HC Deb 03 March 1999 vol 326 cc807-8W
Mr. Davidson

To ask the Chancellor of the Exchequer what steps he is taking to ensure that IMF support for South Korea is not used to subsidise South Korean shipyards.[74011]

Ms Hewitt

The UK strongly supports Korea's IMF programme, the benefits of which are now being felt as that country begins to move out of recession. A revived Korean economy will provide increased opportunities for UK exporters.

There is no evidence that IMF support for South Korea has been used to subsidise the Korean shipbuilding industry. As a member of the World Trade Organisation, South Korea is bound by internationally agreed rules on the use of industrial subsidies. Furthermore, as part of its IMF programme Korea has ceased the practice of trade-related subsidies. However, the UK remains watchful for unfair trade practices throughout the world.