South Korea Expands 2026 Budget With Major Boosts for Trade and K-Culture

South Korea’s government confirmed significant funding increases for both trade and cultural programs in its 2026 national budget. According to reporting from ChoSun Biz, the measures are intended to strengthen the country’s position in ongoing trade negotiations and accelerate the international reach of K-culture.

The trade response budget will rise to 4.3 trillion won, up from 1.6 trillion won this year. More than half - 2.1 trillion won - has been earmarked to directly support tariff discussions with the United States. Key measures include a 1.9 trillion won finance package for shipbuilding and semiconductor cooperation, 708 million won to establish a Korea-U.S. technology cooperation center and bolster small shipbuilder operations, and a voucher system to cover urgent costs like logistics for companies impacted by tariffs, expected to benefit about 800 firms. Expanded export voucher eligibility will also increase the number of companies supported from 4,690 to 6,394. Additional funding will target high-tech industry investment subsidies, overseas mineral development, and new resource recycling infrastructure.

The government will also allocate 5.7 trillion won for cultural initiatives in 2026 - an increase of 1.5 trillion won compared to this year. The funds are intended to reinforce Korea’s growing role as a cultural powerhouse. A total of 1.8 trillion won will go toward expanding K-culture exports, with investments in video content, talent development, and artificial intelligence-assisted production. Support for long-form online dramas will increase from 8 to 12 annually, while mid-budget films will grow from 9 to 18 annually. Musical theater and literature will receive enhanced support abroad, 3,000 young creators will receive annual activity funds, and an expanded welfare fund for artists will be established.

The government will grow its network of Global K-Culture Hubs from six to eleven, including a new Korea Center in Vietnam. Tourism initiatives, such as a new K-Tourism Pass and additional global tourism districts, will complement the expansion. In the food sector, the number of companies eligible for export vouchers will nearly double, and cultural events such as local performances and exhibitions will triple to 1,200 annually.