Japan has reignited its shipbuilding beef with neighbour South Korea, filing dispute proceedings at the World Trade Organisation (WTO) over alleged shipbuilding subsidies, citing the billions handed to prop up Daewoo Shipbuilding & Marine Engineering (DSME) over the past five years.
The South Korean government has dismissed the latest shipbuilding subsidy row with a spokesperson in Seoul saying over the weekend: “We find Japan’s claim groundless and will fully explain that the measures comply with international norms.”
A huge drop in orders combined with a massive accounting fraud brought DSME to the brink of collapse five years ago at which point the South Korean government stepped in to save it.
Japan and South Korea have had repeated shipbuilding tussles at the WTO over the last 20 years.
very true, but only half of the truth, 3o% assistance in tax rebates for all foreign orders. its not a secret.