Industry Vice Minister Urgently Inspects Automobile Production and Export Sites

Industry Responds to U.S. Auto Tariff Shock
Requests for Emergency Management Stabilization Funds

President Donald Trump signed a proclamation imposing a 25% tariff without exceptions on steel and aluminum products imported into the United States, and announced that tariffs on automobiles and semiconductors are also under consideration. Meanwhile, export vehicles are waiting to be loaded at Pyeongtaek Port, Gyeonggi Province on February 13, 2025. Photo by Kang Jin-hyung

Park Sung-taek, the 1st Vice Minister of the Ministry of Trade, Industry and Energy, visited Pyeongtaek Port and Kia's Gwangmyeong plant on the 28th to inspect the domestic automobile production and export sites. This on-site visit was conducted as a response measure to minimize the impact on the overall domestic automobile industry caused by the U.S. imposing high tariffs on automobile items.

At Pyeongtaek Port, Vice Minister Park boarded a car carrier ship with Hyundai Glovis officials to inspect the loading operations. He then visited Kia's Gwangmyeong plant to tour the manufacturing line and held a meeting with Kia President Choi Jun-young and representatives from parts companies such as Myunghwa Industry and HL Clemove.

The industry expressed concerns that due to the U.S. tariff measures, Korean vehicles might be treated unfavorably compared to competitors, and requested the government to play an active role in negotiations with the U.S. They also urged the government to prepare practical measures such as emergency management stabilization funds and support for market diversification, fearing the worsening management conditions of parts companies.

Vice Minister Park stated, "If tariff measures on automobile items are followed by reciprocal tariff actions, a significant shock is expected to domestic exports and the entire industrial ecosystem," and added, "Based on the opinions raised on-site today, we will work with related ministries to devise prompt support measures."

Regarding the explanation that Hyundai Motor Group is steadily proceeding with domestic investments worth 24 trillion won, he said, "We will also review measures to improve the investment environment so that corporate investment activities can continue."