Seoul: The government has announced plans to extend a total of 250 billion won (US$182.4 million) in low-interest loans to small and medium-sized auto-parts manufacturers. This initiative aims to mitigate the impact of U.S. tariff measures, as reported by the industry ministry on Wednesday. The loan program will be available until the end of next year, offering financial support to companies facing challenges due to trade policies.
According to Yonhap News Agency, auto-parts manufacturers that have been exporting eco-friendly vehicles since 2024 are eligible to apply for this loan program. Each company can receive up to 500 million won in liquidity support. This initiative is part of a larger governmental effort to assist industries affected by the trade uncertainty caused by the U.S. administration's imposition of extensive tariffs on autos, auto parts, steel, and other imports.
In addition to this loan program, South Korea has planned to deploy 28.6 trillion won in emergency liquidity and financial assistance to aid local export companies. These measures reflect the government's commitment to supporting industries and safeguarding the economy from the adverse effects of international trade tensions.