Acting President Choi Sang-mok, second from right, presides over an export strategy meeting at Government Complex Seoul, Tuesday. Joint Press Corps

The Korean government will help small and medium-sized exporters cope with U.S. tariffs by financing their countermeasures, such as consulting with U.S. law firms and diversifying suppliers of intermediary goods.

A record-high amount of 366 trillion won ($254 billion) will be injected into trade financing, so that exporters can avoid a liquidity crisis by borrowing from commercial banks. An additional 100 trillion won will also be used in trade insurance for smaller exporters.

Companies that hope to return their operations to Korea will enjoy corporate tax benefits and additional subsidies, even before they finish downsizing their overseas operations.

The export-reliant country announced these measures, Tuesday, after acting President Choi Sang-mok presided over a pan-governmental meeting to discuss countermeasures against the rapidly changing global trade environment, driven largely by U.S. President Donald Trump's tariff plans.

This was the first time in 20 months for the government to hold an export strategy meeting. It came after the U.S. announced a 25 percent tariff on all steel and aluminum imports and a plan to introduce reciprocal tariffs on trading partners.

"Exports were the pillar of the struggling Korean economy last year, as the nation's export volume reached a record high of $683.7 billion, showing an 8.1 percent year-on-year increase and which was the sixth-largest in the world," Choi said.

"However, a series of announcements of the U.S. government's new policies have made our export environment more uncertain than ever before."

Besides the financial supports including the 366 trillion won in trade financing, the government picked developing countries, or the so-called the Global South, as alternative destinations for Korean exporters in response to the escalating global trade tensions caused by the U.S. tariffs and an oversupply of Chinese products. It promised to support companies entering those markets through forthcoming offices of the Korea Trade-Investment Promotion Agency (KOTRA) and Korea International Trade Association (KITA) there.

"The government will temporarily offer special insurance programs to companies entering regions having high demand for reconstruction projects, such as Ukraine and the Middle East," the acting president said.

The government also vowed to look for new items to export.

To support the export of digital services, such as artificial intelligence, big data and K-content, the government plans to inject 14 billion won.

With the launch of 20 billion won worth of K-beauty loans this month, the government also pledged to help promising companies enter the cosmetics market and sell their products at duty free stores.

Joint logistics centers and cold chain storage will be established globally as well to support exports to the Middle East and Latin America of popular food products, such as strawberries, grapes, seaweed, oysters and processed rice.

The government added that it will brace for nontariff barriers, such as customs and quarantine procedures.

As part of its effort to mitigate the impacts of the U.S.' trade schemes, the government sent Deputy Trade Minister Park Jong-won to Washington. Tasking KOTRA with sharing details about Trump tariffs whenever Washington announces new measures, the government plans to dispatch additional business delegations to the U.S. capital, following one led by the Korea Chamber of Commerce and Industry, which will meet White House officials later this week.

According to the government, the Federation of Korean Industries will host a reception in the United States next month, while KOTRA will hold a forum and KITA will send a business delegation in May.