Search Results for: kaesong

“Precisely what North Koreans do with earnings from Kaesong, I think, is something that we are concerned about.” – David Cohen, Undersecretary of the Treasury for Terrorism and Financial Intelligence I won’t conceal my disappointment that North and South Korea say they’ve reached an agreement to reopen Kaesong.  Doing so now would undermine that international financial pressure that will be necessary to disarm North Korea at a time when it’s showing signs of working, and when that pressure might help us achieve interests...

North and South Korea failed to reach agreement in talks Friday on the fate of a joint industrial estate which is their last remaining reconciliation project, officials said. The South insisted it cannot accept demands for hundreds of millions of dollars in extra payments for the Kaesong estate just north of the heavily-fortified border, Seoul’s unification ministry said. The North refused to discuss the fate of a South Korean employee it has detained since March 30, it said.  [AFP] What...

North Korea’s latest demands seem calculated to drive away investors: Although it was expected that North Korea would ask for higher salaries during the talks, an increase of more than fourfold was a surprise and is unlikely to be accepted by the South Koreans, who pay about $170 a month to Chinese laborers at their factories in China. “That’s nonsense!” Park Jung-ho, a former official of a shoe factory operating in Kaesong, said of the North’s wage demand. “We have...

Yesterday, I passed along reassurances by the head of the trade association for Kaesong investors that there was no reason to worry about a southward exodus.  What a difference a day makes: South Korean firms at a jointly-run industrial estate in North Korea will ask Seoul for emergency funds as business slumps amid tensions between the two governments, an official has said. On Tuesday a clothing firm became the first to announce it would quit the Kaesong estate, which opened...