President Lee Proposes Sugar Levy Like Tobacco; Blue House Plans to Gather Opinions from All Sectors

Proposal Made via Social Media
Blue House: "We Will Gather Opinions and Review"
Foreign-Invested Companies Roundtable Also Held

President Lee Jaemyung has proposed imposing a levy on sugar, similar to that on tobacco, and investing the resulting funds in regional and public healthcare.

Yonhap News Agency

On January 28, through social media, President Lee wrote, "What are your thoughts on curbing sugar consumption through a sugar levy, like tobacco, and reinvesting the collected funds to strengthen regional and public healthcare?"

According to a survey conducted by the Seoul National University Health Culture Project Group from January 12 to 19, 80.1% of the 1,030 respondents supported introducing a "sugar tax" that would impose a levy on companies that excessively use added sugars. The World Health Organization (WHO) recommended in 2016 that member states introduce a sugar tax to protect public health.

A Blue House official stated, "We plan to gather opinions from various sectors and review issues such as the public health concerns arising from sugar consumption and the use of funds for reinvestment to strengthen regional and public healthcare," adding, "Discussions are underway regarding ways to enhance public health rights, such as disease prevention, through the introduction of a sugar levy, including holding a sugar tax forum in the National Assembly."

Meanwhile, President Lee will preside over the event "Growth for All: Foreign-Invested Companies Roundtable-Global Investment, Youth Advancement, Regional Growth" at the main building of the Blue House this afternoon. Kang Yujeong, spokesperson for the Blue House, explained, "The event is organized to listen to the voices of foreign-invested companies operating in Korea, to request more opportunities for young people, and to encourage greater investment in local regions."

Last year, the amount of foreign direct investment (FDI) inflow into Korea reached a record high of $36.05 billion. Based on reported figures, this represents a 4.3% increase from the previous year, totaling $36.05 billion, while the amount actually received rose by 16.3% to $17.95 billion, ranking third highest ever.

At the roundtable, representatives from seven foreign chambers of commerce in Korea, including James Kim, Chairman of the American Chamber of Commerce in Korea, and Van Hoof, Chairman of the European Chamber of Commerce in Korea, as well as representatives from 31 foreign-invested companies, will attend. On the government side, the Ministers of Economy and Finance, Science and ICT, Climate, Energy and Environment, and Employment and Labor, the Chief of the Office for Government Policy Coordination, and the Head of Trade Negotiations at the Ministry of Trade, Industry and Energy will participate. From the Presidential Office, the Chief of Policy, Senior Secretary for Economic Growth, Senior Secretary for AI and Future Opportunities, and Senior Secretary for Social Affairs will also be present.

Yeo Hankoo, Head of Trade Negotiations, will announce the government’s joint policy direction for supporting foreign investment focused on youth advancement and regional growth. After Kim Woogyu, CEO of Merck Korea, presents a case study on regional investment by foreign-invested companies, an open discussion will follow. The policy direction to be announced by Mr. Yeo includes: maintaining the momentum of last year's record-high foreign investment inflows; selecting 30 major foreign investment projects and providing tailored support packages to attract key companies; significantly strengthening incentives for regional investment; fostering customized young talent for foreign-invested companies; and addressing challenges faced by foreign-invested companies and improving settlement conditions.