Shipbuilding dispute between Korea and EU searches for solution by June's end

South Korea and European Union (EU) agreed to settle shipbuilding disputes possibly by the end of June, and shape up for a working level committee consisting of government and shipbuilding delegates from both sides.

The general manager of commercial negotiations under the Ministry of Foreign Affairs and Trade (MOFAT), Mr. Dooyoun Hwang, reached this consensus with the European Commissioner for Trade, Pascal Lamy, in ministerial level talks held in Brussels, Belgium, May 13. MOFAT said, "Concerning the shipbuilding dispute, both sides were in accordance that this matter ought to be solved through discussion, despite the divergence of views."

The shipbuilding industry in the EU is accusing South Korea to the World Trade Organization (WTO), claiming that the South Korea government supplied shipbuilding companies in workout programs with subsidies through various financial bodies, violating the WTO Subsidy Act.

Mr. Hwang also emphasized that Anti-Dumping Acts should be amended to restrict their abuse, and suggested including them in discussion topics. Mr. Lamy gave positive signs regarding their inclusion.

Mr. Hwang and Mr. Lamy will be keeping up-to-date on issues at all times through direct discussion by telephone.