South Korean President Lee Jae-myung on Friday pledged strong government support for the country’s businesses, while emphasizing the need for fairness and discipline in the market.
Hosting his first meeting with the heads of the country’s top five conglomerates – Samsung, SK, Hyundai, LG and Lotte – alongside leaders of major business associations, Lee said companies are “at the heart of the country’s economic future” and that government policy would prioritize their continued growth.
“The most important thing for the Korean people’s livelihoods is the economy, and at the core of the economy are companies,” the president said at the meeting. “The government’s role is to provide active support and cooperation, helping firms to do their best.”
He stressed, however, that while a policy shift toward reducing red tape is underway, regulations essential for fairness and stability will remain in place.
“We will boldly clear away unnecessary regulations, but retaining regulations for a fair market is a matter of course – especially those related to health, safety and financial stability.”
President Lee Jae-myung (left) talks with SK Group Chairman Chey Tae-won (right) during his first meeting with business leaders HIGH-PROFILE MEETING TO ADDRESS BUSINESS COMMUNITY'S CONCERNS
The meeting, held just nine days after Lee’s inauguration, was a high-profile opportunity for the new administration to signal its policy priorities to the business community, while also conveying its concerns.
Participants included heads of Korea’s five largest conglomerates: Lee Jae-yong of Samsung Group; Chung Euisun of Hyundai Motor Group; Chey Tae-won of SK Group, who also chairs the Korea Chamber of Commerce and Industry; Koo Kwang-mo of LG Group; and Shin Dong-bin of Lotte Group.
Also present at the meeting are leaders of the country’s main business associations: Sohn Kyung-shik of the Korea Enterprises Federation; Ryu Jin of the Federation of Korean Industries; Yoon Jin-sik of the Korea International Trade Association; Choi Jin-sik of the Federation of Middle Market Enterprises; and Kim Ki-moon of the Korea Federation of Small and Medium Businesses – alongside key members of Lee’s administration.
President Lee said that government policies would be implemented in consultation with the private sector.
SK Group Chairman Chey Tae-won (left), LG's Koo Kwang-mo (second from left) and Hyundai Motor's Chung Euisun (right) chat before a meeting between President Lee Jae-myung and business leaders “While I do have policy plans in mind, your perspectives are crucial. Please tell us where we can make a real difference and ease your struggles in competing globally,” he said.
The president also mentioned growing signs of market stability following his inauguration, noting a rise in the stock market and the value of the won – a phenomenon he described as “a comforting sign” for the economy.
The president emphasized the importance of fairness in business practices and the effective implementation of policies.
“Some mistrust still lingers, but we must ease those worries together. The days are gone when unfair competition or policy favoritism were used to support growth. Sustainable expansion must be founded upon fairness and trust,” Lee said.
He asked the business community to be frank in expressing its policy priorities. “If there’s something we can do to aid companies’ international expansion or ease their operational struggles, please let us know, and we will do our best to accommodate it,” he said.
US President Donald Trump displays a table of US reciprocal tariffs in the Rose Garden at the White House in Washington, D.C. on April 2, 2025 (Courtesy of Reuters via Yonhap) MEETING AHEAD OF G7 SUMMIT
The Office of the President organized the meeting amid growing tensions over global trade and supply chains, triggered by US President Donald Trump, whose administration has vowed to impose stiffer tariffs on imports from other countries to protect US interests.
Sources said Lee is keen to hear directly from business leaders about how they plan to respond to a renewed wave of US protectionism, including 25% tariffs on Korean car exports – a sector that has seen shipments to the US fall 32% last month from the year earlier.
The meeting may help the Lee administration prepare the groundwork for potential tariff negotiations with the US, sources said.
Washington's sweeping tariff measures have affected Korea's trade-dependent economy. Trump earlier announced reciprocal tariffs, including a 25% levy on Korean goods, though the implementation was later postponed for 90 days.
Trade negotiations are underway between Korea and the US as the two sides have agreed to work toward a "July package" deal addressing trade and related issues, aiming to reach an agreement before July 8.
Chinese President Xi Jinping and US President Donald Trump are locked in a trade war (Courtesy of Reuters via Yonhap) REQUESTS FROM BUSINESS LEADERS
While pledging their support for the government’s economic recovery drive, the nation's business leaders asked President Lee to pay more attention to their needs to address mounting challenges.
Samsung Electronics Co. Chairman Lee Jae-yong, known in the West as Jay Y. Lee, stressed the need for a collective approach.
“The current economic crisis can be overcome if the government and the private sector combine their efforts,” he said. “Samsung will do its best to follow through with its planned domestic investment and employment.”
SK Chairman Chey drew attention to the Asia-Pacific Economic Cooperation (APEC) summit to be held in November in Gyeongju, south of Seoul, noting plans to attract some 1,700 companies from abroad.
“It (the APEC summit) will be a strong platform for South Korea to make its voice heard on the international stage,” Chey said, while urging strong government efforts in securing high-profile participants.
Write to Jae-young Han at jyhan@hankyung.com In-Soo Nam edited this article.
