Korean builders' overseas orders hit 13-year low in 2019

Overseas orders won by South Korean construction companies hit the lowest point in 13 years in 2019 due mainly to slowing orders from the Middle East, the construction ministry said Thursday. The combined overseas orders by the builders came to $22.3 billion last year, down 31 percent from 2018, marking the lowest since 2006, when the combined overseas orders by the builders stood at $16.4 billion, according to the ministry. For decades, oil-rich Middle Eastern countries have been the largest

IndustryFeb. 6, 2020

Virus-caused supply chain disruptions to affect Hyundai: S&P

Supply chain disruptions in China caused by the new coronavirus outbreak will likely hurt the first-quarter performance at Hyundai Motor Co. and Kia Motors Corp., S&P Global Ratings Services has said. In a report released Wednesday, S&P said if the Lunar New Year break in China is not extended beyond Sunday, Hyundai and Kia are expected to normalize Korean production, which accounts for 40-50 percent of total production, in the coming weeks through utilization management. "Howeve

MobilityFeb. 6, 2020

S. Korea vows swift budget spending amid growing virus concerns

SEJONG -- South Korea will swiftly implement its fiscal spending as China's rapidly spreading coronavirus epidemic is expected to cast a shadow on the nation's fragile economic recovery, a senior official said Thursday. The spread of the virus is likely to have an "unexpected" impact on the nation's economic growth, Vice Finance Minister Koo Yun-cheol said in a meeting with relevant economic officials earlier in the day. South Korea has planned to spend 62 percent of its budget in t

EconomyFeb. 6, 2020

Korea's current account surplus narrows in Dec.

South Korea's current account surplus narrowed sharply in December as its exports fell at a faster rate than imports, central bank data showed Thursday. The country's current account surplus came to $4.33 billion in the month, down $1.64 billion from the month before, according to preliminary data from the Bank of Korea. The reading also marks a $580 million drop from the same month in 2018. The country's current account balance has been in the black for eight consecutive months since May 201

EconomyFeb. 6, 2020

Orion records highest operating profit of W327b in 2019

Korean confectionary firm Orion said Wednesday it recorded operating profit of 327.3 billion won ($275.9 million) in 2019, marking the highest figure in company history. According to the company, it saw its net profit increase 54.1 percent on-year to post 220.3 billion won, and its annual revenue hit 2.02 trillion won, up 5 percent from the year before. The company’s operating profit in the fourth quarter last year was 97.8 billion won, up 39.2 percent in the same period on-year, and t

ConsumerFeb. 5, 2020

Kyobo Securities to establish dual CEO system

Kyobo Securities is set to launch a dual CEO system to strengthen the company’s two business pillars -- investment banking and wealth management -- the company said Wednesday. The board of directors approved the nomination of Park Bong-kweon, the former vice president of Kyobo Life Insurance, as the firm’s new CEO in charge of wealth management. Park’s CEO designation will be finalized at the general meeting of stockholders in March. The securities firm has been led by incu

MarketFeb. 5, 2020

NPS short on time for March proxy season

South Korea’s public pension fund, the National Pension Service, is now gearing up for new committees to ramp up the shareholder engagement push for its portfolio firms here at an unprecedented level. But time appears to be running short ahead of the March proxy season in Korea. The NPS’ Fund Management Committee has to start from scratch to forge a fully fledged decision-making system to shortlist companies under what is equivalent to a “focus list” by the California P

MarketFeb. 5, 2020

Kakao Pay gets green light to acquire local brokerage

The Financial Services Commission, South Korea’s financial regulator, said Wednesday that it has approved fintech firm Kakao Pay’s request to become the largest shareholder of brokerage house Baro Investment & Securities. With that final authorization, the fintech firm will be able to operate stock trading businesses on its own mobile platforms as well as those run by its parent firm, mobile messenger giant Kakao. Last year the Kakao fintech spinoff submitted an application

MarketFeb. 5, 2020

Seoul to offer tax benefits to SMEs with virus losses

The South Korean government said Wednesday that it will offer special tax benefits to owner-operators and small businesses, in an effort to minimize the economic impact of the new coronavirus outbreak. It also vowed to prevent mass outbound shipments of face masks and hand sanitizers, of which supplies are running low amid the increasing number of confirmed cases here. “(The government) will prescreen the mass outbound shipments by changing export procedures for masks and hand sanitiz

EconomyFeb. 5, 2020

Duty-free shops to reopen this week after virus disinfection

Several South Korean duty-free shops that temporarily shut down after people infected with Wuhan coronavirus visited them will reopen later this week, their operators said Wednesday. Shilla Duty Free, one of the country's leading duty-free stores, on Sunday closed its two outlets in central Seoul and on the southern resort island of Jeju after they were each visited by a victim of the pneumonia-like virus. The shops will open their doors again on Friday after disinfection operations to preven

IndustryFeb. 5, 2020

[Monitor] Administrative cost constrains to start business in Korea

To start one’s business, it takes an average of eight days to go through the administrative process, costing an average of 4.9 million won ($4,125) in South Korea, a report by the Korea Economic Research Institute under the Federation of Korean Industries showed. The administrative process was relatively expedient in three steps, lower than the average 5.1 steps among the member countries of the Organization for Economic Cooperation and Development. Expense on the administrative process

IndustryFeb. 5, 2020

S. Korea unveils aid package worth W820b for new ships

South Korea on Wednesday unveiled a financial package worth 820 billion won ($690 million) to help modernize aging passenger boats and cargo vessels. The package is meant to help smaller shipping companies build 59 new ships -- 21 passenger boats and 38 cargo vessels, the Financial Services Commission said. Under a plan, a shipping company can receive financial help, up to 60 percent of costs needed for building a ship, from banks, and South Korea's state-run Korea Ocean Business Corp. guaran

EconomyFeb. 5, 2020

K-bio firms all out to contain novel coronavirus spread

Korean biologics firms are putting their heads together to contain the spread of novel coronavirus, with experts opining that a potential vaccine development would require governmental investment. The natural market development of a coronavirus vaccine is unlikely given the characteristics of the epidemic, said Lee Jong-koo, professor of family medicine at Seoul National University, speaking at an open debate on Wednesday. A new vaccine would take more than a year to develop, by which time th

IndustryFeb. 5, 2020

MiCo BioMed develops kit to detect coronavirus within an hour

South Korea’s health care solutions developer MiCo BioMed claimed Wednesday it has developed a rapid molecular diagnostic system to detect the novel coronavirus with high sensitivity within an hour. The Konex-listed company founded in 2009 said the system can immediately confirm the novel coronavirus (2019-nCoV) to be used at airport and port quarantine sites beyond health care centers. The company developed 30 different kinds of high-risk pathogen diagnostic kits with the Korean Cente

TechnologyFeb. 5, 2020

[Photo News] Lotte Mart introduces flashy school safety items

Fluorescent reflective cloaks and school bag covers are showcased at Lotte Mart’s Seoul Station branch in Jung-gu, central Seoul, on Wednesday.  The number 30 signifies the 30-kilometer-per-hour maximum travel speed limit in all school zones.  The products will be available at 110 branches nationwide from Thursday.  (khnews@heraldcorp.com)

IndustryFeb. 5, 2020

Samsung No. 2 tablet vendor in 2019: data

Samsung Electronics Co. ranked behind Apple Inc. in the global tablet market last year in terms of shipments, industry data showed Wednesday, as the South Korean tech giant faces tough challenges from its US and Chinese rivals. Samsung had a 13.6-percent share of the global tablet market last year, with shipments of 21.8 million tablets worldwide, according to data from market researcher Strategy Analytics. US tech titan Apple Inc. ranked first by shipping 44.3 million tablets for a 27.7-per

IndustryFeb. 5, 2020

Imported car sales fall 3.1% in January as Japanese brands struggle

Sales of imported cars in South Korea fell 3.1 percent in January from a year earlier due to lower demand for Japanese brands amid trade tensions between Seoul and Tokyo, an industry association said Wednesday. The number of newly registered foreign vehicles fell to 17,640 units last month from 18,198 in January 2019, according to the Korea Automobile Importers & Distributors Association. "Local consumer sentiment against Japanese products continued to affect overall imported vehicle

MobilityFeb. 5, 2020

S. Korea’s forex reserves hit record high in Jan.

South Korea’s foreign exchange reserves surged to a record high of $409.6 billion in January, surpassing its previous record from December, the nation’s central bank data showed Wednesday. The increase in reserves came despite a strong US dollar trend, which weakened the dollar value of other foreign currencies held by Korea, the Bank of Korea said. But a rise in profits and investment returns of other foreign assets under the country’s management contributed to the la

EconomyFeb. 5, 2020

Net assets of Mirae Asset’s ETF surpass W100b

Seoul-based asset management giant Mirae Asset Global Investments said Wednesday that the net asset value of its exchange-traded fund invested in the US-based Nasdaq has surpassed 100 billion won. Mirae’s Tiger Nasdaq 100 ETF tracks 100 companies listed on America’s tech-heavy stock market Nasdaq including Microsoft, Apple and Amazon. Having gained total returns of 391.03 percent since October 2010, the net worth of the company’s fund has doubled from 56.5 billion won in 201

MarketFeb. 5, 2020

Kia to launch entry SUV 'Sonet' in India in H2

Kia Motors Corp., South Korea's second-largest carmaker by sales, said Wednesday it will launch its entry-level sport utility vehicle Sonet in India later this year. Kia unveiled the Sonet concept at the New Delhi Auto Expo, which runs Feb. 5-12. On Wednesday, it launched the localized Carnival multipurpose vehicle in the Indian market, the company said in a statement. The maker of the K5 sedan and the Sorento SUV aims to sell 300,000 vehicles in India in 2022. This year, it has a target of

MobilityFeb. 5, 2020