South Korean president Park Geun-Hye warned today the nation’s shipbuilders will have to endure plenty more pain. Addressing parliament, Park said there would need to be “bone-crushing” efforts in order to resurrect Korean shipbuilding.
“If we don’t carry out a bold restructuring by downsizing the overgrown workforce… and cutting costs, the future of not only the shipbuilders but also the whole economy will be in jeopardy,” Park warned.
All of the nation’s top yards are now in restructuring with Seoul shifting an emergency KRW9.5trn to state banks in the last 10 days to help prop up the nation’s ailing maritime sector.
“The road for reform is painful… but, if we try to avoid it, our economy would be devastated and we would face even bigger pain in the end,” Park said