[News Focus] Korea’s consumer index stays under OECD average for 2 years

SEJONG -- South Korea was found to have fallen short of the average of Organization for Economic Cooperation and Development member countries in consumer sentiment for the 25th consecutive month. OECD data showed that Korea’s consumer confidence index stood at 96.4 as of June 2020. Figures below 100 indicate a pessimistic attitude towards future developments in the economy, possibly resulting in a tendency to save more and consume less, according to its definition. For the Korean defini

EconomyAug. 10, 2020

Patriotism-fueled equity fund beat stock market

NH-Amundi Victorious Korea Equity Fund has recorded a 56.1 percent return for retail investors in a year, its parent company said Monday. The public fund which is managed by NH-Amundi Asset Management -- with the most noteworthy investor being South Korean President Moon Jae-in -- was launched on Aug. 14, 2019. It has overrun the depressed stock market trend. Korea’s main bourse Kospi rose 22.1 percent over the cited period. The trust fund manages 123 billion won ($103.7 million) worth o

MarketAug. 10, 2020

Foreign investors return to Korean equities despite pandemic

Foreign investors were net buyers of stocks and bonds in July, as the local currency is stabilizing and retail investors are showing more interest, data showed Monday They returned to the South Korean stock market, net buying 582 billion won ($490.6 million) worth of listed shares in a turnaround from net sales for five consecutive months, according to data by the Financial Supervisory Service. This is in sharp contrast to the February-June period, when they net sold a combined 26.58 trillion

MarketAug. 10, 2020

‘Groundbreaking for Samsung’s 3rd memory plant imminent’

Expectations are running high for the groundbreaking for Samsung  Electronics’ third memory plant in Pyeongtaek, Gyeonggi Province, amid continuing uncertainties due to the protracted COVID-19 pandemic. According to news reports on Monday, Samsung seems to be preparing to break ground for the so-called “P3” line in Pyeongtaek, which will be even larger than the existing P1 and P2 lines. Samsung had invested over 30 trillion won ($25.29 billion) in each of the two. So

TechnologyAug. 10, 2020

OECD forecasts S. Korea’s GDP ranking to take 9th

South Korea is forecast to climb up three notches to ninth in global gross domestic product rankings this year, despite its negative growth of 3.3 percent in the second quarter, data showed Monday.  Asia’s fourth-largest economy is likely to see 1.8 percent decline in its nominal GDP to reach $1.54 trillion this year on the condition that the country circumvents a second wave of the coronavirus, according to data from Organization for Economic Cooperation and Development. The OECD

EconomyAug. 10, 2020

HMM sells stake in Algeciras terminal

HMM said Monday it has secured stable business for Spain’s container terminal Total Terminal International Algeciras through strategic partnership with French shipping company CMA CGM. The South Korean shipping firm said it has signed a contract to sell a 50 percent stake in Algeciras container terminal to CMA CGM. HMM still maintains its status as the largest shareholder by holding 25 million plus one shares through a special purpose company. Through the contract, HMM can secure pr

IndustryAug. 10, 2020

[Monitor] Kospi nears 2,400, buoyed by retail investors

Seoul’s main bourse Kospi broke its daily record for the four consecutive day from Tuesday through Friday last week, raising expectations it may exceed the 2,400-point mark soon. According to data by Korea Exchange, the benchmark index on Friday closed at 2,351.67, rising 9.06 points, or 0.39 percent, from the previous day. The closing price marked the highest in one year and 10 months. On Aug. 27 2018, the index stood at 2,355.43. During Friday’s trading, the Kospi even reach

IndustryAug. 10, 2020

[Graphic News] Mobile game sales hit record high in H1

　Sales of mobile games here soared to a record high in the first half of the year amid the coronavirus pandemic that has largely confined people to their homes, industry data showed. 　Combined sales of three app markets - Google’s Play Store for Android devices, Apple’s App Store for iPhones and ONE - stood at 2.83 trillion won ($2.37 billion) in the January-June period, up 1.3 times from a year earlier, according to data from mobile big data platform IGAWorks. 　The figure also

IndustryAug. 10, 2020

[Green and New] How green and new is Moon’s deal?

The Korea Herald is publishing a series of articles to address the Moon Jae-in administration’s “Green New Deal” policy, one of the key pillars of the so-called “Korean New Deal” economic stimulus package. -- Ed. Responding to the unprecedented socioeconomic crisis caused by the COVID-19 pandemic, South Korea has adopted a new weighty policy keyword this year -- “Korean Green New Deal.” Despite the rosy pictures suggested by policymakers, there are

EconomyAug. 9, 2020

Korea mulls excluding Tesla from EV subsidy list

The South Korean government said Sunday it plans to recalibrate its subsidy program for electric vehicles as almost half of the grants in the January-June period were for premium Tesla brands. The Ministry of Environment is poised to revise the current calculation system for EV subsidies by October after discussions with municipalities, related experts and concerning associations. High-end EV brands are expected to be removed after consultations, as Tesla alone devoured 43 percent of total 2

IndustryAug. 9, 2020

Biz groups donate to flood relief

South Korean conglomerates Hyundai Motor Group and LG Group made donations to assist flood victims amid continuing heavy rainfall, the groups said Sunday. Hyundai Motor pledged 2 billion won ($1.68 million) to benefit flood victims and repair damage. The nation’s biggest carmaker will provide the funds to the Hope Bridge Korea Disaster Relief Association on Monday while also offering free vehicle maintenance checkups for association staff providing laundry services and daily necessities

MobilityAug. 9, 2020

HDC agrees to face-to-face negotiations with Kumho over Asiana acquisition

HDC Hyundai Development Co. has agreed to face-to-face negotiations with Kumho Industrial to prevent the rupture of the deal to acquire Asiana Airlines, according to a statement released by HDC on Sunday. In the statement, the construction company said it will try its best to accept the terms put forward by Kumho for the meeting between the CEOs of both companies, such as the location and time, to keep the acquisition process going as smoothly as possible. HDC also reaffirmed its stance that

MobilityAug. 9, 2020

Economy shows signs of rebounding from slump: KDI

  After months of reeling under the coronavirus pandemic, the South Korean economy is showing signs of recovery upon the slower pace of decline in economic activity at home as well as in outbound shipments, a state-run think tank said Sunday. “South Korea’s economic slump has been alleviated as the spread of the new virus slowed down, fueling economic activity across industries,” the Korea Development Institute said in its monthly report on economic trends. It was the f

EconomyAug. 9, 2020

LG U+ taps into 5G for self-driving forklifts

LG U+ on Sunday unveiled a 5G solution that can control up to 50 self-driving forklift trucks simultaneously. According to the South Korean telecommunications company, it has signed a memorandum of understanding with global forklift maker Clark Material Handling Asia, Chinese logistics solutions company Mushiny and domestic measurement solutions firm KN to develop a 5G-based unmanned forklift that can work without the help of a professional operator. “This is a solution that allows t

IndustryAug. 9, 2020

Jeonse loans rise due to government regulations, low interest rate

South Koreans’ demand for jeonse loans -- designed for investors looking for two-year leases instead of purchases -- increased in July, due to government efforts to cool down the heated real estate market with loan restrictions, data showed Sunday. According to the data compiled by five major banks -- KB Kookmin, Shinhan, Hana, Woori and NH NongHyup -- the outstanding amount of such loans increased by 2.2 percent, or 2.02 trillion won ($1.8 billion), on-month to 94.55 trillion won as of e

EconomyAug. 9, 2020

LG expands robot business to hotels

LG Electronics said Sunday it is expanding its robot business to the hotel industry by introducing a delivery robot. Two delivery robots are in a pilot phase at Mayfield Hotel in northwestern Seoul this month, which will deliver food from an indoor kitchen to an outdoor terrace and carry back dishes to the kitchen. It is the first time the tech giant is unveiling a robot that is capable of driving on its own in an outdoor environment. After testing the outdoor robot at Mayfield, the comp

TechnologyAug. 9, 2020

Prolonged rainfall leads vegetable prices to spike, ice cream sales to drop

Consumers would face higher shopping cart prices this week, due to spikes in wholesale prices of various kinds of produce during the prolonged rainfall over weeks, according to the retail industry on Sunday. The unexpectedly prolonged rainfall is taking a toll on many of the country’s farm villages, which have damaged their crops and cut supplies, leading to spikes in agricultural prices. According to the data from Korea Agro-Fisheries&Food Trade, leafy vegetables such as cabbage,

ConsumerAug. 9, 2020

Korean financial groups step up to aid flood-hit regions

With torrential rains battering South Korea’s central regions, local financial groups are lending a helping hand, including donations and staff volunteers to flood-hit regions. Woori Financial Group has sent food and water supplies and a volunteer group in North Chungcheong Province, one of the regions that was hardly hit by torrential rains. The group previously donated 100 million won ($84,100) for flood relief and sent support packages including hygiene, daily necessities and clothe

MarketAug. 9, 2020

With planes grounded, airline food seeks new life

When convenience store CU launched airline-themed ready meals late June, the company said it wanted to “comfort” people who couldn’t travel abroad during the coronavirus pandemic. Whatever your view of airplane food, the idea is not as niche as it may sound. After all, airline food reigns among the popular mukbang ideas for South Korean YouTubers, given its association with international travel and holidays, which sometimes rack up millions of views. The novel food product se

MobilityAug. 9, 2020

[News Focus] South Korea, No. 1 in tax revenue growth in OECD

SEJONG -- South Korea’s tax revenue was found to have increased fastest among the members of the Organization for Economic Cooperation and Development. The Korean government’s tax revenue -- the state’s income from taxation -- was equivalent to 28.42 percent of the nation’s gross domestic product in 2018 (the latest available), according to OECD comparison data. The figure posted an increase of 2.18 percentage points in only two years, compared to 26.24 percent of GDP

EconomyAug. 9, 2020