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Gwangju City Council opposes Kumho Tire creditors' plan to sell company to Chinese firm

광주시의회 "금호타이어는 향토기업"…중국 매각 반대

Gwangju City Council opposes Kumho Tire creditors' plan to sell company to Chinese firm

 

Gwangju City Council released a statement on the 20th stating that it opposes Kumho Tire Company being sold off to a Chinese firm.

 

In its statement, the council said Kumho Tire is a local company that has grown with the city since its establishment in 1960 and added that all 1.5 million Gwangju people are deeply disappointed by the possibility of the company being sold off to China.

 

The council worried that if Kumho Tire, the world's leading tire manufacturer, is sold to China, it will endanger Gwangju's industrial foundation, threaten job security of some 3,800 employees at the Gwangju and Gokseong factories and push the local economy to the outer edges with the damage that will be done to cooperating local companies.

 

The council urged creditors to provide a fair competition between Kumho Asiana CEO Park Sam Goo and Chinese Doublestar.

 

The council also demanded the creditors allow Kumho Asiana CEO Park Sam Goo with the first buy-off option, to form a consortium and open plans of employment security, technology development and infrastructure investment from the bidder.

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