Jowon Tae: "It Is a Sensitive Time to Mention Asiana Airlines M&A"

US, EU, Japan, China and Other Key Routes Awaiting Competition Authority Review
Expected to Become World’s 10th Largest Airline Upon Merger Approval

Foreign Minister Nominee Park Jin Responds "Difficult to Answer" on Trade Ministry Transfer Question

[Asia Economy Reporter Moon Chaeseok] Cho Won-tae, Chairman of Hanjin Group, said on the 21st that it is "difficult to comment at this sensitive time" regarding the corporate merger of Korean Air and Asiana Airlines.

Chairman Cho made these remarks during a meeting with reporters at the 'Korea Business Seminar Forum 2022' hosted by the American Chamber of Commerce in Korea (AMCHAM) at the Conrad Hotel in Yeouido, Yeongdeungpo-gu, Seoul, on the morning of the same day. Korean Air has received approval for the merger with Asiana Airlines from the Korea Fair Trade Commission and competition authorities in Turkey, Taiwan, Vietnam, and Singapore, but is awaiting review from competition authorities in the United States, the European Union (EU), Japan, China, the United Kingdom, and Australia. Chairman Cho said, "Since I am participating in the AMCHAM event today, I do not want to talk about that," adding, "It is a very sensitive time."

Earlier, Chairman Cho mentioned in an interview with major foreign media that "the merger is both an opportunity and a process of taking steps for long-term survival." According to major foreign media, after the merger of the two companies, combining international passenger and cargo volumes would make it the world's 10th largest airline, and its air cargo market share is expected to rank 4th. Korean Air recorded an operating profit of 1.4644 trillion won last year, six times higher than the previous year.

Chairman Cho Won-tae of Hanjin Group (right) and Foreign Minister nominee Park Jin (center) are seen conversing at a VIP meeting just before the 'Korea Business Seminar Forum 2022' hosted by the American Chamber of Commerce in Korea (AMCHAM) at the Conrad Hotel in Yeouido, Yeongdeungpo-gu, Seoul on the 21st. (Photo by Moon Chae-seok)

Park Jin, the nominee for Minister of Foreign Affairs who attended the event, said regarding the transfer of the main department for trade negotiations from the Ministry of Trade, Industry and Energy to the Ministry of Foreign Affairs, "I have nothing to say separately," adding, "It is difficult to comment on this today (as I am at the AMCHAM event)." When asked if there are any specific industries such as secondary batteries or shipbuilding that the next government is paying special attention to as it emphasizes economic security, he also replied, "It is difficult to say that today."

It was reported that Park, who was originally scheduled to participate as a presenter at the event, only attended without giving a presentation at the request of the Ministry of Foreign Affairs.