Chairman Kim Young-ju of Korea International Trade Association (KITA), Park Hyo-sung, New York general consul, Mark Thomas, Senior Vice President of Partnerships at the New York City Economic Development Corp., Chairman Suh Kwang-soon of the Korean American Scientists’ Association, and Shin Mi-jin, head of Hanwha Dream Plus Center, attend a ceremony to open “Startup Branch New York” on the 15th floor of the Park Avenue in Manhattan, New York on May 9. (Photo: KITA)

Korea International Trade Association (KITA) has opened “Startup Branch New York” on the 15th floor of the Park Avenue in Manhattan to provide support to Korean startups that want to enter global markets.

Among some 20 people present at a ceremony to open the office on May 9 were KITA Chairman Kim Young-ju, Park Hyo-sung, New York general consul, Mark Thomas, Senior Vice President of Partnerships at the New York City Economic Development Corp., Chairman Suh Kwang-soon of the Korean American Scientists’ Association, and Shin Mi-jin, head of Hanwha Dream Plus Center.

The office, situated at midtown Manhattan with landmark buildings such as Rockefeller Center, covers 190 sq. meters and it is outfitted with facilities such as shared office space, a multi-channel teleconference system, a business center, and a lounge. KITA Chairman Kim stressed the role of the Startup Branch New York was to help Korean companies establish a foothold in global markets.

KITA arranged meetings with representatives from a U.S. brand marketing company, Hanwha Asset Management’s New York branch and Korean startups in time for the opening of Startup Branch New York.

KITA plans to expand collaboration with related organizations so that local companies, startup professionals and investors may consider Startup Branch New York as a Korean startup mecca.

U.S.-China Prolonged Trade War incurs $900 Mln in Export Losses to Korea

A trade war between the United States and China that is expected to be prolonged due to the recent failure in reaching a deal is expected to deliver a severe blow to Korea and Japan, the two Asian countries which have a higher dependence on trade with China. Vietnam and Malaysia will benefit, a report predicts.

The market survey firm HIS Market reported that if the United States impose tariffs exported by China, it will subsequently deliver a blow to Korea and Japan which produce intermediate products.

The market survey company forecast that negative shocks to Chinese exports will bring about spill-over effects, damaging sectors such as electronics and chemical products that Korean and Japanese companies supply.

Countries such as Vietnam, Malaysia and Thailand are expected to benefit as multinational companies relocate their plants from China to those counties, it said. Firms which buy goods from China and sell them to the United States will move procurement to manufacturing hubs other than China. Manufacturing companies will restructure production structure of the whole of supply chain so as to reduce tariff exposures from the United States.

The International Trade Research Institute under the umbrella of the KITA projected that Korean exports are predicted to decline a combined 0.14 percent or more in the wake of the U.S. imposition of tariffs.

The institute said Korean exports to the world are forecast to decline 0.1 percent as direct impact to China, caused by a rise in U.S. tariffs to imports from China. If China’s 0.04 percent decline in exports, influenced by low economic growth is factored in, Korea’s decline in exports, caused by U.S. tariff measures, is predicted to stand at a combined 0.14 percent ($870 million).