[Asia Economy Reporter Changhwan Lee] LG Electronics announced on the 24th that it will strengthen support for interest-free and low-interest loan funds to ensure that its partners do not face difficulties due to the novel coronavirus infection (COVID-19).
On the same day, LG Electronics held a meeting at its partner company, Yuyang D&U Co., Ltd., located in Hwaseong, Gyeonggi Province, attended by Fair Trade Commission Chairman Seongwook Cho and others, to announce win-win cooperation measures.
LG Electronics plans to support productivity improvement consulting, interest-free funds, purchase volume guarantees, and more when overseas partners return to Korea or expand domestic production due to the impact of COVID-19.
Partners experiencing difficulties in fund management can receive interest-free or low-interest loans as a priority.
To this end, LG Electronics will expand interest-free funds from 40 billion KRW last year to 55 billion KRW this year. The schedule for providing funds will also be advanced by four months compared to last year, proceeding within this month to help partners continue facility investment, parts development, and enhance management stability without disruption.
Additionally, LG Electronics explained that it is continuously monitoring the impact of COVID-19 on partners' raw material supply and operations, and is promptly and actively supporting urgent needs such as mask supply and air freight cost support.
LG Electronics is also operating a 200 billion KRW win-win cooperation fund for low-interest loans together with Industrial Bank of Korea, Korea Development Bank, and others.
Lee Siyong, Head of LG Electronics Purchasing Management Center, emphasized, "The core of win-win cooperation is for partners to enhance business competitiveness based on stable management," adding, "We will provide swift and continuous support so that partners can secure and maintain the highest level of manufacturing capabilities."
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