"We are a large corporation; can we receive loan support?" "In addition to the Middle East war, please also introduce financial support policies related to the prolonged Russia-Ukraine war." "Even with a good program, there are cases where loans are denied because the liability ratio is high or there is a deficit; is easing the conditions under review?"
At the "2026 display export finance and tax support comprehensive briefing" held by the Korea Display Industry Association (KDIA) at EL Tower in Seocho-gu, Seoul, on the 6th with support from the Ministry of Trade, Industry and Resources, questions poured in after each presentation. On top of a slump in Korea's display industry, armed clashes continuing around the world are adding to corporations' difficulties, the reaction showed.
KDIA organized the event to guide domestic display corporations on response measures as materials and supplies prices rise due to the war among the United States, Israel, and Iran, and the expense burden of diversifying import sources grows. The event shared details on funds and pools operated by Korea Development Bank (KDB), The Export-Import Bank of Korea, Korea Trade Insurance Corporation (K-sure), and the National Tax Service. The briefing was held to help corporations secure funds needed for supply chain stability and advanced technology investment by using government policies and more. An employee of a small and medium-sized company who attended said, "As material prices rise, funding is urgent, so I am looking to see whether there are government financial support policies we can use."
About 100 corporations engaged in a wide range of businesses attended the event, from display panels and materials, parts, and equipment to finished goods. Lee Seung-woo, KDIA vice chair, said, "Increased uncertainty in the Middle East is acting as a major threat to the global supply chain and is driving up prices and exchange rates together," adding, "In particular, China is putting in more than several trillion won in government subsidies every year and is catching up to Korea's display technology right under our nose." He added, "As China itself becomes a crisis for Korean displays and various compound crises pile on, we organized this event to find ways for our corporations to overcome this period wisely and to offer help."
The briefing specifically shared: ▲ introduction to the Public Growth Fund and policy finance systems ▲ overview and support direction of the Supply Chain Stabilization Fund ▲ guidance on export insurance and credit guarantees ▲ prior review and post-management of the research and human resources development tax credit ▲ major support items by the Display Association in 2026.
Hong Sang-hyun, a Korea Development Bank (KDB) deputy general manager, explained the Public Growth Fund, which will total 150 trillion won by combining 75 trillion won from the advanced strategic industry fund with 75 trillion won from private and public funds. He said, "Under the Act on Restriction on Special Cases Concerning Taxation for national advanced strategic technologies, the display sector included as a national strategic technology can secure funds for equipment and plant site purchases at preferential terms over market interest rates."
Lee Jin-young, a Head of Team at The Export-Import Bank of Korea, focused on financial support programs provided to corporations facing difficulties due to recent armed conflict in the Middle East. Lee explained, "If there are incurred losses among front- and back-end corporations in the value chain, such as crude oil and raw materials and supplies, due to the recent Middle East situation, or if there is a need for funds to diversify imports, we are providing loan maturity extensions and preferential interest rates."
Kim Yoon-seok, a Korea Trade Insurance Corporation (K-sure) director general, introduced preferential measures for export insurance and credit guarantees that the display sector can use, and Nam Min-gi, a National Tax Service division chief, gave a presentation on the prior review system for the research and human resources development tax credit, the supporting documents required to receive the credit, and review cases.
Kim Tae-hyun, the Ministry of Trade, Industry and Resources display and home appliances team leader, said, "As the industry is working to secure supply chains, the ministry is concentrating all capabilities on stabilizing supply chains by checking supply and demand for key display items and securing raw materials." Kim added, "We will actively support the Public Growth Fund, which gets underway this year, so it can be connected as priming water for investment and technology development in the display sector," and said, "As government and state institutions directly explain finance, trade insurance, and taxation, we ask the industry to actively use government support policies."