'Corona Exit Strategy'... Partial Resumption of Production at Overseas Factories of Korean Companies

[Asia Economy Reporter Park So-yeon] Amid the prolonged 'shutdown' (temporary closure) of overseas factories of major domestic companies due to the impact of the novel coronavirus infection (COVID-19), some factories have begun resuming production as lockdown measures are eased in countries such as Russia and Europe.

In Europe, countries are cautiously reviewing 'exit strategies' from the lockdown measures implemented to prevent the spread of COVID-19.

As more governments consider gradually lifting restrictions to prevent side effects such as unemployment and corporate bankruptcies caused by economic paralysis, expectations for factory restarts are also rising.

Spain lifted activity restrictions in some sectors such as construction and manufacturing starting from the 13th, and Austria resumed operations of small shops from the 14th.

Denmark reopened kindergartens and elementary schools on the 15th, and Poland plans to gradually ease restrictions, including lifting store operation bans from the 19th.

The German cabinet has also begun discussions on easing restrictions.

Germany's automotive industry reportedly sent a letter to Chancellor Merkel on the 9th urging the resumption of car sales as soon as possible.

Movements to restart operations have been detected at overseas steel industry factories.

Hyundai Steel began operations in the Czech Republic and Slovakia from the 14th, and restarted in Russia from the 13th. Turkey is expected to continue its shutdown until the end of this month.

In the Americas, the United States, Brazil, and Mexico are scheduled to remain shut down until the 26th.

In Asia, Chinese subsidiaries are operating normally, while India will halt operations until the 3rd of next month.

POSCO's Italy processing center remains in a suspended state.

The battery industry is continuing facility investments in preparation for the post-COVID-19 era.

According to the battery industry, domestic companies are sending personnel by special flights to expand electric vehicle battery factories in Eastern Europe.

LG Chem sent about 200 people on a special Polish Airlines flight on the 17th to expand the battery line at its Wrocław plant in Poland.

LG Chem is investing in facilities at its existing Wrocław plant to supply batteries ordered by European automakers, but had been unable to send personnel due to Poland's entry restrictions imposed in mid-last month.

However, as expatriates and Korean residents returning from Poland to Korea returned on a special flight the day before, personnel were dispatched using the return flight to Poland.

Earlier, SK Innovation also sent about 300 people, including partner company employees, to Hungary on a Korean Air charter flight on the 5th to expand its battery plant there.

This content was produced with the assistance of AI translation services.