Korea plans trade offices, voucher program to help firms weather Trump tariffs

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Korea plans trade offices, voucher program to help firms weather Trump tariffs

Published: 27 Feb. 2025, 18:36

LEE JAE-LIM
[email protected]

Audio report: written by reporters, read by AI

Kang Kyung-sung, president of the Korea Trade-Investment Promotion Agency, speaks at a press event in central Seoul on Feb. 27 to commemorate his first 100 days in office. [KOTRA]

The Korean government said it is planning various initiatives, including dedicated offices and vouchers, to help Korean companies weather potential U.S. tariff policies.

“The agency plans to come up with various measures to help Korean companies, such as to operate 20 trade offices dedicated to tariff-related support and help desks and establishing a new tariff voucher program,” Kang Kyung-sung, president of the state-run Korea Trade-Investment Promotion Agency (Kotra), said at a press event commemorating his first 100 days in office.

"I understand that corporations are facing uncertainty and seeking clarity on the situation," Kang said, referring to U.S. President Donald Trump's vows to implement higher tariffs. He added that the agency would " take the lead in organizing a series of emergency briefings on tariff policies and related sessions for export companies."

Kotra relocated its North America headquarters to Washington from New York earlier this year to better collaborate with businesses and the U.S. government.

The Kotra chief identified Asean countries and India as regions key to diversifying Korea’s export structure, which has been primarily concentrated on China and North America. He said the agency plans to establish two new trade offices in Mexico and Georgia within the year to expand its trade presence.

“Countries like India, Indonesia and Pakistan not only have high economic growth rates but also massive consumer markets based on large populations, making them attractive export destinations. They also possess abundant key resources, making them viable future production hubs.”

Kang outlined three goals for his term: To expand the agency’s global operations and budget, diversify export markets and product categories and increase the number of exporting small- and medium-sized enterprises to 100,000.

Specifically, Kotra plans to increase the number of trade offices from 129 to 140 by 2027, expand its annual budget from 664.9 billion won ($44.9 million) to 750 billion won, and increase its workforce from 1,838 to 1,900 employees during the period.

BY LEE JAE-LIM [[email protected]]