Pohang Mayor Lee Gangdeok Appeals for Government Support to Overcome Steel and Secondary Battery Industry Crisis

Designation as Industrial Crisis Preemptive Response Area, Enactment of Steel Industry Support Act and Special Support Act Proposed to Ministry of Trade, Industry and Energy
"Pohang's Crisis Is a National Manufacturing Crisis"... Urgent Need for Swift and Concrete Government Support

Pohang Mayor Lee Gangdeok has officially submitted an appeal to the Ministry of Trade, Industry and Energy, urging the government to take comprehensive action in response to the simultaneous downturn in the steel and secondary battery industries, stating that "the nation's key industries are at a crossroads of survival."

The appeal highlights the severe impact on Pohang's economy and the country's industrial sector as a whole amid a complex crisis, including high tariffs imposed by the United States, global oversupply, and a domestic economic slowdown. It also calls for the government to prepare countermeasures at the national level.

In the appeal, Mayor Lee stated, "On June 4, the United States abruptly raised tariffs on steel and aluminum products to 50%, putting the domestic steel industry in a desperate fight for survival. Even a 25% tariff was already a significant blow, and this additional increase directly hits exports and threatens the very foundation of the nation's manufacturing industry."

Regarding the secondary battery industry, he emphasized, "The profitability of the materials industry is deteriorating due to slowing demand for electric vehicles, aggressive low-price competition from China, and declining exports. We are facing a national crisis in which both the steel and secondary battery industries are simultaneously under threat."

In response, the city has strongly recommended that the government designate Pohang as an 'Industrial Crisis Preemptive Response Area' and enact special support laws for both the steel and secondary battery industries. The city is also requesting systematic and concrete policy support at the national level.

Mayor Lee concluded, "The crisis in Pohang is not just a local issue, but a crisis for the competitiveness of South Korea's manufacturing sector. Now is the time for the government to provide proactive and comprehensive support to protect the foundation of the nation's industries," he strongly appealed.

Pohang City stated that it will continue to work with the central government, both ruling and opposition parties, and relevant ministries to develop policy solutions and ensure that this proposal leads to practical countermeasures for the local industrial crisis.

In December of last year, Lee Gangdeok, Mayor of Pohang, visited the Dongkuk Steelworks site to overcome the steel crisis. Photo by Pohang City