"Global ESG Export Regulations: Actively Respond to Turn Challenges into Market Expansion Opportunities"

KCCI ESG Innovation Growth Conference
Discussion on ESG Export Regulation Trends and Response Strategies

Experts have suggested that our companies should actively respond to global ESG export regulations such as the European Union (EU)'s Carbon Border Adjustment Mechanism (CBAM), the new Battery Regulation, and ESG (Environmental, Social, and Governance) supply chain due diligence, turning these challenges into opportunities for market expansion.

On the 19th, Woo Tae-hee, Executive Vice Chairman of the Korea Chamber of Commerce and Industry, delivered a greeting at the ESG Innovation Growth Conference held at the Sang-ui Hall in Jung-gu, Seoul. Photo by Korea Chamber of Commerce and Industry

On the 19th, the Korea Chamber of Commerce and Industry held the 'ESG Innovation Growth Conference' at the Chamber of Commerce building in Jung-gu, Seoul, to discuss recent trends in ESG export regulations and response strategies.

Yang Eun-young, Director at the Korea Trade-Investment Promotion Agency (KOTRA), stated, "Although the full implementation of CBAM begins in 2026, companies do not have much time to prepare. Since the greenhouse gas emission calculation standards for each process are organized into complex formulas, it is necessary to conduct a comprehensive inspection of production facilities and processes accordingly."

She added, "The EU has said it will listen carefully to the opinions of Korean companies during the system transition period, so we must actively convey our views to ensure that unfavorable conditions are not applied to domestic companies."

Park Jae-heum, Executive Director at EY Han Young, said, "The EU's new Battery Regulation is a comprehensive regulatory framework aimed at promoting resource circulation, safety and health, and transparency. Domestic companies need to establish an integrated data collection and management system that considers the product life cycle to respond effectively."

He continued, "Along with data management, it is also necessary to pay attention to technological investments to reduce carbon intensity."

Jang Yoon-je, Director of the ESG Research Institute at the law firm Sejong, noted, "The biggest concerns for companies subject to ESG supply chain due diligence are the so-called abuse of power risks and identifying secondary and tertiary partners in the value chain. These issues can be resolved through prior consultation and a proper due diligence system at the contract drafting stage."

Woo Tae-hee, Senior Vice Chairman of the Korea Chamber of Commerce and Industry, said, "Rather than simply perceiving the increasingly expected ESG export regulations as a burden, it is necessary to use them as an opportunity to surpass competitors and further expand the market."

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