What the Program Is: Korea's First SME-Only R&D Aimed at CBAM Goods
The SME Export Key Items Carbon Reduction Technology Program is run by the Ministry of SMEs and Startups (MSS) and managed by the Korea Technology and Information Promotion Agency for SMEs (TIPA). It funds technology development and field demonstrations for export SMEs in steel and aluminum. These are the two product groups most exposed to the EU Carbon Border Adjustment Mechanism (CBAM) and similar carbon rules.
These two figures measure different things. KRW 5.5 billion is the per-project ceiling over the full agreement period. KRW 5 billion is best read as the first-year budget for this year's new projects. Check the call notice and RFP for how funds are split by year. A second-half implementation plan was announced in July. Whether calls will run twice a year, and whether a new call opens in 2027, depends on next year's budget.
Why It Matters Now: CBAM Costs Are About to Become Real Money
CBAM certificate sales begin in February 2027 and cover goods imported in 2026. From then on, the embedded emissions in your product are a real cost for your EU customer, and they will weigh on which suppliers that customer chooses. Reports based on 2022 data show that steel made up about 89% of Korea's CBAM-covered exports to the EU and aluminum about 11%. With exports this concentrated, small processors and materials suppliers are exposed too.
Here is how this program compares with existing support:
How the Designated-Topic (RFP) Format Changes Your Preparation
The real work happens before the call
In an open call you propose your own topic. Here you must match a topic the government has defined. The most reliable strategy is to submit your process needs while RFPs are being previewed or during the technology demand survey.
What a 3–5 year project requires
What evaluators look for
Roadmap for the 2027 Call
After Selection: Managing Funds and Using the Results
Prepare with KITIM
The Korea Institute of Technology Innovation Management (KITIM) helps steel and aluminum export SMEs plan carbon-reduction R&D, assess embedded emissions per product, and write business plans that fit the RFPs. If you are aiming for the 2027 call, we recommend reviewing your emissions before year-end. Submit a consultation request and one of our consultants will contact you.