SME Export Companies Overcame the COVID-19 Crisis with 'T.E.C.H'

[Asia Economy Reporter Hwang Yoon-joo] Despite difficult trade conditions this year, the keywords for small and medium-sized enterprises (SMEs) that succeeded in exports were identified as Technology, Environment, Change, and Health.

The Korea International Trade Association's International Trade and Commerce Research Institute analyzed the cases of 18 SMEs awarded the 'Million Dollar Export Tower' on Trade Day this year and announced on the 7th the 'T.E.C.H. Success Keywords for SMEs Finding Breakthroughs in Overseas Markets.' The Million Dollar Export Tower is awarded in the year when the annual export performance of the awarded company surpasses one million dollars for the first time ever, indicating that the company has established a foundation for overseas market development.

Haon Atech Co., Ltd. (CEO Kim Young-moo), which produces stage equipment and control systems, targeted the Southeast Asian market where demand for performance venues is increasing and succeeded in exporting for the first time this year. Instead of one computer controlling all stage equipment, they introduced a control system that assigns one control computer per individual device, enhancing safety, which led to $1.5 million in exports. In the medical field, SMEs contributing to 'K-Quarantine' with excellent technology in diagnostic kits, pharmaceuticals, and devices also showed remarkable export performance.

As consumer awareness of environmental protection has increased due to COVID-19 and environmental regulations are expected to tighten in major countries in the future, eco-friendly companies are also gaining attention. Golden River Co., Ltd. (CEO Kim Yong-dae) recovers metals such as nickel and tin from waste and exports them to Japan and Vietnam, while exploring additional expansion into China, where the issue of waste metal disposal is expected to grow due to the widespread use of rare metals in advanced technology industries. Additionally, companies producing water tanks and drinking water generators necessary for safe water supply, as well as manufacturers of parts and machinery related to electric vehicles, are also enjoying popularity in overseas markets.

Some companies have captured lifestyle changes triggered by COVID-19. As consumption of groceries and delivery services surged due to lockdowns, exports related to food packaging became active. Eco Mass Co., Ltd. (CEO Han Seung-gil) established itself in the global market with eco-friendly and non-toxic packaging products such as hygiene bags and straws made from biomass biodegradable materials. Furthermore, as the number of 'homecare' consumers who perform beauty care at home increased, cosmetic exports from January to October this year rose by 15.0% compared to the same period last year. While exports of skincare products and eyeshadows increased, lipstick exports decreased, reflecting lifestyle changes such as mask-wearing.

With growing consumer interest in health, exports of health-related foods and clothing are also increasing. Agricultural corporation Renewal Life Co., Ltd. (CEO Jang Ik-soon) reflected trends such as premiumization and health consciousness in the food market by exporting organic rice snacks certified with international food safety standards to China and Southeast Asia. Beautiful People Co., Ltd. (CEO Kim Chang-hwan), a men's suit manufacturer, developed copper fiber masks with antibacterial functions after a decline in clothing orders and successfully entered the North American and European markets.

Kim Hyun-soo, senior researcher at the Korea International Trade Association's International Trade and Commerce Research Institute, said, "If companies continue to strengthen competitiveness and actively develop sales channels in eco-friendly and health sectors, they will be able to maintain a strong position in the global market."

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