KCCI calls for tailored policies for mid-sized firms

The business community has called on the government to ease fair trade regulations to promote the economic activities of mid-sized companies.

The Korea Chamber of Commerce and Industry held its 32nd Mid-sized Enterprise Committee meeting Monday morning at the KCCI building. About 20 people attended, including Committee Chair Jeong Yu-seok, vice chairman of Shinheung Precision; Oh Won-seok, chairman of Korea Fuel-tech; Kim Seong-yeol, vice chairman of Superior; Lee Jun-hwan, vice chairman of KCTC; and Kim Jong-il, senior vice chairman of the KCCI. Participants shared updates on the current state of fair trade policy and discussed how mid-sized firms should respond amid a persistently unstable business environment.

Shin Dong-yeol, secretary-general of the Korea Fair Trade Commission, delivered a lecture on the direction of fair trade policy. "The purpose of fair trade policy is not regulation itself, but to support the autonomous and creative economic activities of businesses through fair market rules," he said. "We will work to create a market environment that fosters growth and innovation."

Shin said the Fair Trade Commission would pursue four key tasks in the second half of this year: establishing a fair trade order in areas affecting everyday livelihoods, reducing power imbalances among economic actors, building an innovation ecosystem in digital markets, and easing the concentration of economic power among large conglomerates. He added that the commission would also work to improve payment stability in the subcontracting and retail sectors and strengthen oversight of unfair practices such as technology theft and cost shifting.

In the subcontracting sector, the Fair Trade Commission plans to expand payment guarantees, improve the effectiveness of direct payment by project owners, and promote electronic payment systems. It also intends to enhance fairness in transactions between platforms and merchants and update consumer protection rules to reflect changes in the digital market environment.

In his opening remarks, Committee Chair Jeong said businesses are finding it increasingly difficult to plan ahead as the global trade order is being reshaped and cost pressures persist. "Mid-sized companies occupy a dual position — they are customers to small and medium-sized enterprises and partners to large conglomerates at the same time," he said. "This means they need both the responsibility to uphold fair trade rules and the protection that comes with them."

He added that blanket policies failing to account for the unique position of mid-sized firms — caught between large conglomerates and small businesses — have limited effectiveness in addressing on-the-ground difficulties. "Tailored policies that reflect the characteristics and roles of mid-sized companies are needed," he said.

Senior Vice Chairman Kim said mid-sized companies account for only about 1.5 percent of all businesses but contribute roughly 18 percent of exports and about 14 percent of employment. "Mid-sized companies serve as the backbone of the economy," Kim said. "We must remove regulatory barriers and put in place robust support measures to incentivize their growth."