2 weeks Ago By Korea Bizwire
President-elect Donald Trump (Image courtesy of Yonhap) SEOUL, Nov. 27 (Korea Bizwire) – A new survey has revealed that more than three-quarters of South Korean mid-sized companies anticipate increased economic uncertainty when Donald Trump returns to the White House, highlighting growing concerns about potential shifts in U.S.
trade and economic policies. The Federation of Middle Market Enterprises of Korea (FOMEK) released the findings on November 26, based on responses from 237 companies surveyed between November 7 and 18. Companies identified several key factors contributing to increased economic uncertainty, with 43.
9% citing “increased business burdens due to strengthened nationalist policies,” 35.9% pointing to “deteriorating trade balance due to aggressive tariff policies,” and 13.3% expressing concern about “increased China-related risks due to stronger controls on China.
” When asked about Trump’s major campaign promises, companies ranked tariff policies as potentially having the most significant impact (35.9%), followed by trade policies (32.3%), industrial policies (17.
3%), environmental policies (7.4%), and tax policies (3.6%).
Regarding government priorities in response to a second Trump administration, surveyed companies highlighted several key areas for action. “Strengthening core industry competitiveness for economic security” topped the list at 20.9%, followed by “establishing policies to protect domestic industries and create new opportunities” (17.
3%), and “maintaining real economy stability in response to currency volatility” (16.7%). Companies are already planning their own countermeasures, with 31.
7% focusing on securing liquidity to hedge against currency fluctuations, 23.4% looking to diversify export markets, and 20.4% planning to diversify their Chinese raw material and component supply chains.
“We must mobilize all available policy measures to strengthen corporate competitiveness while maintaining diplomatic responses based on the long-standing U.S.-Korea alliance and friendly relations,” said FOMEK executive vice chairman Lee Ho-joon.
He emphasized the need for government, parliament, and private sector collaboration to “build momentum for a rebound at this inevitable crossroads of change.” M. H.
Lee ([email protected]).
