Who has the 'SME president's' backing? Cooperative chiefs gather in Jeju ahead of federation vote

Voters gather ahead of federation chair election

'Policy continuity' vs. 'time for generational change'

Kang Dong-han draws positive reviews amid calls for new blood

Existing networks and newly elected chairs seen as key election variables

Cooperative association chairs from across the country attend the opening ceremony of the 2026 SME Leaders Forum, hosted by the Korea Federation of SMEs at Lotte Hotel Jeju from Tuesday through Friday. [Yonhap]

Cooperative association chairs from across the country converged on Jeju Island with roughly four months to go before the election for the next head of the Korea Federation of SMEs — a position sometimes called the "SME president." Prospective candidates kept a low profile, but the gathering buzzed with debate over what qualities the next chair should have and what direction the federation should take. Opinions were split between those who want the current leadership's policies to continue and those calling for a generational shift.

More than 400 small and medium-sized enterprise representatives attended the 2026 SME Leaders Forum held in Jeju from Tuesday through Friday. With the election for the 28th Korea Federation of SMEs chair scheduled for Feb. 2 next year, the forum — bringing together cooperative chairs from around the country — offered a rare window into the mood surrounding the upcoming vote.

'Policy continuity matters': Kang Dong-han draws positive reviews, seen as Kim's pick

Cooperative chairs at the Jeju forum offered a range of views on what the next federation head should bring to the role. A recurring theme was the importance of continuity with the policies pursued under incumbent Chair Kim Ki-moon.

Lee Dong-jae, a vice chairman of the Korea Federation of SMEs, said the various policies advanced for small businesses under Kim's leadership must be carried forward. "It would not be desirable to reverse existing policies simply because the chair has changed," Lee said.

Lee also spoke positively of Kang Dong-han, chair of the Korea Forging Industry Cooperative, who has been mentioned as a leading candidate for the next chair. "He is someone with a strong reputation for leadership in the industry," Lee said. "He has good support across sectors and regions, and he has the leadership qualities needed."

Lee said he agreed that generational change was necessary, but argued that a sense of mission mattered more than age alone. "Generational change should happen, but it cannot be pursued blindly," he said. "The person who becomes chair must have the dedication to serve and sacrifice for small businesses."

'New faces needed': Critics take aim at entrenched leadership

Calls for generational change were also heard at the forum. The chair of one large national cooperative said the federation needed someone younger and more driven. "Young people and established figures need to work together, but the same people have been holding their positions for too long," he said.

He pointed particularly to the problem of long-serving vice chairs and board members. "Officers should step down after about two terms so new people can move up," he said. "A structure where the same people stay in the same seats for 10 or 20 years has to change."

Some chairs also expressed frustration with media coverage that portrayed certain candidates as frontrunners, saying it was difficult to gauge the true state of the race based on existing personal networks alone.

One chair, who asked not to be named, said such assessments may not reflect what cooperative chairs actually think. Newly elected chairs, he said, would judge candidates primarily on their policies and campaign pledges rather than on personal ties or prior relationships.

Korea Federation of SMEs Chair Kim Ki-moon speaks with reporters at the 2026 SME Leaders Forum at Lotte Hotel Jeju on Thursday. [Korea Federation of SMEs]

Five candidates jockey for position; Kim says federation needs someone who 'gets things done'

Five names are currently in the running for the next Korea Federation of SMEs chair: Kang Dong-han, chair of the Korea Forging Industry Cooperative; Park Jang-seon, chair of the Korea Printing Cooperative Federation; Shim Seung-il, chair of the Korea High Pressure Gas Industry Cooperative Federation; Lee Min-hyung, chair of the Jungbu Hume Pipe Industry Cooperative; and Lee Jae-gwang, chair of the Korea Electric Energy Industry Cooperative.

Among them, Kang is seen as a strong contender on the strength of his long record in the cooperative movement and his connections through the National Cooperative Chairs Council. There is also growing speculation in SME circles that Kim Ki-moon's personal preference — referred to as "Kim's pick" — favors Kang.

Kim weighed in on the qualities he believes the next chair should have at a press briefing held in Jeju. He said the federation needed to elect someone who could "get things done," and offered criteria including whether a candidate was self-made, their experience in exports, the scale of their business, and their character and ability to build consensus.

His mention of export experience drew particular attention. It offered a basis for comparing the candidates' business backgrounds — Kang has built overseas operations from a manufacturing base, while Shim's background is rooted in the domestically focused high-pressure gas industry. Although Kim did not name any candidate directly, some interpreted his remarks as a signal favorable to Kang.

Whether Kim's preference will translate into actual votes, however, remains to be seen. Voices emphasizing existing organizational networks are clashing with those demanding generational change, and how those two camps consolidate their support is expected to be a key variable in the election.

The field itself is also not yet settled. Bae Jo-ung, chair of the Korea Ready-Mixed Concrete Industry Cooperative Federation, who has been mentioned as a potential candidate, told a reporter at the Jeju forum that he had not yet decided whether to run — leaving open the possibility that additional candidates could still enter the race.

boo@heraldcorp.com