07 March 2017

News Story: Lotte - and S. Korea - face China backlash in missile row

South Korea's Lotte Group faces an escalating backlash in China after providing land for a US missile-defence system, amid growing concern that the row will mushroom into wider Chinese retaliation against Seoul.

South Korea's fifth-largest company, Lotte signed a deal Tuesday to provide land for the US system, which was prompted by threats from North Korea.

But the plan has also angered Beijing, which fears it will undermine its own military capabilities.

Lotte has already suffered business setbacks and faces mounting boycott threats over the Terminal High-Altitude Area Defense (THAAD) system.

The Chinese producer of one of the country's most popular snacks has withdrawn its goods from Lotte Marts across China, saying Wednesday it would "never cooperate" with the company.

A range of other actions have been taken, including a consumer boycott in northeastern Jilin province, where protesters last weekend unfurled a banner at a Lotte Mart store saying "Lotte supports THAAD, get out of China immediately."

Last month Lotte was forced to halt construction of a $2.6 billion theme-park project in northeastern China after authorities suddenly found safety problems, and Lotte websites have this week been downed by apparent cyber-attacks.

Underlining the possibility of even wider Chinese retaliation, Beijing travel agencies said Friday they could no longer arrange trips to South Korea after Yonhap news agency reported the order was handed down by Chinese authorities.

"Please consider going to other countries. Trips to South Korea are suspended due to policy and safety factors," said a woman staffer at CYTS online service, one of China's biggest travel companies.

Staff at two other travel firms said the same.

Read the full story at SpaceDaily