Koreans choose to drink at home during virus quarantine

The COVID-19 pandemic has changed daily life for many, driving society to endorse “social distancing” and putting people to work remotely, spending most of their time at home. For many in Korea, well known for its binge-drinking and hoesik (nighttime drinking gatherings) culture, things appear to have changed significantly, as the latest data shows more opting to drink at home. “(Because of COVID-19) I had many of my hangout plans canceled, and it was disappointing at firs

ConsumerMarch 26, 2020

[Herald Interview] ‘COVID-19 to affect humans’ short-term evolution’ Macrogen CEO

A human life is not only determined by the genomic structure, but also by what types of viruses and microbiomes the body interacts with. CEO Yang Gap-seok of Macrogen, a company that has recently been touted as an essential cogwheel in the research to understand the novel coronavirus, says that what COVID-19 is doing will affect our short-term evolution. The company Yang represents has been leading the research for the virus specific to Korea. Macrogen was the first to identify nine muta

IndustryMarch 26, 2020

Porsche Korea donates W649m for children’s dreams

Porsche Korea said Thursday it has donated 649 million won ($527,000) to ChildFund Korea to continue its social contribution efforts in the country. The company has signed a memorandum of understating with the social welfare foundation and delivered the donation to build on its “Porsche Do Dream” campaign, which has been running for four years. “For the past four years, Porsche Korea has endeavored to create an environment where Korean children can follow and fulfill their

MobilityMarch 26, 2020

Korean refiners cut export price as storage supplies max out

South Korean refiners are exporting more petrochemical products at lower prices as their storage facilities have reached their limit due to a sharp fall in domestic demand, industry sources said Thursday. According to the state-run Korea Natural Oil Corp.’s oil information provider Petronet, the domestic consumption of petroleum goods in February sank to 72.12 million barrels -- the lowest figure since 70.82 million barrels of April 2016 -- while outbound shipments in February rose 8.28

IndustryMarch 26, 2020

Shinhan Financial chief reappointed despite recruiting scandal

Shinhan Financial Group Chairman Cho Yong-byoung on Thursday was reappointed for another three years, despite disapproval of the largest shareholder and an ongoing legal dispute. The appointment was approved at the group’s annual shareholders meeting in Seoul which was livestreamed on the its website due to the COVID-19 spread. Cho will retain his position until March 2023, with no apparent signs of dissent from the attending shareholders. “I will make the best efforts to mini

MarketMarch 26, 2020

LG Display deploys engineers to complete OLED fab in China

LG Display said Thursday it aims to complete its new organic light-emitting diode panel manufacturing plant in Guangzhou, China, soon and has deployed 290 engineers from here. The engineers flew on a chartered Korean Air flight after getting entry permission from Chinese authorities. They will stay at a quarantine facility prepared by the company for a certain period of time. All of them have tested negative for COVID-19. LG Display had planned to start operating the Guangzhou fab within

TechnologyMarch 26, 2020

BOK to provide ‘unlimited’ liquidity to market until end-June

South Korea’s central bank said Thursday that it will inject an unlimited amount of liquidity to the financial market over the next three months, in an effort to sustain the volatile market amid the spread of the novel coronavirus. “The Bank of Korea has decided to supply an unlimited amount of liquidity to financial institutions to reduce the economic fallout of COVID-19 and remove uncertainties in the financial market,” the BOK said in a release. “Also, it will expan

EconomyMarch 26, 2020

[News Focus] Korean retail investors are victims of ‘unpaid’ stock buying

SEJONG -- Foreigners’ aggressive net-seller position on the local market has not yet subsided as of the fourth week of March. Over the past 16 trading sessions between March 5-26, foreign corporate investors net sold local stocks worth 10.7 trillion won ($8.69 billion), which are listed on the main bourse. Their divesting has continued for the 16th consecutive session since March 5. Their selling spree, which is attributed to fast spreading COVID-19 worldwide as well as the epidemic&rsq

EconomyMarch 26, 2020

Korea’s supply chain vulnerable to coronavirus crisis

The novel coronavirus pandemic has exposed the vulnerability of South Korean industries that are deeply integrated with the global supply chain. Korea’s global value chain participation rate was 55 percent and ranked sixth among 18 developed economies of the Organization for Economic Cooperation and Development countries as of 2017, according to a recent report of the Korea International Trade Association. The nation’s active role in global production, in turn, has revealed frag

IndustryMarch 26, 2020

BOK to supply 'unlimited' amount of liquidity for next 3 months

The Bank of Korea said Thursday that it will supply an "unlimited" amount of liquidity over the next three months to financial institutions to help prevent a credit crunch caused by the coronavirus pandemic. "The Bank of Korea decided to provide an unlimited amount of liquidity to financial firms to help minimize the economic fallout from the spread of COVID-19 and remove uncertainties in the financial market," the BOK said in a press release. (Yonhap)

EconomyMarch 26, 2020

GM Korea, union reach provisional agreement on wage talks

GM Korea Co. and its labor union said Wednesday that they have reached a provisional agreement on their long-drawn wage talks. The understanding on wages and collective bargaining for the 2019 calendar year, comes after nine months of negotiations, with unionists giving up their demands for an increase in basic wages and special bonuses, the South Korea unit of US auto giant GM said. The carmaker said that while it could not afford to increase wages for its employees, it will give so-called i

IndustryMarch 25, 2020

BOK to supply dollars next week under swap deal

The Bank of Korea said Wednesday that it will release its first batch of US dollar reserves in the financial market next week in accordance with a currency swap deal with the US Federal Reserve. “Negotiations on the swap contract are still underway and we plan to start supplying US dollars next week,” BOK Deputy Gov. Ryoo Sang-dai told reporters. The US dollars will be made available in different installments, but the exact amount has yet to be confirmed, he said.  Earlier,

MarketMarch 25, 2020

S. Korea expands job subsidies, eases FX rules

Bracing for the prolonged fallout from COVID-19, South Korea will drastically expand the employment promotion subsidy and alleviate foreign exchange liquidity rules for financial companies, the country’s chief fiscal policymaker said Wednesday. While presenting the central government’s latest market-stabilizing measures, he also said individual subsidy plans may create confusion, implying disapproval of moves by some local governments to distribute an “anti-disaster basic

EconomyMarch 25, 2020

Coupang to install ‘360-degree monitoring system’ in delivery cars

E-commerce giant Coupang said Wednesday it will install Automotive Around View Monitoring system in all its vehicles to aid its delivery staff. The monitoring system allows the driver to get a 360-degree exterior view on the screen, using four cameras mounted underneath the outside mirrors. According to the company, it will complete installing the system in all vehicles before July. It is the first company in the logistics industry to introduce the technology for delivery workers, the compan

ConsumerMarch 25, 2020

NPS contemplates stance on fate of Hanjin KAL chairman

South Korea’s state pension fund said Wednesday that it will take a final stance Thursday on the family feud centering on management control of Hanjin KAL, holding company of Hanjin Group which runs Korean Air. A trust management committee under the state-run National Pension Service, which holds 2.9 percent stake in Hanjin KAL, will decide on its vote on the reappointment of Cho Won-tae, chairman of Hanjin Group, at a shareholders meeting scheduled Friday. It is widely expected that

MarketMarch 25, 2020

Discount promotions to support farmers as virus delays school openings

The COVID-19 outbreak is dealing a blow to farms and fisheries, particularly straining their supply plans for school feeding. In efforts to support the agro-fishery industry, the country’s major retailers stepped up to embark on various promotions to clear out stock on Wednesday. According to the Ministry of Agriculture, Food and Rural Affairs on Monday, the recent government decision to postpone the opening of schools for two more weeks until April 6 would lead to damages to about 40

IndustryMarch 25, 2020

FCA Korea President Pablo Rosso tapped as KAIDA chairman

Pablo Rosso, president and managing director of Fiat Chrysler Automobiles Korea, has been appointed as the 13th chairman of the Korea Automobile Importers & Distributors Association, according to the association on Wednesday.  He will be the first foreign chairman and serve a two-year term from April.  The association said that Rosso’s wide understanding and experience in the imported car industry had been considered to solve the tasks the industry now faces. “The i

MobilityMarch 25, 2020

Woori Financial chief seals 2nd term despite opposition

Woori Financial Group Chairman Sohn Tae-seung was reappointed for three more years by shareholders Wednesday, despite disciplinary measures imposed by South Korean financial authorities. At the group’s annual shareholders meeting, Sohn’s appointment was approved by 50 percent stakeholders -- including private equity fund IMM Private Equity, Fubon Life Insurance, Kiwoom Securities and the Korea Deposit Insurance Corp. The KDIC is the largest shareholder, with a 17.25 percent stak

MarketMarch 25, 2020

[Monitor] Local e-remittance market grows rapidly

The average amount of money transferred through local e-remittance services within a day during 2019 has increased by 124.4 percent to reach 235 billion won from a year earlier, according to Bank of Korea data Wednesday. The average amount of money transferred through e-remittance services in 2019 was 104.6 billion won, up by 76.7 percent from 35.5 billion won in 2018. The average daily uses of e-remittance services in Korea has marked 76.7 percent increase from a year earlier to mark 25 mi

IndustryMarch 25, 2020

[Market Close-up] Battered brokerages to get breather after risky assets tank

South Korea’s brokerage houses suffering from recent losses on risky structured products that placed bets on foreign stock indexes are expected to get some relief after the government allocated a larger-than-expected slice of its stimulus package to the sector.  Reporting on the results of a meeting presided by Moon Jae-in on Tuesday, the Financial Services Commission said authorities would inject 5 trillion won ($4.1 billion) to help securities firms deal with the stress, as part o

MarketMarch 25, 2020