Official Letter Sent to the Ministry of Trade, Industry and Energy on Business Difficulties and Suggestions
Research Service Launched for Developing Steel Industry Crisis Response Strategy
Gwangyang City, Jeonnam (Mayor Jung Inhwa) announced on the 11th that it will actively implement follow-up measures to minimize damage and strengthen the competitiveness of the steel and secondary battery industries, based on discussions held at the 'Trump Second Term Tariff Policy Response Meeting.'
On the 6th, the Gwangyang Chamber of Commerce and Industry (Chairman Woo Kwangil) expressed its understanding of the difficulties faced by local industries due to the Trump second term administration's tariff policies during the meeting, and, together with the Suncheon Chamber of Commerce and Industry, officially sent a 'Joint Proposal for Preemptive Response to the Gwangyang Bay Industrial Crisis' to the government and relevant agencies.
The joint proposal included requests for the government's active support, such as: ▲Designation of Gwangyang City as a special industrial crisis response zone ▲Additional designation of a specialized cluster for advanced secondary battery strategic industries ▲Inclusion of the steel industry in the National Advanced Strategic Industry Act.
On the 11th, Gwangyang City sent an official letter to the Ministry of Trade, Industry and Energy containing the difficulties and suggestions raised by companies at the 'Trump Second Term Tariff Policy Response Meeting.'
The letter included major proposals from businesses, such as: ▲Maintaining the operation of the steel tariff-free quota system through government-level negotiations ▲Establishing policies to protect SMEs from damages caused by tariff policies ▲Providing industrial electricity rate discounts and a separate rate system for the steel and secondary battery industries ▲Expanding government subsidies to offset tariff increases ▲Increasing the proportion of domestic raw materials for secondary battery materials in the core minerals stockpiling project ▲Expanding purchase subsidies to vitalize the domestic electric vehicle market ▲Expanding support for overseas mineral development ▲Introducing a quota system to increase the use of domestic raw materials in batteries ▲Providing tax benefits and incentives to battery manufacturers using domestic raw materials.
On the 19th, Gwangyang City plans to visit the office of National Assembly member Kwon Hyangyeop to officially deliver the difficulties and suggestions of local companies, and to request cooperation and policy support at the parliamentary level.
At the end of March, the city plans to launch the 'Steel Industry Crisis Response Council' (tentative name). The council will be a public-private consultative body with participation from Jeonnam Province, Gwangyang City, Gwangyang City Council, Suncheon City, Suncheon City Council, and companies, aiming to strengthen cooperation for policy response and support measures to address the steel industry's crisis.
The 'Research Service for Establishing a Steel Industry Crisis Response Strategy,' jointly promoted by Jeonnam Province, Gwangyang City, and Suncheon City, will begin in March. The research aims to establish a systematic strategy for securing the long-term competitiveness of the steel industry and responding to changes in the global trade environment, as well as to prepare data and responses for the designation of special industrial crisis response zones.
Jung Haejong, Director of Investment and Economy at Gwangyang City, stated, "The steel and secondary battery industries are the core pillars of Gwangyang City's economy," emphasizing, "A multifaceted response is necessary to minimize the impact of strengthened global protectionism." He added, "We will do our best not only to launch the council and conduct research, but also to deliver on-site difficulties of companies to the Ministry of Trade, Industry and Energy so that practical support measures can be established."
Meanwhile, Gwangyang City plans to continuously strengthen its cooperation system with the government, Jeonnam Province, and companies for the sustainable development of local industries, including the steel and secondary battery sectors, and to continuously expand policy support to respond to industrial crises and secure competitiveness.
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