One in three S. Korean firms sees protectionism rising

SEOUL, Dec. 28 (Yonhap) -- One in three South Korean firms sees protectionism as
having risen globally amid a continued global downturn, a survey showed Monday.

In a poll of some 400 exporters conducted by the Korea Chamber and Commerce
Industry (KCCI), about 29 percent of respondents said that restrictions on
imports of foreign goods have tightened across the world.
Protectionism often takes place through methods such as tariffs on imported
goods, restrictive quotas, and a variety of other government regulations designed
to discourage imports, and prevent foreign take-over of native markets and
companies.
Those who said protectionism has not risen accounted for 22.6 percent, while 48.1
percent of those surveyed were neutral or declined to comment.
"If protectionism continue to rise worldwide, South Korea's economic recovery
will likely be delayed as its dependence on overseas trade exceeded 90 percent of
the national income," the chamber said. "The government should come up with
measures that enable local companies to overcome protectionism."
According to the data offered by the Statistics Korea and the finance ministry
last month, the nation's trade dependence ratio or the proportion of trade to
gross national income soared to a record 92.3 percent last year, up from 69.4
percent a year earlier.
About 29.5 percent of companies surveyed said that the South Korean government
should provide information for industry on the global trade environment, while 24
percent said it should monitor constantly importing countries' customs and
non-customs policies.
ygkim@yna.co.kr
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