SEOUL– South Korea plans to seek legislation on state policy measures to secure stable supply chains amid heightened economic uncertainty, the finance minister said Tuesday.
The government will push to submit a set of three bills that center on the provision of fiscal support, tax benefits and financial assistance for companies making efforts to diversify supply chains, according to Finance Minister Choo Kyung-ho.
“Building stable supply chains requires close cooperation between the private sector and the government,” Choo said at an economy-related ministerial meeting.
He said details will be soon unveiled after related ministries discuss the issue.
How to ensure stable supply chains has emerged as a key issue in strengthening economic security, as the prolonged war between Russia and Ukraine and China’s COVID-19 shutdowns have aggravated global supply chain disruptions amid the pandemic.
South Korea has decided to join the Indo-Pacific Economic Framework (IPEF), the U.S.-led new economic initiative, following the May summit in Seoul between President Yoon Suk-yeol and his U.S. counterpart Joe Biden.
The government hoped its bid to join the IPEF could help diversify and stabilize the country’s supply chains amid fast-changing global trade circumstances.
Source: Yonhap News Agency