South Korea urges SAIC to resuscitate Ssangyong
12 January 2009
The deputy head of South Korea's financial regulator urged China's SAIC Motor Corp to revive its South Korean automaking unit Ssangyong, Reuters reported. SAIC holds a 51% share of Ssangyong, which filed for court protection to avoid bankrupcy on Monday. Ssangyong has been plagued by slumping sales and liquidity problems. Rhee Chang-yong, deputy chairman of the Korean Financial Services Commission, suggested it would be difficult for South Korea to support Ssangyong before the court decides whether or not to accept the filing. Rhee said that SAIC, creditors and the court should make efforts to ensure Ssangyong's survival, but also said South Korea will start focusing on how to lessen the impact on Ssangyong's suppliers.
