Hankook to Restart Talks With Other Countries

(Akron/Tire Review) Reports out of Slovakia say that Hankook Tire Co will restart negotiations with other eastern European nations regarding its plans for a 500 million euro tyre plant. Slovakia lost its exclusive bargaining rights after cabinet ministers rejected a government aid package worth some 110 million euros.
It is expected that Hankook officials will renew talks with Poland and Hungary, the two the countries the South Korean tyremaker held negotiations with before it selected Slovakia in May.

At the same time, Hankook said it is willing to reconsider Slovakia, but only under the conditions Hankook vice president Young Soo. Woo set out to Slovakia Prime Minister Mikuláš Dzurinda on 8 July, news reports say. Those terms include a reduction in state assistance from 21 per cent to 19 per cent of the total project, and direct financial assistance worth 13 per cent of the project. “Hankook will make no further concessions,” a source close to the talks told the Slovak Spectator.

Prime Minister Dzurinda said that 6 per cent of the total investment and 25,700 euros per created job is the maximum the country would pa. Meanwhile, Slovakia Economy Minister Pavol Rusko proposed state assistance of 10 per cent and a subsidy for the creation of one job at about 51,400 euros.