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President-elect Yoon Seok-yeol Holds Luncheon Meeting with Economic Organization Leaders on the 21st

President-elect Yoon Suk-yeol is delivering a greeting at a luncheon meeting with the heads of six economic organizations held on the 21st at the Presidential Transition Committee in Tongui-dong, Jongno-gu, Seoul. Photo by Yoon Dong-ju doso7@

[Asia Economy Reporters Sunmi Park and Hyungil Oh] As preparations are underway for the first meeting between President-elect Yoon Suk-yeol and the heads of six major economic organizations on the 21st, the Federation of Korean Industries (FKI) has effectively taken on the role of coordinating the schedules of the economic leaders, creating a subtle atmosphere among the economic groups.

On the 21st, President-elect Yoon held a luncheon meeting with the heads of economic organizations at the Presidential Transition Committee office in Tongui-dong, Seoul, to hear their opinions on shifting from government-led to private sector-led economic growth. Attending were Chey Tae-won, Chairman of the Korea Chamber of Commerce and Industry; Huh Chang-soo, Chairman of the Federation of Korean Industries; Kim Ki-moon, Chairman of the Korea Federation of Small and Medium Business; Sohn Kyung-shik, Chairman of the Korea Employers Federation; Koo Ja-yeol, Chairman of the Korea International Trade Association; and Choi Jin-sik, Chairman of the Korea Association of Mid-sized Enterprises.

The initial coordination of the economic leaders’ schedules for the luncheon was handled by the FKI. The recently launched Transition Committee first contacted the FKI to request assistance in arranging meetings with the organization heads, and the FKI took the lead in gathering and conveying the attendance confirmations from the other economic leaders. This has led to a growing perception that the FKI, which had been sidelined during the Moon Jae-in administration, is now seizing an opportunity to restore its status with the new government.

An industry insider said, "The FKI’s status, which had been diminished over the past five years due to its involvement in the Park Geun-hye administration’s political scandal and exclusion from Blue House events, is changing with the regime change. The fact that the FKI acted as the communication hub for economic organizations at the first meeting with President-elect Yoon can be seen as a sign of its resurgence."

The FKI has expressed its intention to play a role as an economic organization to help overcome the difficult economic situation. On the other hand, other economic organizations, including the Korea Chamber of Commerce and Industry, which has traditionally played the role of the 'eldest brother' among economic groups, are cautious about overinterpreting the FKI’s role in this meeting. Although there are voices suggesting that the FKI took a leading role in this gathering, the order of speakers among the economic leaders and other factors indicate that there is insufficient evidence to conclude that the FKI’s role has significantly increased.

Replacing the FKI as the representative of the business community, the Korea Chamber of Commerce and Industry has seen its status rise further with the appointment of Chey Tae-won, Chairman of SK Group. There are expectations that its role will expand under the new government. Recently, several figures with ties to SK Group have been appointed to the Transition Committee, creating a situation where Chairman Chey can serve as a central figure in establishing a close cooperative system with the new administration.

On the same day, the Transition Committee appointed Kim Il-beom, former Vice President of SK Group’s SUPEX Council, as the foreign press public relations aide. This brings the number of Transition Committee members with SK Group connections to four, including KAIST Professor Lee Chang-yang, a former outside director of SK Hynix who is in charge of industrial policy in the economic second division; Professor Wang Yoon-jong of Dongduk Women’s University, formerly head of economic research at SK Management & Economy Research Institute; and Yoo Woong-hwan, former head of SK Telecom’s ESG Innovation Group.

A representative from the Korea Chamber of Commerce and Industry explained, "(The Chamber) wants to emphasize the importance of communication between the government and businesses," adding, "Reflecting the President-elect’s intentions, we plan to create a communication platform and propose that the government frequently listen to the voices of businesses based on this platform."

Meanwhile, President-elect Yoon told the economic leaders, "Although changes are already underway, our country must now transform the economy from government-led to private sector-led," and added, "I have strong faith in the free market economy." He continued, "The government builds infrastructure and supports from behind, while companies take the lead in creating jobs and investing. When companies grow, the country grows. Simply put, economic growth means income rises, and companies growing is economic growth."

He further emphasized, "Isn’t it the government’s role to remove obstacles that hinder companies from operating freely?" and urged, "Businesspeople are likely aware of what these obstacles are, so please continue to provide advice going forward."