SEOUL (Reuters) -South Korea has prepared support measures for small and medium-sized firms expected to be hurt by U.S. tariffs, the government said on Wednesday. The measures include financing support worth 4.6 trillion won ($3.25 billion), subsidies to ease the burden of logistics costs, and other policies to help expand export markets. While their exports […]
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South Korea to help small, medium-sized firms hit by tariffs
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SEOUL (Reuters) -South Korea has prepared support measures for small and medium-sized firms expected to be hurt by U.S. tariffs, the government said on Wednesday.
The measures include financing support worth 4.6 trillion won ($3.25 billion), subsidies to ease the burden of logistics costs, and other policies to help expand export markets.
While their exports accounted for 17% of South Korea’s total exports in the first quarter, 81% of small and medium-sized enterprises considered themselves vulnerable to 25% tariffs introduced by the Trump administration in early April but later suspended for 90 days, the government said in a statement.
Earlier this month, South Korea approved an extra government budget of 13.8 trillion won, including spending plans for tariff responses, to bolster an economy grappling with weak domestic demand and the potential impact of U.S. tariffs.
($1 = 1,416.7000 won)
(Reporting by Jihoon LeeEditing by Ed Davies)