Aug 04, 2020 (Nikkei) - Nippon Steel decided on Tuesday to immediately appeal a South Korean court ruling that took effect the same day that allows for the seizure of company assets as compensation for wartime labor during Japanese colonial rule.
Shares of Nippon Steel in its joint venture with South Korea's Posco will be seized unless it files an appeal by Aug. 11.
"Our understanding is that [the wartime labor issue] was settled completely and finally, through the 1965 Agreement on the Settlement of Problems concerning Property and Claims and on Economic Cooperation, which was the legitimate agreement between nations," Nippon Steel said on Tuesday.
"We continue to respond in the appropriate manner, considering diplomatic negotiations by both the Japanese and South Korean governments," the company said.
As the South Korean court can now order sales of Japanese company assets and liquidate them, "we will respond resolutely with all options in sight," Japan's Chief Cabinet Secretary Yoshihide Suga told media on Tuesday. He did not mention any specific measures.
