Sung Il-jong: "Delivery Price Linkage System Must Be Introduced by Law... Not Forcing Sacrifice on Large Corporations"

[Image source=Yonhap News]

[Asia Economy Reporter Kim Bo-kyung] Sung Il-jong, Policy Committee Chairman of the People Power Party (photo), expressed his commitment on the 17th to introduce a delivery price linkage system to help small and medium-sized enterprises (SMEs) recover from management difficulties. However, he stated that if the linkage system is introduced, the delivery price should also be lowered when raw material prices fall.

On the morning of the same day, Chairman Sung held a "Policy Discussion for the Introduction of the Delivery Price Linkage System" at the Korea Federation of SMEs in Yeouido, Seoul, saying, "We will revise the law to include provisions related to delivery prices to make it mandatory and create a framework so that the system can work well," and added, "We will supplement it through legislation within May."

Recently, the increase in raw material prices has not been properly reflected in delivery prices, causing SMEs caught between large corporations to bear the cost burden like a 'nutcracker,' leading to growing calls for the introduction of the linkage system.

Chairman Sung said, "In an era of high exchange rates, high interest rates, and soaring inflation, the delivery price linkage system is meaningful and will play a role in maintaining balance," adding, "The party has given this much thought. We have almost completed the review for legal support."

However, he stated, "We will not force all the burden onto large corporations," and insisted, "When raw material prices decrease, the delivery prices should also decrease accordingly. The linkage must work not only when prices rise but also when they fall to maintain balance."

He emphasized, "It should not be a situation where one side is forced to sacrifice, but a place to maintain balance," and added, "We need to explore the system together."

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