 |
| South Korea steel support package |
South Korea Boosts Steel Exports Amid Global Trade Pressures
South Korea steel industry support accelerates as government launches 400 billion won ($278 million) export guarantee program.
The Ministry of Trade, Industry, and Energy emphasizes enhanced financial assistance, preferential loans, and extended repayment terms.
Meanwhile, POSCO Group, Industrial Bank of Korea, and Korea Trade Insurance Corp co-finance this initiative to stabilize steel exports.
This move targets high value-added steel production, aiming to increase competitiveness amid US 50% tariffs and new EU safeguard mechanisms.
Green Transition and R&D Investments in Steel
South Korea steel industry support prioritizes green technologies and sector modernization.
Approximately 200 billion won will fund R&D in special carbon steels and AI-based production technologies.
Furthermore, hydrogen-based steel production will reduce CO2 emissions while strengthening industry competitiveness.
As a result, companies producing steel, aluminum, and copper products gain additional 150 billion won for innovation and quality upgrades.
Trade Agreements and Long-term Strategic Investments
The government negotiates with trading partners to ease restrictive measures and enforce import quality certifications from 2026.
South Korea also secures a US trade agreement reducing tariffs from 25% to 15% and invests $350 billion in US projects including shipbuilding and microchips.
These policies reflect a comprehensive approach to protecting domestic steel production, promoting exports, and supporting a sustainable circular economy.
ScrapInsight Commentary
South Korea’s 400 billion won steel support package strengthens exporters and accelerates green transition.
R&D investments in carbon steels and AI technologies may improve competitiveness and reduce emissions.
Trade negotiations and long-term US investments could stabilize prices and expand global market access.
