(2nd LD) S. Korea wins int'l arbitration case against elevator maker Schindler

▲ Justice Minister Jung Sung-ho speaks during a press briefing at the government complex in Seoul on March 14, 2026. (Yonhap)

▲ The logo of Swiss elevator manufacturer Schindler Holding AG (Yonhap)

(2nd LD) govt-Swiss elevator maker-dispute

(2nd LD) S. Korea wins int'l arbitration case against elevator maker Schindler

(ATTN: UPDATES with president's remarks in paras 8-9)

SEOUL, March 14 (Yonhap) -- South Korea has won an international arbitration case brought by Swiss elevator manufacturer Schindler Holding AG, avoiding a potential payout of 320 billion won ($211.4 million) in damages, the justice ministry said Saturday.

Speaking during a press briefing at the government complex in Seoul, Justice Minister Jung Sung-ho said the Permanent Court of Arbitration (PCA) in The Hague dismissed all of the Swiss company's claims in a ruling issued early Saturday, including the 320 billion-won damage claim. The South Korean government will also recover approximately 9.6 billion won in legal costs.

"This is a complete victory for the Republic of Korea," the minister said, using the official name for South Korea.

Schindler filed the lawsuit in 2018, accusing the South Korean government of failing to properly oversee and regulate paid-in capital increases by Hyundai Elevator Co. between 2013 and 2015.

The Swiss firm, which was the second-largest shareholder of Hyundai Elevator at the time, argued the capital increases were executed primarily to help Hyundai Group maintain control over its affiliates, including Hyundai Merchant Marine, rather than for legitimate business needs.

Schindler claimed it suffered financial losses due to the government's alleged oversight failures. The company initially sought around 500 billion won in damages before reducing the amount to about 320 billion won.

On Saturday, the tribunal ruled that Seoul had acted within its legal authority and conducted sufficient investigations at the time. The court found no breach of the government's investment treaty obligations and rejected the argument that the state bore responsibility for the losses under international law.

In a social media post later in the day, President Lee Jae Myung hailed South Korea's legal victory, saying it helped safeguard South Koreans' tax money.

The president extended thanks to justice ministry officials for "following through with the difficult case to the end," pledging increased efforts to safeguard national assets and interests.

The ruling is the latest in a series of wins for the South Korean government in international arbitration cases.

In February, Seoul won a lawsuit in a British court to overturn an order by the same international tribunal to pay approximately 160 billion won in damages to U.S. hedge fund Elliott Investment Management over the controversial 2015 merger of two Samsung affiliates.

Earlier in November 2025, the government successfully sought the cancellation of a separate international arbitration body's decision that had ordered it to pay private equity fund Lone Star about 400 billion won in compensation over the 2012 sale of a local bank.

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