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South Korea Warns North of ‘Grave Measure’ in Factory Dispute South Korea Warns North of ‘Grave Measure’ in Factory Dispute
(about 4 hours later)
SEOUL, South Korea — South Korea gave North Korea until Friday to respond to its proposal for dialogue or face a “grave measure” by the South on the future of a jointly operated industrial complex that has been the only remaining symbol of economic cooperation between the two Koreas.SEOUL, South Korea — South Korea gave North Korea until Friday to respond to its proposal for dialogue or face a “grave measure” by the South on the future of a jointly operated industrial complex that has been the only remaining symbol of economic cooperation between the two Koreas.
A statement Thursday from the South’s Unification Ministry stopped short of saying whether it was contemplating withdrawing 176 South Korean managers still remaining in the factory park in North Korea or even terminating the joint economic project, which had survived years of political tensions on the divided Korean Peninsula.A statement Thursday from the South’s Unification Ministry stopped short of saying whether it was contemplating withdrawing 176 South Korean managers still remaining in the factory park in North Korea or even terminating the joint economic project, which had survived years of political tensions on the divided Korean Peninsula.
The future of the Kaesong Industrial Complex, located in the North Korean border town of the same name, has been in doubt ever since North Korea pulled out all its 53,000 workers on April 9 in anger over joint South Korean-U.S. military drills. It also blocked South Korean managers or supplies from entering the economic zone. The future of the Kaesong Industrial Complex, located in the North Korean border town of the same name, has been in doubt ever since North Korea pulled out all its 53,000 workers on April 9 in anger over joint American-South Korean military drills. It also blocked South Korean managers or supplies from entering the economic zone.
The number of South Korean managers dwindled from the usual 900 to 176 as of Wednesday as supplies were running out. On Thursday, the South Korean government said that those who still stayed in Kaesong, hoping for the reopening of the complex, would not be able to remain much longer.The number of South Korean managers dwindled from the usual 900 to 176 as of Wednesday as supplies were running out. On Thursday, the South Korean government said that those who still stayed in Kaesong, hoping for the reopening of the complex, would not be able to remain much longer.
It said when it tried on Wednesday to send a letter to the North through the border asking it to allow emergency food and medical supplies to be sent to South Koreans in Kaesong, the North did not even accept the document.It said when it tried on Wednesday to send a letter to the North through the border asking it to allow emergency food and medical supplies to be sent to South Koreans in Kaesong, the North did not even accept the document.
On Thursday, it again proposed an official dialogue with the North and demanded the North respond by Friday.On Thursday, it again proposed an official dialogue with the North and demanded the North respond by Friday.
“Our government’s position remains firm and unchanged — that the Kaesong factory park should be safely maintained and developed,” said Kim Hyung-suk, a Unification Ministry spokesman, in a nationally televised statement. “But we make it clear that if they again reject our proposal for government-to-government talk, we will have no option but to take a grave measure.”“Our government’s position remains firm and unchanged — that the Kaesong factory park should be safely maintained and developed,” said Kim Hyung-suk, a Unification Ministry spokesman, in a nationally televised statement. “But we make it clear that if they again reject our proposal for government-to-government talk, we will have no option but to take a grave measure.”
He said he would leave it to the “imagination” what that measure might be.He said he would leave it to the “imagination” what that measure might be.
His comment came a day after President Park Geun-hye of South Korea said she had no intention of succumbing to North Korea’s “unreasonable” demands over the Kaesong complex.His comment came a day after President Park Geun-hye of South Korea said she had no intention of succumbing to North Korea’s “unreasonable” demands over the Kaesong complex.
“I want an early resolution of this but my government will never try to patch things up, as they used to do in the past, with hurried compromises like an unprincipled provision of aid,” she was quoted as saying in a meeting with senior editors of domestic media on Wednesday.“I want an early resolution of this but my government will never try to patch things up, as they used to do in the past, with hurried compromises like an unprincipled provision of aid,” she was quoted as saying in a meeting with senior editors of domestic media on Wednesday.
There was no immediate response from the North. It had earlier rejected Seoul’s proposal for dialogue, calling it a “cunning trick,” and said that South Koreans in Kaesong were free to leave. It also demanded that the South first apologize for taunting its leadership. There was no immediate response from the North. It had earlier rejected the South’s proposal for dialogue, calling it a “cunning trick,” and said that South Koreans in Kaesong were free to leave. It also demanded that the South first apologize for taunting its leadership.
North Korea has said its decision to suspend operations at Kaesong was also due to insults from South Korean media analysts who have suggested that North Korea’s leader, Kim Jong-un, would not dare shutter the Kaesong complex because he did not want to lose an important source of badly needed hard currency.North Korea has said its decision to suspend operations at Kaesong was also due to insults from South Korean media analysts who have suggested that North Korea’s leader, Kim Jong-un, would not dare shutter the Kaesong complex because he did not want to lose an important source of badly needed hard currency.
The factory complex started operation in late 2004. The 123 South Korean factories there produced $470 million worth of textiles and other labor-intensive products last year and provided the North with $90 million a year in wages for its workers. The factory complex began operating in late 2004. The 123 South Korean factories there produced $470 million worth of textiles and other labor-intensive products last year and provided the North with $90 million a year in wages for its workers.
The complex, where South Korea’s manufacturing know-how was paired with cheap North Korean labor and the North’s Communist authorities experienced the first taste of South Korean capitalism, has been held up as a test case for how reunification of the two Koreas might look.The complex, where South Korea’s manufacturing know-how was paired with cheap North Korean labor and the North’s Communist authorities experienced the first taste of South Korean capitalism, has been held up as a test case for how reunification of the two Koreas might look.
As relations deteriorated in recent years, however, the industrial park has also become a contentious issue in South Korea. Some conservative South Koreans argued that the complex extended a lifeline to the North Korean regime, which the South blamed for military provocations, including the 2010 sinking of a South Korean warship that killed 46 sailors.As relations deteriorated in recent years, however, the industrial park has also become a contentious issue in South Korea. Some conservative South Koreans argued that the complex extended a lifeline to the North Korean regime, which the South blamed for military provocations, including the 2010 sinking of a South Korean warship that killed 46 sailors.
For several weeks, tensions have remained high on the peninsula as North Korea issued a torrent of threats to attack the United States and South Korea out of anger over U.N. sanctions imposed for its February nuclear test. For several weeks, tensions have remained high on the peninsula as the North issued a torrent of threats to attack the United States and South Korea out of anger over United Nations sanctions imposed for its February nuclear test.
The North Korean blockade pushed many of the South Korean companies that owned factories in Kaesong to the brink of bankruptcy. The South Korean government on Wednesday offered financial aid for those companies.The North Korean blockade pushed many of the South Korean companies that owned factories in Kaesong to the brink of bankruptcy. The South Korean government on Wednesday offered financial aid for those companies.
On Thursday, South Korean factory owners issued a joint statement urging the two Korean governments to live up to their promise to protect investments in Kaesong.On Thursday, South Korean factory owners issued a joint statement urging the two Korean governments to live up to their promise to protect investments in Kaesong.
The factory park was a child of South Korea’s now-defunct “Sunshine Policy” of encouraging economic cooperation with the North to ease military tensions on the divided Korean Peninsula. Dozens of South Korean companies were encouraged to relocate their labor-intensive factories to Kaesong to use lower-cost North Korean workers.The factory park was a child of South Korea’s now-defunct “Sunshine Policy” of encouraging economic cooperation with the North to ease military tensions on the divided Korean Peninsula. Dozens of South Korean companies were encouraged to relocate their labor-intensive factories to Kaesong to use lower-cost North Korean workers.