Responding to Export Uncertainties and Rapidly Changing Trade Environment
Introduction of Tariff Response and Carbon Neutral Transition Support
Selection of 100 Companies, Up to 90% of Activity Costs Covered
The voucher support program for small and medium-sized enterprises (SMEs) in the Busan area facing difficulties in export and import will be expanded.
Busan City (Mayor Park Hyung-jun) and the Busan Economic Promotion Agency (Director Song Bok-cheol) announced on the 6th that they will expand and promote the ‘Export-Import Difficulty SME Voucher Support Program’ to help local SMEs overcome crises and activate exports.
This support program is one of the various export support policies prepared by the city to enhance the export competitiveness of local SMEs and develop overseas sales channels.
In response to increasing uncertainties in the domestic and international trade environment, Busan City has proactively expanded the voucher support budget from 200 million KRW in last year’s main budget to 300 million KRW this year to support local companies’ export difficulties.
To strengthen companies’ export competitiveness in response to the rapidly changing global trade environment, the city has increased the support limit per company to 3 million KRW this year (2 million KRW last year).
About 100 local export SMEs and companies importing raw materials for export purposes will be selected and supported up to 90% of export activity costs such as export marketing expenses, international transportation costs, and interpretation/translation fees, with a maximum limit of 3 million KRW.
In addition, to respond to difficulties faced by SMEs potentially affected by U.S. tariff measures, two new support areas have been introduced: ▲ Carbon Neutral Transition Support ▲ Tariff Response Support.
This year’s support areas include a total of eight categories: ▲ International Transportation ▲ Exhibition and Overseas Sales Support ▲ Promotion and Advertising Marketing ▲ Design and Video ▲ Interpretation and Translation ▲ Overseas Standard Certification and Intellectual Property Acquisition ▲ Carbon Neutral Transition Support ▲ Tariff Response Support.
As international environmental regulations such as the Carbon Border Adjustment Mechanism approach as trade barriers, and small local SMEs face difficulties in responding to carbon reduction regulations, the newly established ‘Carbon Neutral Transition Support’ area this year aims to strengthen companies’ export competitiveness.
Also, to proactively respond to difficulties faced by local export SMEs potentially affected by the U.S. Trump administration’s tariff policies, the ‘Tariff Response Support’ area has been introduced for active support.
Reflecting the voices from the field, this year the scope of support will be expanded from the existing overseas standard certification to include intellectual property acquisition, which is a prerequisite for export success.
Companies wishing to participate in the program can apply through the Busan City Overseas Marketing Integrated System by March 17.
From April to November, applications can be submitted by the 10th of each month, and the city plans to calculate and pay the support funds to selected companies by the end of each month after screening. For more details, refer to the announcement on the city’s Overseas Marketing Integrated System or contact the Busan Economic Promotion Agency.
Kim Bong-cheol, Director of the Digital Economy Office of Busan City, said, “By providing customized export services based on corporate demand, we expect to alleviate the difficulties of local small export companies struggling amid the complex global economic crisis and uncertainties, and contribute to revitalizing exports.”
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