NK Constructs an Industrial Complex in Tongcheon and Sinuiju

By agreeing with each other on the project of the construction of an industrial complex on August 22, 2000, it is confirmed on October 6 that North Korea’s (NK) Asia Pacific Peace Committee and Hyundai Asan Co. consented to build a 30,000 pyong scaled light industrial area in the Tongcheon region near Mt. Gumgang and an industrial area, which is suitable for the regional specialty, in Sinuiju except for the Gaeseong Industrial Complex.

According to the ‘Agreement on the Construction and Management of the Industrial Complex,’ both parties planned to build a 30,000 pyong scaled light industrial area in the Tongcheon region and produce souvenirs - processed agricultural and marine products and any other light industry goods - as early as possible and planned to build an industrial area in Sinuiju after the reconnection of the inter-Korea rail.

The Dong-a Ilbo received the agreement this day from the lawmaker, Lee Bu-young, at the United New Party of the Unification, Foreign Affairs & Trade Committee. The ‘Agreement on the Construction and Management of the Industrial Complex’ between North Korea and Hyundai is opened to the public for the first time.

In the mean time, lawmaker Lee said, “The scale of the Gaeseong Industrial Complex is documented as 20,000,000 pyong on the agreement, but as a result of an aerial survey, the area is estimated to be around only 15,000,000 pyong which lacks 5,000,000 pyong,” Lee also pointed out, “It is in contravention of the stipulations and the project itself might burst like bubble.”

“Hyundai Asan Co. protested to the NK side about the lacking 5,000,000 pyong after confirming the fact through pictures around the Gaeseong Industrial Complex area, which were taken by a commercial satellite, and demanded a by-area of the intended industrial complex for the lacking space and the contract might be inaccurate because Hyundai required a space too large. Hyundai also did not conduct a survey for the construction at that time,” said a participant of an under-taking Gaeseong Industrial Complex on condition of his anonymity.

The construction of the Gaeseong Industrial Complex, which has started work on June 30, 2003, is an 8,000,000 pyong scaled industrial complex on 20,000,000 pyong site in the Gaeseong area - where its location is 170 kilometer from Pyongyang and 70 kilometer from Seoul - and a 12,000,000 pyong scaled industrial complex in hinterland city. The first moving in is scheduled in 2007, when the first three term of work, which was started in June 2003 has been completed.

Yeon-Wook Jung Seung-Ryun Kim jyw11@donga.com srkim@donga.com