Authorities in South Korea are scrambling in the wake of U.S. automaker General Motors' decision to shut down one of its factories in the country. Workers at the GM Korea plant are outraged, while the government and the company negotiate a plan forward. The decision, meanwhile, could have a further-reaching impact on U.S. - South Korea trade policies. Shane Hahm reports.

Chants of "Retract the shutdown plan." Unionized workers at GM Korea protest the company's decision to close down one of its plants. They say the decision puts the future of more than 2,000 employees at risk. They also want the government to intervene and help prevent a shutdown.

IM HAN-TAEK, LEADER UNIONIZED WORKERS AT GENERAL MOTORS KOREA PLANT "The purpose of our rally today is to demand the company withdraw its Gunsan factory shutdown plan. GM Korea must contemplate and reconsider its decision and take necessary action."

SHANE HAHM SEOUL "The South Korean government has designated the city of Gunsan as an employment crisis zone. That means any workers laid off are eligible for government subsidies, such as cheap loans and other financial support. But with roughly one in five residents here depending on this GM plant for their livelihoods, a closure could have devastating results."

This restaurant depends on famished workers from the nearby factory. Up until recently, the hall would be packed at lunchtime. But nowadays, it's a different scene.

SONG JI-HYUN RESTAURANT OWNER "It's lunch time right now but I'll be lucky to have one or two tables. We've had to let go our employees to run our business. Our doors are open and we still have to pay bills, so I'm forced to stay open. It's very difficult."

Job creation is one of President Moon Jae-in's key policy initiatives, but he risks public backlash if he bails out GM using taxpayer money.

In return for government financial support and tax incentives, GM says it will invest $2.8 billion over the next decade. U.S President Donald Trump, meanwhile, is taking credit for GM's decision to pull out of Korea and bringing jobs back to Detroit.

PROFESSOR KIM YEON-HAK GRADUATE SCHOOL OF MANAGEMENT OF TECHNOLOGY, SOGANG UNIVERSITY "The Korean government would like GM to remain in the country. President Trump wants to move the plant back to the U.S. GM would like to receive as much financial support as possible and stay in Korea. All three parties have different positions. So it's difficult to say that GM and President Trump are on the same page."

Some say the auto union should share the blame for the company's current situation. But workers say GM must restructure its entire global management scheme to keep the assembly line running.