In a strategic move to bolster its export sector, Korea has set its sights on achieving an annual outbound shipment target of $700 billion, signaling a strong commitment to economic growth. The announcement came from the industry ministry on Wednesday, outlining plans to provide comprehensive policy and financial support to key industries, particularly chips and automobiles.
Despite global economic uncertainties, Korea recorded exports of $632.6 billion in 2023, marking a slight decline of 7.4% compared to the previous year. In response to this, the government has pledged to ramp up efforts to enhance the export volume of chips, a cornerstone of the country’s economy, aiming to reach $120 billion in 2024, a significant increase from $98.6 billion in 2023. Similarly, the annual export target for automobiles has been set at $75 billion, up from $70.8 billion in the preceding year.
Speaking at a meeting with business officials, Industry Minister Ahn Duk-geun emphasized the importance of adapting to evolving global trends, such as reshuffling supply chains, carbon neutrality initiatives, digital transitions, and demographic changes. While acknowledging the potential challenges posed by geopolitical risks and economic uncertainties, Minister Ahn remained optimistic about Korea’s export prospects.
To facilitate the achievement of these ambitious targets, the ministry outlined plans to assist key industries in acquiring competitive technologies through policy support. Additionally, measures will be implemented to address global protectionism moves, including the U.S. Inflation Reduction Act and Europe’s Carbon Border Adjustment Mechanism.
Furthermore, Korea has allocated a substantial amount of trade financing, amounting to 360.2 trillion won ($270.2 billion), to ensure the continued momentum of outbound shipments and support the nation’s economic recovery efforts.
With a firm commitment to enhancing its export capabilities, Korea remains poised to navigate the complexities of the global trade landscape and capitalize on emerging opportunities for sustained growth.