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10 Out of 15 Korean Exports Hit by Protectionist Trends

Ten out of 15 Korean export products are suffering from growing vigilance in foreign countries against any signs of dumping.

The Federation of Korean Industries last week analyzed the impact of protectionist trends on 15 different export items and found that steel, cars, electronics, displays, petrochemicals, fine chemicals, textiles, cosmetics, tires and food are all in some way affected.

But exports of semiconductors, machinery, construction, shipbuilding and petroleum products have so far escaped unscathed.

Korean exporters were hit with anti-dumping fines in the U.S. as well as retaliatory measures by China following Korea's decision to station a U.S. Terminal High-Altitude Area Defense battery here.

"The global slump is continuing, and protectionist policies by individual countries are worsening the situation", an exporter complained.

Korean steelmakers POSCO and Hyundai Steel have been slapped with 50 to 60-percent tariffs in the U.S., which also punished Samsung and LG with 110-percent tariffs for dumping washing machines they make in China.

From October, Beijing will allow only three foreign brands of baby formula to be sold in China, while foreign cosmetics are set to face tougher quality inspections from December. All these seem to target Korean products, which are very popular in China.

Emerging countries have also upped their vigilance. India, which is developing its own chemical and textile industries, started an anti-dumping probe againstHyosungin January.

Eom Chi-sung at the FKI said, "The U.S. is about to elect a new president, while economic growth remains lackluster, raising concerns over increase protectionism. We need to forge more free trade agreements and improve relations with foreign governments to prevent potential trade conflicts".

Source from :Hancinema