'Hong Gil-dong' Economic Groups, Unable to Say a Word on '52-Hour Rule' to the Administration, Only Offer "Welcome"

As the business community expressed welcome for the newly introduced domestic production tax credit in the '2026 Tax Reform Plan,' they remained completely silent on the fact that electric vehicles were excluded from the scope. Criticism is mounting that economic groups, which should represent the appeals of companies, are failing to speak up and merely observing the administration's mood.

Earlier, the six economic groups (Korea Chamber of Commerce and Industry, The Korea Economic Daily Association, Korea Chamber of Commerce and Industry, SME Central Federation, Korean Federation of Business Leaders, and Korean Mid-sized Company Federation) issued a joint 'welcome statement' on the 7th, expressing their approval for the government's new domestic production tax credit.

They stated, "In a situation where countries around the world are competing to base their advanced industrial production facilities within their own territories, this decision to expand tax support from the investment stage to the production stage is expected to help protect domestic production and jobs in strategic industries and assist companies in expanding their domestic production bases." They further emphasized, "The business community will also keep pace with this tax reform plan, continuing innovation and investment, and striving to expand domestic production and create high-quality jobs."

However, they did not mention the issue of 'exclusion of electric vehicles,' which has sparked dissatisfaction within the industry. The domestic production tax credit is a system that reduces corporate income tax and individual income tax for 10 years based on the volume of domestic production and sales of strategic industrial products. While the government announced the application of this system to six sectors including semiconductors and secondary batteries, it did not include electric vehicles, leading the industry to worry about China's market dominance.

Criticism that economic groups are failing to represent the plight of companies has intensified this year. When controversy arose over the Korea Chamber of Commerce and Industry's 'flawed press release on inheritance tax' earlier this year, President Lee Jae-myung directly addressed it, leading to an assessment that the atmosphere quickly cooled.

Since then, criticism of the government by economic groups has virtually disappeared. Regarding the recently announced promotion of the 'Three Major Mega Projects,' economic groups have only issued 'welcome' messages while remaining silent on controversial issues such as the 'relaxation of the 52nd-hour regulation.'

With the situation as it is, companies appear to be burning with frustration. There are complaints that a channel to inform and reflect the circumstances of our companies, which are fighting on the front lines in the AI (Artificial Intelligence) era where countries are going all out for their survival, has disappeared.

An industry official stated, "The U.S. Trump administration is mobilizing all hegemony for the benefit of its own companies, and China's Communist Party government and companies are working together day and night to accumulate technology, while in our case, researchers are unable to work even when they want to because they are blocked by the 52nd-hour regulation." He appealed, "Who will listen to the desperate cries of businesses?"