Chungnam Province is proactively addressing the fallout from the burgeoning "tariff storm" originating from the United States by allocating 100 billion Korean Won in policy funds to mitigate the impact on its local exporting enterprises.
The province announced the establishment of three distinct policy financing programs, totaling 100 billion Won, specifically designed to support export-oriented businesses within Chungnam that have sustained damage due to the trade measures implemented by the second Trump administration. Applications for these support measures will commence on April 24th.
This initiative follows the announcement made on April 14th by Governor Kim Tae-heum outlining Chungnam Province's response strategy to the recently imposed US tariffs. The three policy financing schemes include: △ Management Stabilization Funds for Export- ক্ষতিগ্রস্ত Businesses △ Export Damage Guarantee Funds △ Preferential Interest Rate Funds.
Firstly, the Management Stabilization Funds for Export- ক্ষতিগ্রস্ত Businesses will be provided with a budget of 20 billion Won. Companies with export records within the past year that have incurred losses due to the tariffs are eligible to apply for up to 500 million Won, with a 2.0% interest rate subsidy for a period of two years.
Secondly, the Export Damage Guarantee Funds, amounting to 30 billion Won, will extend support not only to direct victims with export records in the preceding year but also to indirect victims facing difficulties as a consequence of the tariffs. The support entails a cap on loan interest rates and an additional reduction of 0.4 percentage points in guarantee fees (from 1.2% to 0.8%).
Thirdly, the NH NongHyup and Hana Bank Preferential Interest Rate Funds will see an increase of 50 billion Won, expanding the total fund size from the existing 100 billion Won to 150 billion Won. This expansion aims to provide greater access to loans with favorable interest rates for affected businesses.
Applications can be submitted to the Chungnam Economic Promotion Agency for the Management Stabilization Funds for Export- ক্ষতিগ্রস্ত Businesses, to the Chungnam Credit Guarantee Foundation for the Export Damage Guarantee Funds, and at the Himssen Chungnam Financial Support Center branches of NH NongHyup and Hana Bank for the Preferential Interest Rate Funds.
Further details can be found on the Chungnam Province website (https://www.chungnam.go.kr/main.do) under Announcements and Notices, or by contacting the Himssen Chungnam Financial Support Center call center at 1588-7310.
Governor Kim Tae-heum's previously announced comprehensive response plan encompasses several key measures, including: △ 100 billion Won in financial support for export companies △ Expansion of trade insurance support △ Enhanced legal assistance through a trade legal consultation center △ Increased export support through overseas market development △ Expansion of research and development to secure industrial competitiveness △ Collaboration between large and small-to-medium enterprises △ Supply of industrial manpower.
During his press conference, Governor Kim emphasized, "Chungnam's economic structure, with manufacturing accounting for over half (53.1%) and a high export reliance in its core industries, makes it particularly vulnerable to the US tariff measures. While national-level negotiations and countermeasures will undoubtedly be pursued, the current climate of uncertainty necessitates proactive measures at the provincial level to minimize the damage to our local businesses. We will not solely rely on national efforts but will implement and drive forward our own emergency support plan."
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