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🇰🇷 South Korea /Elections & Politics

Ministerial Nominee Says She Will Prevent ‘Another Tada’ Through Regulatory Reform

From Hankyoreh · () Korean

Translated from Korean and summarized by DistantNews. Read the original for the full story.

At a glance

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  • Lee So-young, nominated to lead South Korea’s Ministry of SMEs and Startups, said she would approach the job as a de facto minister for regulatory reform.
  • She cited the Tada ride-hailing case as an example of innovation being blocked by regulation and pledged a more active role for the ministry when new and existing industries clash.
  • Lee also said she would work to extend the benefits of a strong export-led economy to smaller businesses and draw on her experience growing up in a small restaurant.

Lee So-young, South Korea’s nominee for minister of SMEs and Startups, said she would work to ease what she called dense and layered regulation facing venture companies and startups.

Speaking to reporters outside an office in Seoul where she was preparing for her confirmation hearing, Lee said she would go beyond conventional support policies if appointed. She said she would carry the mindset of a “regulatory reform minister” and focus first on rules affecting the startup ecosystem.

If I am appointed minister, I will ease unreasonable regulations with the mindset of a minister for regulatory reform, going beyond support policies for small and venture companies.

— Lee So-youngThe ministerial nominee outlined her priorities while preparing for her confirmation hearing.

Lee invoked the Tada case, a ride-hailing service that began in 2018 using vans. The service faced opposition from the taxi industry, and its operations ended after the National Assembly passed legislation known as the “Tada Ban Act.” South Korea’s Supreme Court later confirmed an acquittal in 2023, ruling that Tada should be viewed as a legal rental-car service rather than an illegal taxi operation. By then, the service had already stopped, prompting criticism that regulation had held back innovation.

I will ensure that something like Tada never happens again in South Korea in areas where new and existing industries collide.

— Lee So-youngShe cited the Tada case while pledging a more active role for the ministry.

“Even if the government provides entrepreneurs with extensive mentoring and support, their ideas can only wither if regulation blocks them,” Lee said. She argued that complex regulation poses the biggest obstacle in areas creating new services and products.

Lee also said the gains from a boom centered on major exporters should reach small and medium-sized companies. She recalled living alone with her mother as a child while her mother ran a small restaurant, and said she would consider how to reduce the difficulties faced by small-business owners. She plans to visit major groups representing small businesses, venture firms and startups this week. The presidential office nominated her on August 30, citing her experience in startup support and legislation for small-business owners.

Even if the government provides entrepreneurs with mentoring and support, their ideas can only wither if regulation blocks them.

— Lee So-youngLee described regulation as a major obstacle for innovative services and products.
About this summary

Originally published by Hankyoreh in Korean. Translated, summarized, and contextualized automatically by DistantNews, with a note on how the source frames the story. Not individually reviewed before publishing. How this works.

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