SEOUL, July 21 (AJP) - A former diplomat turned lawmaker introduced legislation Tuesday that would give South Korean embassies and consulates an explicit legal mandate to help Korean companies navigate sudden regulatory changes and other obstacles overseas.
Rep. Kim Gunn of the main opposition People Power Party proposed the bill, tentatively titled the Act on Support for Overseas-Expanding Companies by Diplomatic Missions, aiming to turn South Korea's overseas missions into more systematic support centers for businesses operating abroad or preparing to expand into new markets.
South Korean companies have been pushing further into overseas investment and competing for major construction, engineering, infrastructure and natural resources projects even as economic nationalism intensifies and global supply chains get reorganized around the world. That combination has left companies exposed to risks that go beyond ordinary market competition, since a change in a host country's laws, administrative procedures or industrial policy can upend the conditions a company is operating under with little warning. South Korean missions, Kim's office said, have lacked a clear enough legal basis to step in and help when that happens.
Under the bill, the foreign minister would be authorized to set policy for supporting South Korean companies overseas, and ambassadors, consuls general and other heads of mission would be required to carry out that policy according to local conditions.
Companies could request information from a mission about a host country's economic and industrial conditions, its investment environment, and changes underway to local laws, regulations or administrative procedures. The mission could collect and analyze that material, seeking cooperation from other government agencies as needed. Missions could also assist companies facing difficulties with local authorities, drawing on official communication channels, local networks and negotiating capacity.
The bill stops short of giving companies an unrestricted right to diplomatic intervention. Missions would be required to treat applicants fairly, provide only the minimum support deemed necessary, and avoid granting improper favors to any particular company or individual. A mission would have to reject a request if providing the information could damage diplomatic relations or national security, if the assistance sought would involve breaking the law, or under other grounds set by presidential decree, and the company would have to be told why.
The bill also includes confidentiality provisions barring current and former diplomatic personnel from disclosing trade secrets or other sensitive corporate information obtained in the course of their duties, and would allow the foreign minister to survey South Korean companies about their overseas operations and difficulties to help shape future support policy.
Kim, 59, is a first-term proportional-representation lawmaker who entered the National Assembly in 2024 after more than three decades in the foreign service. He joined the Foreign Ministry in 1989 and built much of his career around diplomacy involving the United States, China and North Korea, holding posts including deputy minister for political affairs, consul general in Vancouver and ambassador to Britain before serving as special representative for Korean Peninsula peace and security affairs, South Korea's chief envoy on North Korea's nuclear program.
If passed, the legislation would take effect six months after its promulgation.
"South Korea should make active use of its overseas diplomatic network so that Korean companies do not suffer disadvantages from sudden institutional changes or regulations imposed by host governments," Kim said. "Through this legislation, I hope our diplomatic missions around the world will establish themselves as support hubs that provide practical assistance for Korean companies' overseas activities."
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