N Korea bans South Koreans from joint factory zone

Written By Unknown on Rabu, 03 April 2013 | 22.40

North Korea this morning closed access to a joint factory zone that earns €1.6bn a year in trade for the impoverished state.

However, more than 30 South Koreans returned home in the evening, relieving fears they could have been held hostage.

Factories in the Kaesong Industrial Park are still believed to be operating, but North Korea's decision to block entry is a further sign of the growing tension on the Korean peninsula.

Yesterday, North Korea said it would restart a nuclear reactor that had been shut down in 2007.

The industrial park has not formally stopped operations since it was inaugurated in August 2000 as part of efforts to improve ties between the two Koreas.

South Korean companies pay a total of more than €62m a year in wages to workers in the zone.

It houses 123 companies and is staffed by 50,000 North Koreans and hundreds of South Korean business owners and managers.

More than 800 South Koreans had stayed overnight in the park, just north of the world's most heavily armed border.

South Korea's Unification Ministry demanded the park be opened.

North Korea has threatened a nuclear strike on the United States and missile attacks on its Pacific bases after fresh UN sanctions were imposed for the country's third nuclear weapons test in February.

The government has also said it is in a state of war with South Korea.

In response, the US has bolstered its forces in the region.

Extra deployments have also coincided with annual war games with South Korea, which North Korea claims are a prelude to an invasion.


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