INDUSTRIAL ACTIVITIES IN POHANG HALTED

[Anchor Lead]

It's been more than a week since Typhoon Hinnamnor hit Korea, but industrial sites in the city of Pohang, which bore the brunt of the typhoon, are still reeling from its destruction. Industrial activities in the city have ground to a halt as factories have been destroyed and manufacturing facilities are covered in mud.

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All that's left of this structure belonging to a steel-making company in Pohang, Gyeongsangbuk-do Province is just its frame. The walls have been torn off when the ground caved in because of the powerful typhoon. Expensive manufacturing equipment is now useless. The company's CEO is devastated. Rebuilding the factory and resuming business operations seems unrealistic.

[Soundbite] Park Chul-soo(CEO of a steel company) : "It's devastating to see what I have built hard for so long gone at once."

This company supplying processed minerals nationwide has sustained enormous damage due to floods and landslides. Employees have been trying to restore their workplace for more than a week now. Business losses are snowballing by the day as operations are now paralyzed and it can't deliver the products to clients.

[Soundbite] Son Deok-ho(CEO of a steel company) : "It's the worst disaster to happen since we moved into the complex 40 years ago. Our staff continued working even on holidays."

Some 200 businesses based in Pohang have sustained business losses due to Hinnamnor. The total amount is estimated to surpass 1.8 trillion won. The governments of Gyeongsangbuk-do Province and Pohang City are urging the central government to designate their areas as industrial crisis response zones and provide financial support.

[Soundbite] Lee Cheol-woo(Governor of Gyeongsangbuk-do Prov.) : "The steel sector is a key industry that must be protected from disasters with any means possible including flood fences or other equipment."

The government has set up a task force to provide flood relief to the steel sector and inspect needed supply. The Ministry of Trade, Industry and Energy plans to discuss with relevant ministries the steel sector's request to temporarily ease the 52-hour work week requirement.