53rd Meeting of Central Economic Response Headquarters
Government to Announce Measures to
Better Respond to Strained Logistics
Deputy Prime Minister Hong Nam-ki presided over the 53rd Meeting of the Central Economic Response Headquarters held on January 20, and discussed plans for customized and consistent economic policies in the first half of 2022 to balance between disease control and livelihoods, economic recovery and inflation control, interest rate hike and supplementary budget, as well as ways to deal with external risks while boosting export..
DPM Hong also talked about how to address logistics issues and better respond to strained supply chains as well as discussed plans to establish the country as a global leader in the metaverse industry.DPM Hong also talked about how to address logistics issues and better respond to strained supply chains as well as discussed plans to establish the country as a global leader in the metaverse industry.
The following is a summary of DPM Hong’s keynote address.
Measures to better respond to strained logistics and supply chain
As export companies are struggling with logistics issues, the government will urgently deploy 8 additional ships within January and more than 4,000 cargo planes to Americas in the first half of 2022, and expand financial support for logistics costs from 26.6 billion won in 2021 to 32 billion won in 2022. In addition, the government will open joint logistics centers in overseas major ports such as Rotterdam and Barcelona and open up new terminals and storage facilities in Busan new port.
Also, as there is a possibility for key materials, parts and equipment as well energy raw materials to suffer from price volatility, the government will work on coming up with customized supply management measures to ensure a stable supply especially for ‘200 key items’ for economic security.
Initiative to become a key player in the metaverse industry
With the metaverse emerging as a next-generation platform thanks to digital technology advances such as extended reality and stronger demand for virtual services. The government will invest 556 billion won in 2022 and work to reform relevant systems to make sure that the country becomes the top 5 global players in terms of the market share by 2026.
In order to secure technological competitiveness in the metaverse, the government will identify and support leading platforms and create a R&D roadmap, as well as foster 220 specialized businesses with sales of over 5 billion won and nurture 40,000 experts by 2026.
Recent labor related issues
As some labor issues, such as enforcement of the Serious Disasters Punishment Act (SDPA) and discussion on inclusion of a union representative on public institutions’ boards of directors and 52-hour workweek exemptions have been and will be raised throughout 2022, as well as industrial transformation and the spread of platform economy prompted by the pandemic could become a possible sources of dispute in the labor market. Given that it is highly important to coordinate opinions from both the labor and management, we will discuss a government-wide coordination effort to respond to above-mentioned issues.
Please refer to the attached pdf
