt due to temporary difficulties. We will supply the scheduled 134 trillion won in trade finance in the second half of the year without any setbacks, and considering the still high barriers at financial institutions, we will prepare joint programs among guarantee institutions to expand the scope of support."

He also expressed his commitment to financial support for the automobile and shipbuilding industries. Prime Minister Chung said, "To support the automobile parts industry, which has been severely hit, we will promptly activate the guarantee program prepared together with large corporations, and for the shipbuilding industry, we will meticulously prepare sector-specific financial support measures such as extending the maturity of production financing."

The government also plans to nurture leading industries for the post-COVID-19 era. Prime Minister Chung emphasized, "We will support strengthening export competitiveness through the Digital New Deal and Green New Deal, ensuring that we do not miss newly emerging export opportunities due to COVID-19 and foster new industries that will lead the post-pandemic era." He added, "If we make good use of the premium of being a safe Korea gained through 'K-quarantine,' we expect to significantly increase exports of consumer goods such as K-bio, K-food, K-home appliances, and K-beauty."

Regarding the global reshoring trend, he said, "We will prepare support measures to attract advanced industries needed by us domestically and establish a stable global supply chain."

To overcome movement restrictions caused by COVID-19, export infrastructure will be completely revamped. The government plans to expand online infrastructure for non-face-to-face marketing, such as video consultation facilities and immersive marketing content construction, and for essential overseas business trips, it will continue to expand measures to shorten quarantine periods during travel after thorough diagnostic testing. To prevent disruptions in export logistics, emergency cargo transport via air and sea will be supported, and measures to reduce logistics costs will also be prepared.

Prime Minister Chung said, "We have experience overcoming past foreign exchange and financial crises through informatization and fostering venture companies. We will overcome the COVID crisis through the growth of new industries with global competitiveness," adding, "We will take this opportunity to transform our economy into a 'jar-shaped economy' with a strong middle class after COVID-19."

He also emphasized that medium-sized enterprises creating good jobs, technology-driven venture companies, and strong small and medium enterprises exporting world-class products are the core of the economy.

Prime Minister Chung concluded, "We will concentrate all government capabilities to use the COVID-19 crisis as an opportunity to transition to a 'jar-shaped economy.' The whole world is paying attention to us after COVID-19, and if we pool our wisdom, I am confident that we can set a global example where quarantine and economy coexist following our success in quarantine."

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