Korean Grand Prix organisers say there needs to be a significant reduction in the race’s hosting fee if it is to continue beyond this year, with the local promoter saying the chances of Formula One returning next year are “50-50.”
The Korean GP has been included on a provisional basis in the draft calendar of 22 races next year, albeit in April rather than its regular date in October.
However, acting promoter Park Won-hwa said it would be difficult for the event to continue unless F1 supremo Bernie Ecclestone makes major concessions on the hosting fee and other terms.
“We want to improve the contract because we are still in a big deficit and we want to make it less, otherwise it’s difficult for us to continue,” Park said. “If the terms and conditions are really, in every respect, improved to suit our requirements, then we could do that.
“It’s difficult I would say, but we are very keen to continue the event because public opinion has changed in our favour.”
The race made a reported deficit of US$37 million last year, and struggled to attract sponsors and spectators, with the track located about a four-hour drive south of Seoul, near the regional port city of Mokpo.
Park said deficits were narrowing after the first three years, but still remain too high and a major cut in the hosting fee was required. Hosting fees varied from race to race on the F1 circuit, and Park said: “I believe ours is higher than others but on the other hand, we never know because it’s confidential.” Of the 19 races in the this year championship, nine are in the Asian region.