South Korea minister says GM Korea needs to be able to survive on own in long-term

SEOUL (Reuters) – South Korea’s finance minister said on Monday that public funds could only be used to support the South Korean auto unit of General Motors Co (N:) if it was clear that the business could survive on its own long-term.

Speaking to reporters after a policy meeting in Seoul, Kim Dong-yeon said major shareholders and other parties involved need to swiftly come to an agreement on sharing the burden of improving the loss-making operation.

GM shocked South Korea in February with plans to close one local plant and leaving the fate of three others unclear. It is seeking government funding and incentives as well as wage concessions to save the unit, which just posted an annual net loss of $1.1 billion, its fourth straight year in the red.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.