"How we respond may either deepen current issues such as the retraction of consumer and investment sentiment and the spread of protectionism into a crisis, or serve as a springboard for opportunities." (Small and medium-sized enterprises, and small business owners are at) a critical turning point.
Minister Han Seong-suk held her first official meeting with the small and medium-sized enterprise sector since taking office. On the 29th, Minister Han visited the Korea Federation of Small and Medium Enterprises (KBIZ) in Yeouido, Seoul, where she met with Kim Ki-moon, the chairman of KBIZ, as well as leaders from small business, women, venture, construction, and other small business organizations, to discuss key industry issues.
Minister Han first shared the policy direction of the Ministry of Small and Medium Enterprises. Since taking office on the 24th, she has been reshaping ministry policies, emphasizing 'real growth.'
In her opening remarks, Minister Han addressed critical issues facing the Korean economy, including ▲ difficulties in the livelihood economy due to the retraction of consumer and investment sentiment ▲ the spread of protectionism and global economic uncertainty ▲ the acceleration of digital transformation due to the spread of AI ▲ regional hollowing out and deepening disparities. She emphasized that "how we respond now may either deepen the current issues into a crisis, or transform them into a springboard for opportunities."
Minister Han also outlined the five policy directions of the ministry, including ▲ strengthening support for small business owners in building social and disaster safety nets ▲ digital transformation through the internalization of AI technology in small and medium-sized enterprises ▲ achieving a leading position among the four major countries for start-ups and ventures ▲ creating an environment in which small and medium-sized enterprises and large enterprises can grow together ▲ revitalizing regional economies through regional innovation hubs.
During the event, small business representatives also voiced their concerns. Kim Ki-moon said, "Small and medium-sized enterprises and small business owners are facing a complex set of difficulties due to domestic stagnation, tariff wars stemming from Trump, and China's aggressive low-priced product campaigns," and added that "to revive the manufacturing sector, all ministries should boldly ease regulations and strengthen policy support, creating a societal atmosphere where Korean manufacturing can thrive again and join in revitalizing domestic demand to support the growth of small business owners and self-employed individuals."
Jeong Kwang-cheon, chairman of the Innovative Business Association, noted, "To promote the expansion of smart factories utilizing AI, common models by industry and process are necessary, and collaboration with large corporations is also needed."
Minister Han responded, saying, "I will review the restructuring of related support projects to ensure that support reflects the characteristics of each industry and incorporates the know-how of large enterprises in collaboration with the KBIZ and others."
Moreover, small and medium-sized enterprises and small business owners requested key issues such as ▲ easing financial burdens for diligent repayers and nurturing promising digital small businesses ▲ developing and expanding common AI transformation (AX) models by industry ▲ expanding export support for small and medium-sized enterprises ▲ enhancing employment and long-term retention support for young people in small and medium-sized enterprises ▲ establishing a regulatory innovation roadmap for the globalization of venture and start-up businesses.
At the event, the Ministry of Small and Medium Enterprises, the Small and Medium-sized Business Association, the Korea Federation of Micro Enterprises (KFME), and the National Merchants Association announced a joint public-private 'domestic demand and consumption activation campaign' to revive the livelihood economy and invigorate local commercial districts.
To this end, the Ministry of Small and Medium Enterprises resolved to support the activation of domestic demand and consumption through policy, while the Korea Federation of Micro Enterprises (KFME) and the National Merchants Association, among other small business organizations, pledged to enhance the competitiveness of small businesses and traditional markets by providing consumers with high-quality products and services.
Minister Han expressed her commitment by stating, "I will work with the mindset of creating a highway for small and medium-sized enterprises, start-ups, venture businesses, and small business owners to make another leap forward in the Korean economy."