North Korean Leader Meets Hyundai Group Head in Wonsan

Strategic Insights -

North Korean leader Kim Jong-il met with Hyun Jeong-eun, head of the Hyundai Group, in a luncheon meeting that lasted three and a half hours at Wonsan, a port city in North Korea, on Saturday. The two leaders engaged in "warm and brotherhood talks" in memory of former Hyundai executives who helped promote inter-Korean business. The meeting was attended by Hyundai-Asan Corp. officials, including Kim Yoon-kyu, head of the company, and Hyun's daughter, Chung Ji-yi.

Key Takeaways:

  • The meeting between Kim Jong-il and Hyun Jeong-eun focused on Hyundai's business with North Korea, with both sides discussing the overall business of Hyundai in the North and reportedly making significant progress.
  • Hyundai's business with North Korea has been ongoing since the early 1990s, with the company maintaining close ties with the communist country.
  • Hyundai's prominent projects in North Korea include the sightseeing of the North Korean mountain resort, which has been visited by over one million South Koreans since 1998.
  • The meeting came after Kim Jong-il's previous meeting with South Korean Unification Minister Chung Dong-young on June 17, 2003, to discuss nuclear and other pending issues.
  • Hyundai has invested $700 million in North Korea in return for seven major businesses, including the tourism project, whose main operations have been stalled since 2002.
  • The Hyundai Group is South Korea's 21st-largest conglomerate by assets.

Statistics:

  • 1,000,000: The number of South Koreans who have visited the North Korean mountain resort since 1998.
  • 7: The number of major businesses Hyundai has in North Korea, including the tourism project.
  • $700 million: The amount of money Hyundai has invested in North Korea in return for its seven major businesses.
  • 1998: The year the Hyundai Group started its sightseeing business in North Korea.
  • 2002: The year the North Korean mountain resort's main operations were stalled due to the country's confrontations with the United States over its nuclear program.

Sources:

  • North Korea's Central Television Station
  • Hyundai-Asan Corp.
  • Yonhap