Korea maintains current account surplus for a year

Korea maintained a current account surplus for the 12th consecutive month thanks to increased exports, despite foreign exchange volatility due to currency wars ignited by Japan’s weak yen policy.The Bank of Korea said Wednesday that the current account, the broadest measure of the country’s foreign trade, recorded a surplus of $2.25 billion in January, with exports reaching $47.1 billion.This is mostly in part due to increased outbound shipments of telecommunication products, petrochemicals and

Feb. 27, 2013

Foreign banks raise fees despite regulators’ efforts

Citibank Korea and Standard Chartered Bank Korea have raised commission fees for loan services despite state regulators’ efforts to lower them, according to reports.Since the third quarter of 2012, state financial regulators have publicized a list of banks’ service fees, in an attempt to cut lending fees that are closely related to loan interest. However, the two foreign banks raised lending fees, largely surpassing those of their domestic counterparts. For mortgage loan services, fees were 0.41

Feb. 27, 2013

K-sure to finance Russian LNG project

The state-run Korea Trade Insurance Corporation, known as K-sure, said Wednesday it would join the Yamal liquefied natural gas project in Russia as a financial investor. The decision was made after Russia’s second-largest gas producer Novatek, which owns an 80 percent stake in the $25 billion project, visited the export credit agency to ask for financing for the project. K-sure said the amount of financing would be decided later after the project operator announced global engineering, production

IndustryFeb. 27, 2013

Samsung, LG set for display feud talks next month

Samsung Display Co. and LG Display Co., the world’s two biggest display makers, may begin working-level talks to resolve their longstanding legal squabble as early as next month, company heads said Tuesday.“Following a discussion on the scope of working-level talks, (we will) try to meet in early March,” LG Display chief executive Han Sang-beom told reporters.Samsung Display chief executive Kim Ki-nam also reaffirmed his stance toward resolving the issue in a “constructive direction.”The two com

TechnologyFeb. 27, 2013

Seoul shares up 0.2 pct on U.S. stimulus

South Korean stocks closed 0.2 percent higher on Wednesday on the back of the U.S. Federal Reserve's reassurance that it would maintain its stimulus measures, analysts said. The local currency gained against the U.S. dollar.The benchmark Korea Composite Stock Price Index (KOSPI) moved up 4.03 points to 2,004.04. Trading volume was moderate at 409.1 million shares worth 3.46 trillion won (US$3.18 billion) with gainers outpacing losers 460 to 344."Local shares traded almost flat due to the rising

Feb. 27, 2013

Hyundai says no agreement on U.S. fuel economy suit

Hyundai Motor Co., South Korea's top automaker, on Wednesday dismissed a media report that it has agreed to settle a class-action lawsuit by U.S. consumers who say they were misled by the carmaker's inflated fuel economy ratings.Hyundai said it has produced no specific progress in resolving the legal trouble stemming from its incorrect fuel economy rating for about 900,000 cars sold in the United States between 2010 and 2012."No agreement has been made," a Hyundai official said. He said it remai

IndustryFeb. 27, 2013

Seoul shares up 0.08 pct in late-morning trade

South Korean stocks traded 0.08 percent higher late Wednesday morning on the back of gains in techs and carmakers, analysts said.The benchmark Korea Composite Stock Price Index (KOSPI) edged up 1.65 points to 2,001.66 as of 11:20 a.m.Big-cap tech firms led the increase, with market behemoth Samsung Electronics moving up 0.33 percent and its electronic components affiliate Samsung Electro-Mechanics advancing 0.11 percent.Carmakers also gathered ground, with No. 1 player Hyundai Motor increasing 0

Feb. 27, 2013

Korea maintains current account surplus for a year

Korea maintained a current account surplus for the 12th consecutive month thanks to increased exports, despite foreign exchange volatility due to currency wars ignited by Japan’s weak yen policy.The Bank of Korea said Wednesday that the current account, the broadest measure of the country’s foreign trade, recorded a surplus of $2.25 billion in January, with exports reaching $47.1 billion.This is mostly in part due to increased outbound shipments of telecommunication products, petrochemicals and

Feb. 27, 2013

French rights groups file suit on Samsung labour practices

A trio of French rights and consumer protection organizations said Tuesday they had filed a legal complaint against South Korea's Samsung Electronics over working conditions at its plants in China.The groups, Peuples Solidaires, Sherpa and Indecosa-CGT, accused Samsung of deceiving consumers by violating its own promises on ethical working conditions and using child labor.“While Samsung claims to respect the rights of the workers making its products by imposing codes of conduct including strict

IndustryFeb. 27, 2013

Seoul shares open higher on U.S. gains

South Korean stocks opened higher Wednesday, tracking overnight gains on Wall Street, analysts said.The benchmark Korea Composite Stock Price Index (KOSPI) increased 5.21 points, or 0.26 percent, to 2,005.22 in the first 15 minutes of trading.Shares gathered ground across the board, with market behemoth Samsung Electronics adding 0.75 percent and top chipmaker SK hynix gaining 0.75 percent. No. 1 carmaker Hyundai Motor moved up 0.47 percent.U.S. stocks ended higher Tuesday on reports that the Fe

Feb. 27, 2013

Hyundai agrees to settle U.S. lawsuits over fuel efficiency

Hyundai Motor Co. agreed to settle a group of lawsuits by U.S. customers who said they were misled into buying the South Korean carmakers’ vehicles because it overstated their fuel economy. Lawyers for the plaintiffs said in a filing today in federal court in Los Angeles that Hyundai agreed in principle on terms of a settlement. The actual amount Hyundai would pay wasn’t disclosed. Kia Motors Corp. (000270), which was also sued for misstating its cars’ miles-per-gallon, is evaluating whether to

IndustryFeb. 27, 2013

Chaebol-banks rivalry reignited in credit card industry

Local chaebol and financial groups are engaging in another round of heated competition in the saturated credit card market.The excessive rivalry between the conglomerates and the banking groups over the money-spinning business stemmed from a credit card fiasco about 10 years ago.The 2003 woes from the reckless doling-out of credit cards led to a record-high number of credit defaulters and the downfall of then-No. 1 issuer LG Card.The latest competition looms large between the card units of Samsu

Feb. 26, 2013

Exceptions mulled for restaurant restrictions

Companies with a restaurant business accounting for more than 80 percent of sales such as Outback Steakhouse Korea, Nolbu NBG and Theborn Korea are likely to be exempted from recently announced restrictions to keep sizeable firms from hurting small diners.Firms belonging to conglomerates with total assets of more than 5 trillion won ($4.6 billion) such as CJ Foodville, Lotteria and E-Land Park, however, will not be excused even if restaurants are their main business.The National Commission for C

IndustryFeb. 26, 2013

Korea’s birth, death rates increase

Korea’s birth rate increased for the third consecutive year in 2012, while its death rate reached a 30-year high.According to Statistics Korea, the number of newborns reached 484,300 last year, up 2.8 percent from a year earlier.This marks the highest since 2007 when Korea had 493,200 babies.Its crude birth rate increased by 0.2 to 9.6 births per 1,000 people.Also, Korea’s total fertility rate bounced back to 1.30 births per woman throughout her lifetime.The fertility rate began to dive in 2001

Feb. 26, 2013