Large and Small Enterprises Join Forces to Address Global ESG Regulations

HD Hyundai Heavy Industries, Poongsan, and Lotte Himart Contribute to the Win-Win Cooperation Fund

The Foundation for Large and Small Enterprises and Agriculture-Fisheries Cooperation (the Win-Win Cooperation Foundation) announced on the 15th that it had signed a partnership agreement for contributions to the Win-Win Cooperation Fund with HD Hyundai Heavy Industries, Poongsan, and Lotte Himart, all of whom are participating in the "2026 Global Supply Chain ESG Response Support Program" jointly promoted with Korea Trade-Investment Promotion Agency (KOTRA).

This agreement involves the selected participant companies, confirmed after a selection evaluation following the call for participating companies in June, formally contributing funds. Each company will support ESG (Environmental, Social, and Governance) regulatory responses for small and medium-sized enterprises (SMEs) and mid-sized partner companies in their supply chains, covering such sectors as shipbuilding and offshore, non-ferrous materials, and distribution.

The "Global Supply Chain ESG Response Support Program" matches KOTRA government grants with the Win-Win Cooperation Fund to support the costs SMEs and mid-sized companies would otherwise bear for ESG regulatory compliance. The total program size this year is 200 million won, matching 100 million won in KOTRA government grants and 100 million won from the Win-Win Cooperation Fund on a 50:50 basis, providing support to SME and mid-sized partner companies of contributing firms. More than half of the beneficiary companies are small enterprises.

Foundation for Large, Small and Medium Enterprises and Agriculture, Fisheries Cooperation Foundation CI. Foundation for Large, Small and Medium Enterprises and Agriculture, Fisheries Cooperation Foundation

This program was established to help address tightening global ESG regulations, such as the EU Carbon Border Adjustment Mechanism (CBAM), which will be fully enforced this year, and the phased implementation of the EU Corporate Sustainability Due Diligence Directive (CSDDD), among others.

The supported projects will be operated on a voluntary basis. Partners can receive support for ▲ customized ESG consulting to respond to global ESG regulations ▲ acquisition of international certifications such as ISO 14001 and 45001 ▲ compliance with global initiatives ▲ publication of sustainability reports ▲ introduction or replacement of facilities for greenhouse gas reduction and prevention of industrial accidents, among other areas.

With this agreement, each contributing company will participate in the selection of beneficiary companies and project management. All consulting and other support activities are expected to be completed within this year.

Byun Taeseop, Secretary General of the Win-Win Cooperation Foundation, stated, "We will spare no effort to ensure this project, which combines governmental policy support with major companies' commitment to mutual growth, becomes a vital resource for bolstering ESG responses within Korea's supply chain."

This content was produced with the assistance of AI translation services.