South Korea’s president calls for ‘bone-crushing’ shipbuilding restructuring

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

Sam Chambers

Starting out with the Informa Group in 2000 in Hong Kong, Sam Chambers became editor of Maritime Asia magazine as well as East Asia Editor for the world’s oldest newspaper, Lloyd’s List. In 2005 he pursued a freelance career and wrote for a variety of titles including taking on the role of Asia Editor at Seatrade magazine and China correspondent for Supply Chain Asia. His work has also appeared in The Economist, The New York Times, The Sunday Times and The International Herald Tribune.
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