Government Announces $700 Billion Export Target for 2025... Focused Investment in Biohealth

At the 4th Expanded Trade Strategy Adjustment Meeting

Joint Announcement by Related Ministries on 'Strategy for Expanding Future Growth Engines and Innovating Trade Structure'
5 Trillion Won Investment to Establish Growth Base for Next-Generation Promising Strategic Items

Sung Yun-mo, Minister of Trade, Industry and Energy (file photo)

[Sejong=Asia Economy Reporter Joo Sang-don] The government has presented a blueprint to achieve $700 billion in exports by 2025 by focusing investment on the development of promising products such as biohealth and the advancement of existing export products.

On the afternoon of the 10th, the government held the 4th Expanded Trade Strategy Coordination Meeting at COEX in Seoul, chaired by Prime Minister Chung Sye-kyun, and jointly announced the 'Strategy for Expanding Future Growth Engines and Innovating Trade Structure' with related ministries.

First, the government plans to discover next-generation promising items to strengthen global competitiveness. To this end, it will invest about 5 trillion won by 2025 to create an innovation ecosystem for the development of promising products and the advancement of existing export products, thereby creating future market demand. In particular, 1.6 trillion won will be intensively invested from 2021 to 2025 in the development of innovative new drugs and medical devices. Additionally, systems such as research and development (R&D), environmental regulations, and certification will be improved and rationalized to be more business-friendly to reduce corporate burdens, and investment capacity for promising companies will be expanded through the creation of private funds.

Systematic support will also be provided to enable service trade to grow alongside goods trade. By amending the Foreign Trade Act, the scope of service trade will be expanded to all industries, and separate support regulations will be established to globalize promising service companies with a support system equivalent to that of manufacturing. To this end, the system will shift from a positive listing method that restricts industries to a negative listing method. Furthermore, more than 20 trillion won in trade finance will be supplied by 2025 focusing on six major K-services with high potential: content, digital services, medical and healthcare, edutech, fintech, and engineering, and specialized investments for promising services will also be expanded.

To accelerate the transition to a digital trade system, 'Trade Investment 24' will be established in the second half of the year, utilizing artificial intelligence (AI) and big data to recommend optimal trade information and businesses. Also, by amending the Trade Insurance Act, the scope of contributions to the trade insurance fund, which had been limited to the government, banks, and other funds, will be expanded to include private cooperatives and associations, allowing the introduction of demand-tailored products. To facilitate the entry and exit of businesspeople, short-term overseas visiting businesspeople will be supported to receive COVID-19 vaccinations first after review by the relevant ministries and approval by the Korea Disease Control and Prevention Agency.

Seong Yoon-mo, Minister of Trade, Industry and Energy, said, "When active solidarity and cooperation between companies and the government are achieved, the path to $700 billion in exports can become a reality, not just a possibility," adding, "Through this measure, the government will actively support the innovation of our companies and the dreams of future trade professionals."

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