KDB to Launch 'Tariff Response Low-Interest Support Special Package' Worth 4 Trillion Won on the 30th of This Month

[Financial News] Korea Development Bank announced on the 29th that it will launch a 'Tariff Response Low-Interest Support Special Package' worth a total of 4 trillion won on the 30th.
This package was prepared to support our companies facing trade risks and changes in the industrial environment due to the concretization of the U.S. tariff policy in connection with the government's supplementary budget. It consists of △ 'Core Industry Plus Facility Investment Support Special Program' of 1 trillion won to support domestic facility and R&D investments in fields such as advanced strategic industries, and △ 'Crisis Response Support Special Program' of 3 trillion won to provide emergency operating funds to companies affected by tariffs.
'Core Industry Plus Facility Investment Support Special Program' supports facility and R&D investments across future industry sectors such as secondary batteries, bio, AI, robots, hydrogen, and future transportation means, in addition to advanced strategic industries. For small and medium-sized enterprises, additional interest rate preferences (annual -0.10%p, the minimum execution rate is at the level of government bonds) are applied, and the execution rate is differentially applied according to the company's credit rating.
'Crisis Response Support Special Program' provides emergency operating funds to small and medium-sized enterprises that have suffered or are expected to suffer business damage due to U.S. tariff imposition measures. It will include not only U.S. export companies but also companies related to overseas production bases and partners of affected companies without industry restrictions. Through financial linkage, KDB will provide support at a low interest rate, further reducing the lowest loan interest rate it can offer by 0.2%p.
Recently, with the inauguration of the new U.S. administration, the trade environment is rapidly changing due to tariff imposition, and the reduction of IRA and the abolition of the Semiconductor Science Act (CHIPS Act) are expected, raising concerns about negative impacts on domestic companies' investment and exports. In particular, the technological hegemony competition in advanced strategic industries such as semiconductors and AI is intensifying, and it is urgent to maintain the global competitiveness of our country's key industries due to the pursuit of latecomers such as China.
In response, the government has also prepared financial support measures for companies affected by tariffs through the announcement of the progress and future plans for responding to changes in the industrial and trade environment on the 21st, after organizing a supplementary budget.
Meanwhile, KDB announced that it will increase the 'Semiconductor Facility Investment Support Special Program', which was launched in January and quickly exhausted, by 3.4 trillion won as of May 28th. As a result, it is expected to be able to support the investment demand of semiconductor companies without shortage.
A KDB official said, "Through this special package, it is expected to inject vitality into investment and exports in a situation where domestic companies' anxiety has increased due to tariff imposition," adding, "Korea Development Bank plans to take the lead in financial support to resolve companies' difficulties by monitoring the trends of U.S. tariff policies."






sjmary@fnnews.com Seo Hye-jin Reporter