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| South Korean peace activists on the ladders stage a rally supporting Myanmar's democracy, outside the POSCO office in Seoul, on Feb 22, 2021. (File photo by= AP Images) |
[Asia News Communication = Reporter Reakkana] On Friday (Apr 16), a South Korean steelmaker said it plans to end a joint venture with a military-controlled firm in Myanmar following criticism that its business has benefited military leaders who have violently suppressed pro-democracy protests there, AP reported.
POSCO Coated & Color Steel said it has decided to discontinue its partnership with Myanmar Economic Holdings Public Company Limited, which is about 40 percent owned by Myanmar’s Defense Ministry. However, the South Korean company said it wouldn’t pull out of Myanmar. POSCO C&C owns 70 percent of its joint venture with MEHL, Myanmar POSCO C&C. Min Ji-hyun, an official from POSCO C&C, said the company has informed MEHL it wants to buy the Myanmar firm’s 30 percent stake so that it can continue operating the venture with full ownership. MEHL has yet to respond to POSCO C&C’s offer, Min said.
Min said he couldn’t provide detailed estimates on how much the deal would cost POSCO C&C, saying that would depend on when it goes through. He added the company will look for “other ways” to continue doing business in Myanmar if MEHL refuses to sell its stake, but didn’t provide details. Human rights activists have been pressuring many companies around the globe to end any financial support for the military.
