South Korea plans to provide aid to five major industries affected by the coronavirus pandemic, Deputy Prime Minister Hong Nam-ki said in a speech to a government crisis management meeting on Thursday.
The support will go to automakers, airlines, shipping companies, oil refining companies, and shipbuilders, according to a statement by the Ministry of Economy and Finance.
- Together, the sectors account for about a fifth of South Korea’s GDP and about 30% of exports, and employ about 600,000 people, the statement said.
- Automakers will get tax breaks on customs duties for car parts and will be able to defer payment of tariffs and value-added tax for up to 12 months.
- For airlines, cuts in airport charges will be extended by three months until August. Work on property tax payment deferrals is underway.
- For refiners, tax payments can be deferred, including a three-month extension for payment of April oil taxes and a two-month extension of the deadline for paying March tariffs and VATs.