April 24, 2024
Industrials
Protectionism, policy vacuum hit Korean firms
[THE INVESTOR] South Korean conglomerates are facing growing protectionism around the globe and an economic policy vacuum following the impeachment of President Park Geun-hye, a survey showed on Dec. 16.
In the survey, conducted by Yonhap News Agency on 32 affiliates of the nation’s 30 conglomerates, 16 firms, or 45.7 percent, said the biggest challenge they face next year is global protectionism, followed by the political instability stemming from the impeachment of President Park with 9 firms, or 25.7 percent.
The surveyed firms also cited a slowdown in China, a protracted slump in domestic spending and policy shifts in the upcoming US administration as threats to their business performance.
“Growing political risks at home, combined with protectionism and the upcoming Trump government, seem to be the daunting task for local firms to deal with,” said Park Moon-soo, an analyst at the Korea Institute for Industrial Economics and Trade.
The surveyed firms also offered a grim outlook for next year’s economic situation with 21 firms, or 65.6 percent, projecting the local economy will grow between 2 percent and 2.5 percent.
(theinvestor@heraldcorp.com)
In the survey, conducted by Yonhap News Agency on 32 affiliates of the nation’s 30 conglomerates, 16 firms, or 45.7 percent, said the biggest challenge they face next year is global protectionism, followed by the political instability stemming from the impeachment of President Park with 9 firms, or 25.7 percent.
The surveyed firms also cited a slowdown in China, a protracted slump in domestic spending and policy shifts in the upcoming US administration as threats to their business performance.
“Growing political risks at home, combined with protectionism and the upcoming Trump government, seem to be the daunting task for local firms to deal with,” said Park Moon-soo, an analyst at the Korea Institute for Industrial Economics and Trade.
The surveyed firms also offered a grim outlook for next year’s economic situation with 21 firms, or 65.6 percent, projecting the local economy will grow between 2 percent and 2.5 percent.
(theinvestor@heraldcorp.com)
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