Battery and Solar Industry Protection Hinges on Direct Refunds in Korea-Style IRA

Amid global supply chain realignment and the spread of national-first policies, calls have emerged for direct refunds under a “Korea-style IRA” to protect strategic industries such as batteries and solar power. The key proposal is to link support to production volume so that loss-making companies can also receive practical benefits. The source says strategic sectors, including semiconductors, are at the center of global competition and that industrial security has become more important. With direct refunds, companies without profits would not be limited to tax credits and could feel the effect of support. The design of the system is expected to matter for protecting domestic strategic industries and responding to supply chain pressures. Source: mk.co.kr