South Korea President Park Geun-hye has said that no company will invest in North Korea if Pyongyang shuts down the Kaesong factory complex, the Associated Press reports.
It comes after Pyongyang suspended its operations and recalled all 53,000 of its workers.
Through her tears, a North Korean woman told me how she had to escape: risk death while running across the border or die of starvation.
Memories of the Korean war are never far away in South Korea, where residents have grown used to living with the constant threat of war.
North Korea said it will withdraw workers from the Kaesong factory park run jointly with South Korea and suspend all operations there.