[Column] "K-Steel Act" and "Industrial Crisis Response Zone" Designation Essential for Gwangyang's Development

Kwang Il Woo / Chairman of the Gwangyang Chamber of Commerce and Industry

Kwangil Woo, Chairman of Gwangyang Chamber of Commerce and Industry.

Gwangyang is both the history and the future of South Korea's steel industry.

Our region, which has grown for decades based on steel, has seen countless companies and workers build their livelihoods alongside the steel industry, driving national economic development. Recently, the steel industry and the local economy have faced an unprecedented crisis due to a combination of factors: not only the exclusion of steel in the recent tariff negotiations with the United States, but also global oversupply, rapidly changing eco-friendly policies, and a fundamental shift in the industrial paradigm.

At this critical juncture, the "K-Steel Act" currently submitted to the National Assembly is a key piece of legislation that will determine the future competitiveness of South Korea's steel industry and Gwangyang. The bill includes concrete and effective measures such as strengthening the competitiveness of the steel industry, promoting eco-friendly transformation, supporting research and development, and restoring the industrial ecosystem.

In particular, since the bill must pass the National Assembly this year to be implemented starting next year, swift discussion and decisive action by the National Assembly are urgently needed.

Furthermore, designating the region as an "Industrial Crisis Response Zone," which is being pursued in parallel to secure the sustainable future of the steel industry and prevent the collapse of the local economy, is also extremely urgent. The reason Jeollanam-do Province and Gwangyang City are jointly pursuing this designation is because it is the most effective system to provide real support to crisis-stricken companies and the local economy under the government’s policy and financial protection. If this designation is achieved, the ripple effects on businesses, small merchants, and the entire local economy are expected to be significant.

The harsh reality revealed by the "Business Survey Index (BSI)" conducted by the Gwangyang Chamber of Commerce and Industry over the past three years-failing to meet the standard for 12 consecutive quarters-shows that the regional economic crisis has already entered a prolonged phase. However, the crisis facing the steel industry is no longer a problem limited to a specific region. It is a major national challenge that threatens the very foundation of the country's manufacturing competitiveness. Only when the National Assembly and the government make a prompt decision will the path to restoring the industrial ecosystem and stabilizing the local economy open up.

The Gwangyang Chamber of Commerce and Industry solemnly appeals, together with the local community, for the swift passage of the "K-Steel Act" in the National Assembly and the designation of the "Industrial Crisis Response Zone." This is not just an issue for Gwangyang, but an inevitable choice for the future of South Korea's steel industry and national economy.