Seoul, Dec 10 (IANS): South Korean President Moon Jae-in on Friday encouraged private firms to go carbon neutral, pledging the government will provide financial and regulatory support for their efforts to reduce greenhouse gas emissions.

Moon made the remarks at a meeting on carbon neutrality with chief executives of some 40 big and medium-sized companies, including Hyundai Motor, LG Display and SK Innovation, reports Yonhap News Agency.

Moon said the government will use its policy of carbon neutrality to increase the competitiveness of the manufacturing industry.

To that end, the government will increase tax deductions for companies' facility and research spending, Moon said.

The government also aims to develop the carbon-neutrality industry into a next-generation driver of growth, he said.

"The government will make bold investments on infrastructure for new energy solutions, such as hydrogen, renewable energy and electricity networks," Moon said.

At the same time, the government will spare no efforts to secure a stable supply of raw materials, Moon said.

South Korea has finalised a decision to reduce its greenhouse gas emissions by 40 per cent from 2018 levels by 2030.

The nation also confirmed its goal of achieving carbon neutrality by 2050, as the nation started tackling the challenge of simultaneously responding to climate change and attaining sustainable growth.

Moon has pledged South Korea will complete the phaseout of coal-fired power generation by 2050.