Gyeonggi Province to Provide 100 Billion Won in Special Management Funds for Exporters Damaged by Tariffs

The Gyeonggi Provincial Government will expand its "Special Management Fund" for small and medium-sized enterprises (SMEs) in the province that have suffered losses due to tariffs imposed by the Trump administration in the United States, increasing the fund from 50 billion won to 100 billion won.

On September 17, the Gyeonggi Provincial Government announced that it would increase the "Special Management Fund for Export Companies Damaged by Tariff Imposition" from the original 50 billion won to 100 billion won, in order to provide comprehensive support to export-oriented SMEs in the province affected by tariffs. Applications will be accepted starting from the 29th of this month.

The support targets SMEs that have suffered direct or indirect damage from the US tariffs. This includes companies with export records to the United States that have been affected, as well as partner companies of exporters to the US. In addition, second- and third-tier small partner companies that supply materials and other goods to these partner companies are also eligible for support.

Gyeonggi Provincial Government

This measure reflects the opinions of companies expressed at an on-site meeting between Gyeonggi Province Governor Kim Dongyeon and automobile export companies held at Pyeongtaek Port on August 20.

The maximum loan limit for the special management fund is 500 million won per company, with a repayment period of one year deferred and four years of equal installment repayment. The loan interest rate is supported with a fixed 2.5% interest subsidy on top of the bank loan rate.

If companies also apply for a guarantee certificate from the Gyeonggi Credit Guarantee Foundation as collateral for the special management fund, the guarantee fee will be fully exempted to ease financial costs for companies. The guarantee coverage ratio has also been raised from the previous 90% to 95%.

Choi Jeongseok, Director of Regional Finance at the Gyeonggi Provincial Government, said, "We hope that this expansion of the special management fund will help stabilize the management of SMEs and small partner companies in the province that have suffered damage due to the tariff imposition."

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