This photo provided by POSCO shows cold-rolled stainless steel products. (Image courtesy of Yonhap)
SEOUL, Sept. 19 (Korea Bizwire) — Industry Minister Kim Jung-kwan said Friday the government will introduce a new export guarantee program worth around 400 billion won (US$290 million) for the steel industry faced with steep tariffs from the United States.
Kim made the remarks during a meeting with top executives of major steel companies, including POSCO, in the southeastern city of Pohang.
The U.S. administration of President Donald Trump had imposed 25 percent tariffs on steel and aluminum imports before doubling the rate to 50 percent in June.
“The government, steelmakers, financial institutions and policy lenders will work together to create a guaranteed scheme to strengthen the steel industry’s supply chains,” Kim said, noting that the measure will create an economic effect equivalent to about 400 billion won in support.
The minister also pledged to continue holding talks with Washington for tariff relief while vowing to roll out follow-up support measures for the industry and step up efforts to block unfair imports.
The government will also seek to ease regional economic strains triggered by the steel sector’s difficulties while working with the National Assembly on legislation to bolster the industry, Kim added.
Washington’s aggressive tariff scheme has hurt domestic steelmakers, with exports tumbling more than 25 percent on-year in July.
(Yonhap)
