5 YEARS SINCE SUSPENSION OF KIC OPERATION

[Anchor Lead]

Today in 2016 South Korea declared a suspension to the operations of the Kaesong Industrial Complex, a symbol of inter-Korean cooperation. Five years on, how does the business park look like now? Wetake a look.

[Pkg]

An aerial view of the Kaesong Industrial Complex from a helicopter. A support center in the complex remains in ruins after it was damaged during North Korea’s bombing of the inter-Korean liaison office last June. The external appearance of the complex may look similar to before but there seems to be no movement of any kind and no electricity is being supplied. There is neither any movement of people in the surrounding area. The complex has been suspended for 5 years now. How are the businesses who used to operate there doing these days? An auto parts manufacturer was the very first firm to move into the Kaesong complex in 2004 with a grandiose ribbon cutting ceremony. Now they use a small storage space as temporary factory and production levels are sharply down.

[Soundbite] Yoo Chang-geun(President of Gaesong Complex firm) : "Space is very limited here so we had to give up over half of our supply volume."

76% of Kaesong complex firms have since suffered a major drop in sales while 16 companies are out of business, either tentatively or for good. An emergency task force dedicated to Kaesong complex affairs estimates that around 30% of all firms that used to operate in Kaesong have essentially suspended business at the moment.
After waiting for 5 long years, the firms held a press conference and spoke of their difficulties.

[Soundbite] Sin Han-yong(Co-chair, Gaesong Complex Countermeasures Committee) : "If the government can’t even declare the reopening of the complex, we demand its liquidation altogether with heart-breaking grief."

Seoul’s Unification Ministry meanwhile said that resuming operations of the complex was part of a joint declaration reached during the 2018 inter-Korean summit, and that it hopes the two Koreas will implement the agreement.