Listening to On-Site Challenges in the Steel Industry Amid Export Tariffs and the Middle East War
Severe Impact on Local Steel Companies Due to Influx of Low-Priced Chinese Steel Products
On June 24, Yang Jaesaeng, Chairman of the Busan Chamber of Commerce and Industry, visited Taekwang (Chairman Yoon Seongdeok), a KOSDAQ-listed company specializing in plant fittings, to hold an on-site meeting and listen to the manufacturing industry's opinions on recent changes in the global trade environment and domestic policy issues.
This meeting was organized to review the burdens faced by the manufacturing sector due to various domestic and international factors, such as the United States imposing tariffs on individual steel items, raw material supply disruptions caused by the Middle East war, and the consideration of introducing a 4.5-day workweek. The aim was to seek field-oriented policy solutions.
Chairman Yang and ten other members of the Busan Chamber of Commerce and Industry’s executive board participated, actively engaging in communication with the local industrial community.
During the meeting, Yoon Seongdeok, Chairman of Taekwang, stated, "Due to U.S. trade pressure and the aftermath of the Middle East war, volatility in international oil prices and steel raw material prices has increased. In addition, the surge in imports of low-priced Chinese products has significantly worsened the profitability of the domestic steel industry."
Chairman Yoon also commented on the 4.5-day workweek, saying, "Since the introduction of the 52-hour workweek, we have already faced difficulties in productivity and meeting delivery deadlines. If the 4.5-day workweek is implemented, it could directly undermine the competitiveness of small and medium-sized manufacturing companies." He requested a detailed response from the Busan Chamber of Commerce and Industry.
In response, Chairman Yang Jaesaeng said, "Due to recent international developments, risks for local manufacturing companies are increasing. We will strengthen our support system in cooperation with relevant organizations to improve access to information and response capabilities."
He added, "Although the 4.5-day workweek is not yet an official government policy, we will thoroughly analyze its ripple effects and prepare policy alternatives that reflect concerns from the industrial field," making clear his commitment to easing the burden on small and medium-sized enterprises.
The Busan Chamber of Commerce and Industry plans to share the issues discussed today with Busan City and relevant ministries, and to develop policy proposals and support measures that reflect the voice of the industrial sector.
Since its founding in 1965, Taekwang has been a leading local company in Busan, producing plant fittings and secondary battery components. Last year, the company recorded sales of 266.8 billion won, and its industry competitiveness has been recognized through awards such as the KOSDAQ Grand Prize and selection as a strong small business by the Ministry of Employment and Labor.
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