Jemulpo-gu District Applies for Designation as ‘Preemptive Response Region for Industrial Crisis’ to Address Steel Industry Downturn

Jemulpo-gu District (Mayor Kim Chan-jin) and the Incheon Metropolitan City government officially submitted an application to the Ministry of Trade, Industry and Energy on the 21st, requesting that the district’s steel industry be designated a ‘Preemptive Response Region for Industrial Crisis.’

[The Korean Today] Application for designation of Jemulpo-gu as a preemptive response region for industrial crisis © Reporter Kim Mi-hee

The application was pursued to preemptively address the crisis facing the local steel industry, which has been battered by a combination of setbacks including the prolonged slump in the construction sector, the strengthening of U.S. steel tariffs, and hikes in industrial electricity rates.

If the government grants the region final designation as a preemptive response region for industrial crisis, a range of support measures for local businesses and workers will be provided over the following two years, including emergency management stabilization funds and policy financing, support for research and development (R&D) and commercialization, and assistance for job stability and career transitions.

The district has been working to prevent the steel industry crisis from spreading across the broader local economy. It held meetings with steel industry officials to hear firsthand accounts of difficulties in the field and temporarily expanded the interest subsidy rate for small and medium-sized enterprises and small business owners eligible for special guarantees. It has also continued a district-wide signature campaign urging the designation, gathering opinions from the local community.

The Ministry of Trade, Industry and Energy plans to make a final decision on the designation after going through procedures including consultations with relevant government agencies, on-site inspections, and a resolution by its deliberation committee.

Mayor Kim Chan-jin said, “As the steel industry is a key pillar supporting the local economy and employment, it is critical to respond preemptively before the crisis fully takes hold.” He added, “We will work closely with related institutions, including the Incheon Metropolitan City government and the Ministry of Trade, Industry and Energy, to ensure a positive outcome.”

[ Reporter Kim Mi-hee: incheonsouth@thekoreantoday.com ]

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