Steel Industry Overcomes COVID Crisis Through Solidarity... Win-Win Cooperation Fund Agreement Ceremony Held

[Image source=Yonhap News]

[Asia Economy Reporter Hwang Yoon-joo] The Ministry of Trade, Industry and Energy and the Korea Iron & Steel Association held the 'Steel Win-Win Cooperation Fund Agreement Ceremony and Meritorious Service Award Presentation Ceremony.'

The Korea Iron & Steel Association announced on the 17th that POSCO, Hyundai Steel, and IBK Industrial Bank recently signed the 'Steel Win-Win Cooperation Fund Agreement' to support small and medium-sized enterprises (SMEs) in the steel industry, which are facing increasing liquidity difficulties due to declining sales. The event was held briefly with only awardees and related personnel invited after the originally scheduled Steel Day ceremony on June 9 was canceled to comply with strengthened quarantine measures due to a surge in COVID-19 cases in the metropolitan area.

The Steel Win-Win Cooperation Fund is part of the 'Overcoming Crisis through Solidarity and Cooperation' discussed between the steel industry and Minister Sung Yun-mo at the 3rd Post-Corona Industrial Strategy Dialogue (steel industry meeting) held last May. It is the result of close cooperation among POSCO, Hyundai Steel, and the Korea Iron & Steel Association to protect the domestic steel ecosystem.

The Steel Win-Win Cooperation Fund, totaling 100 billion KRW, will be used for urgent management stabilization funds and employment retention for steel SMEs. The fund will provide loans through IBK Industrial Bank at interest rates at least 1 percentage point lower than market rates, with a maximum limit of 1 billion KRW per company.

Unlike typical large and small business win-win cooperation funds, which are mostly created by a single large company, this fund was expanded through cooperation between two companies, allowing for significantly lower support interest rates.

Additionally, a certain portion of the total fund amount can be supported to companies without business transactions with large corporations through recommendations from the Steel Association, which is expected to contribute to alleviating the urgent financial difficulties of small and medium steel enterprises.

Along with this, Minister Sung Yun-mo awarded medals and commendations to 29 individuals who contributed to the development of the steel industry, including Executive Director Ham Young-chul of Hyundai Steel. Executive Director Ham Young-chul of Hyundai Steel received the Silver Tower Industrial Medal for developing the seismic-resistant steel brand (HCORE), contributing to strengthening the safety of buildings, and actively responding to global trade issues to secure the competitiveness of domestic products.

Master Craftsman Son Byung-rak (Deputy General Manager) of POSCO received the Bronze Tower Industrial Medal for contributing to mutual growth by supporting 304 technologies to more than 40 domestic and overseas SMEs and strengthening technological competitiveness through 43 years of technology development in the steel equipment field.

Director Kang Hee-ung of HuSteel received the Industrial Medal, Vice President Park Kwang-young of TCC Steel and Executive Director Kim In-jin of Hongdeok Industry received the Presidential Citation, Deputy General Manager Yoon Jong-hyun of KG Dongbu Steel and Deputy General Manager Im Hwan-seok of Dongkuk Steel received the Prime Minister's Citation, and 22 others including Manager Hwang Seong-guk of SeAH Besteel received the Minister of Trade, Industry and Energy Citation.

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