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Employees of companies doing business in the Gaeseong Industrial Complex return to the South after passing through the Customs, Immigration and Quarantine Office, following the withdrawal of government officials on March 27.
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North’s first reaction to S. Korean administration’s tough new policies could be warning
North Korea, which has been keeping an eye on the South Korean administration of President Lee Myung-bak and its new policies on Pyongyang, demonstrated its first reaction to the policies by demanding that all South Korean government officials leave an inter-Korean industrial complex in the North’s border city of Gaeseong (Kaesong). Outwardly, the North’s reaction appears to be a response to a remark made by South Korean Unification Minister Kim Ha-joong, who said the complex would not be expanded unless the nuclear standoff was resolved. However, many observers say the North’s surprise move could be considered a warning against the South Korean government’s tougher policy toward Pyongyang. As a result, the relationship between South and North Korea is likely to deteriorate for the time being. The North’s actions also coincide with National Assembly election campaign for the April 9 vote in South Korea, and the North Korea policy of the Lee Myung-bak administration is expected to emerge as a political hot-potato throughout the campaign. Last week, Kim, the unification minister, said, “Expanding the Gaeseong (Kaesong) Industrial Complex will be difficult unless the North Korean nuclear issue is resolved.” At the request of the North, all 11 South Korean officials, who had been stationed at the Office of South-North Korean Economic Cooperation and Consultation within the Gaeseong industrial zone, moved back to the South early on March 27. Since the inauguration of the Lee Myung-bak administration, North Korea has criticized indirectly Lee’s new policy on Pyongyang, calling on the South’s new administration to implement agreements made at an October 4 summit between North Korean leader Kim Jong-il and Lee’s predecessor, Roh Moo-hyun, and emphasize “cooperation among Korean people.” But this was the first time North Korea has demonstrated a visible reaction to the new policies. The office, the Office of South-North Korean Economic Cooperation and Consultation, was established in October 2005 with the goal of expanding direct commercial exchange and investment between the two Koreas, and is the first permanent South Korean organization on North Korean territory since the two Koreas were divided. Though the office is located inside the Gaeseong Industrial Complex, it is not directly related to the complex itself and functions as a liasion between North and South Korean companies. A joint committee, the Gaeseong Industrial Complex Management Committee, which houses both South and North Korean officials, is in charge of the management of the complex. Earlier in the day, the South Korean government had discussed countermeasures in a meeting between President Lee and security-related ministers. After the meeting, presidential spokesman Lee Dong-kwan said the South Korean government would “not be undaunted” in dealing with the North’s actions and would do so “within the normal framework of inter-Korean relations while preventing unnecessary situations.”During a briefing that morning, Unification Ministry spokesman Kim Ho-nyeon said that North Korea had taken issue with remarks the unification minister had made at a conference with the directors of companies doing business in the Gaeseong Industrial Complex on March 19, and requested that South Korean government officials withdraw from the complex within three days, by March 24. Two days later, on the afternoon of March 26, North Korean officials made repeated visits to the Office of South-North Korean Economic Cooperation and Consultation and demanded that the South Korean governmental staff withdraw, according to a South Korean government official. As it became difficult for the South Korean officials to execute their basic duties, they left around 1 a.m. on March 27, the official added. In a press release, the government expressed its deep regret and urged the North to normalize the operation of the Office of South-North Korean Economic Cooperation and Consultation as soon as possible, but said that the North should assume full responsibility for the current situation. Kim Jung-tae, a high-ranking ministry official, said, “The Gaeseong Industrial District Management Committee is functioning as usual, and there are no problems with the operation of the industrial complex.” Five employees affiliated with the Export-Import Bank of Korea and the Small Business Corporation are still working at the Office of South-North Korean Economic Cooperation and Consultation, where they are dealing with matters related to private economic cooperation between the two Koreas, according to the ministry. A key government official said, “The South will have to slow its pace,” indicating that inter-Korean relations will inevitably become more tense from now on. Please direct questions or comments to [englishhani@hani.co.kr]
