[2024 Economic Policy] Jung Manki, Vice Chairman of KITA, "Welcome 355 Trillion Trade Finance and Tax Support for Export Companies"

"Extension of Temporary Investment Tax Credit Also Good News"

Jung Manki, Vice Chairman of the Korea International Trade Association, issued a statement welcoming the 355 trillion won scale trade finance and tax support policies included in the '2024 Economic Policy Direction' announced by the government on the 4th.

Vice Chairman Jung said, "The trade industry welcomes the economic policy direction announced by the government on the 4th," adding, "In particular, the supply of 355 trillion won in trade finance to export companies and the extension of tax support for small and medium export companies will greatly contribute to promoting exports for companies struggling to secure funds due to prolonged high interest rates."

Jung Manki, Vice Chairman of the Korea International Trade Association, is delivering the opening address at the "Korea-Indonesia Future Industry Cooperation Forum" held at the Mulia Hotel in Jakarta, Indonesia, on September 15 last year.
[Photo by Yonhap News]

He also expressed a positive response to the government's decision to extend the temporary investment tax credit for corporate facility investments, which was temporarily introduced last year, until the end of this year.

This year's basic deduction rates for investments are 3% for large companies in general sectors, 7% for mid-sized companies, and 12% for small and medium enterprises. For new growth and core technology sectors, the rates are 6% for large companies, 10% for mid-sized companies, and 18% for small and medium enterprises. For national strategic technology sectors, the rates are 15% for large and mid-sized companies, and 25% for small and medium enterprises. An additional 10% deduction is given for investment increases this year compared to the average investment amount over the past three years.

Vice Chairman Jung stated, "The extension of the temporary investment tax credit for facility investments, strengthening of investment incentives, resolution of killer regulations, and advancement of the labor market, among other measures to improve the business environment, are expected to contribute to strengthening the competitiveness and foundation of the export industry."

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