SEOUL, Jan. 18 (Korea Bizwire) — South Korea will offer 900 billion won (US$726.86 million) in policy financing to the display industry this year to help fund their investments in advanced technologies and boost exports, the industry ministry said Wednesday.
First Vice Industry Minister Jang Young-jin announced the plan as he met with officials of major players, including Samsung Display Co. and LG Display Co., in Seoul to discuss business circumstances and possible ways of cooperation.
In addition to the funding, the government plans to invest 211.5 billion won this year in research and development projects aimed at creating new OLED markets and developing related components, materials and equipment, according to the Ministry of Trade, Industry and Energy.
The measures came as the display sector is facing difficulties amid heated global competition and falling demand in the post-pandemic era amid a global economic slowdown.
In 2022, exports in the display industry fell 1.1 percent on-year to $21.1 billion.
This year, the figure is forecast to rise 1.5 percent on-year to $21.5 billion, according to the ministry.
Corporate officials in attendance asked for the government’s financial support, greater tax incentives and the designation of an industrial complex for the industry, among other things.
“The government recently added the display sector to the ‘national advanced industries’ category and set up a government task force for assistance. We will continue to extend backing for the sector, including the establishment of a specialized complex,” Jang said.