Phone market to grow slowly amid parts shortages

Despite recent releases from Samsung Electronics and Apple featuring the most advanced technologies so far, the global smartphone market is forecast to grow slowly as phone vendors struggle to secure components, including semiconductors, amid ongoing shortages worldwide. According to a recent report from market researcher Counterpoint Research, the total shipment volume of smartphones for 2021 is expected to grow 6 percent to 1.41 billion units. The growth forecast was lowered from the resea

TechnologyOct. 5, 2021

Toss Bank kicks off full operation, targeting low-credit borrowers

Toss Bank, South Korea’s third internet-only bank, commenced full operations on Tuesday, highlighting its user-friendly financial services that differentiate itself from rivals quickly expanding their presence in the emerging market. Under the slogan of “New Banking, New Bank,” the online-only lender showcased its convenient deposit banking and loan service fit for as many users as possible, including thin filers with little credit history and low-credit borrowers. “Ev

MarketOct. 5, 2021

DSME workers call for withdrawal of Daewoo Shipbuilding sale

Unionized workers at Daewoo Shipbuilding & Marine Engineering Co. (DSME) on Tuesday called for the withdrawal of the shipbuilder's sale to its local rival Hyundai Heavy Industries Holdings Co. (HHIH). In a press conference held at Geoje City Hall, about 400 kilometers south of Seoul, the workers said the government should withdraw the sale of DSME as the deal fell apart for the fourth time. In March 2019, HHIH, the holding company of Hyundai Heavy Industries Group, signed the deal with the s

IndustryOct. 5, 2021

Kospi slumps below 3,000 points for first time in 6 months

South Korea’s key stock index plunged below the 3,000-point threshold Tuesday for the first time in nearly seven months on the back of losses in top-listed firms. The benchmark Kospi tumbled 57.01 points, or 1.89 percent, to close at 2,962.17 points, the lowest closing since March 10, when it marked 2,958.12 points. It was also the first time the index dropped below 3,000 points at the closing bell, when the index closed the session at 2,996.35 on March 24. On the back of high liquidity,

MarketOct. 5, 2021

[Feature] Fractional share trading in S. Korea faces regulatory hurdles

Fractional trading in South Korea will kick off next year, offering retail investors wider access to the nation’s stock market. But the new trading system, if implemented without detailed legal consideration, might cause market disruption among investors, regulators and even legislators, experts say. Some even claim the system might have limited impact in the local stock market for quantitative growth, saying that the market has few “expensive” equity shares that might be sui

MarketOct. 5, 2021

Kakao founder apologizes for controversy over aggressive biz expansion

Kim Beom-su, the founder of South Korean internet giant Kakao Corp., apologized Tuesday over the controversy surrounding the company's rapid expansion in recent years, which some criticize has driven small businesses into a corner. Kakao has faced growing scrutiny from lawmakers and regulators in recent months over the far-reaching influence of its online platform that has been accused of taking business away from mom-and-pop stores. "I am sorry for having caused the controversy," Kim

IndustryOct. 5, 2021

Korea’s renewable energy too expensive, shunned by private companies

Local companies have little incentive to migrate to clean energy for their electricity needs, as power prices charged by renewable energy producers and suppliers are still higher than the cost of offsetting carbon emissions. According to Ministry of Trade, Industry and Energy data obtained by Rep. Hong Jung-min of the ruling Democratic Party, purchasing electricity generated by renewables is about 50 percent more expensive than offsetting greenhouse gas emissions through buying carbon credit

IndustryOct. 5, 2021

Samsung Electronics kicks off wage negotiation with union

Samsung Electronics and its unions held their first wage talks Tuesday at the company’s plant in Yongin, Gyeonggi Province, industry sources said. Samsung‘s management and the unions will continue their negotiations in the following weeks to decide changes to union members’ terms of employment. Unionized workers have demanded a uniform raise in salary by 10 million won ($8,400), plus cash and stock bonuses worth 4.5 million won in total. The union also requests managemen

TechnologyOct. 5, 2021

S. Korean stock market nosedives to almost 7-month low

South Korean stocks plunged to an almost seven-month low Tuesday, as investor sentiment was weakened by the debt ceiling tussle in the United States and debt crises involving Chinese property developers. The Korean won closed unchanged against the US dollar. The benchmark Korea Composite Stock Price Index (Kospi) tumbled 57.01 points, or 1.89 percent, to close at 2,962.17 points, the lowest finish since March 10. Trading volume was moderate at about 830 million shares worth some 15.1 trillion wo

MarketOct. 5, 2021

FKI urges Japan’s new Cabinet to lift export restrictions against Korea

Japan’s export restrictions on three key industrial materials critical for South Korea’s chip and display industries has had little impact against the target materials, but worsened overall trade between the two countries, a major business representation group here said Tuesday. Releasing an analysis, the Federation of Korean Industries urged Japan and its new Prime Minister Fumio Kishida to lift the export restrictions the country imposed against Korea in July 2019. According t

IndustryOct. 5, 2021

[Newsmaker] Finance minister blasted for failing to curb housing prices

Finance Minister Hong Nam-ki came under fire during a parliamentary inspection on Tuesday for failing to stop the relentless rise in housing prices despite dozens of policy measures implemented in recent months. To address the nationwide outcry over soaring housing prices, the Moon Jae-in administration has introduced 26 sets of real estate policies. The latest centered on raising taxes on owners of multiple homes and rooting out property speculation. But there are signs these policies may ba

EconomyOct. 5, 2021

Hahn & Co. eyes W300b in partial exit from secondhand car retailer IPO

South Korea-based private equity firm Hahn & Co. is poised to cash in on 306.6 billion won ($258.1 million) from an initial public offering of a fully-owned secondhand car retailer K Car on Wednesday, according to a prospectus Tuesday. The deal is aimed at floating Hahn & Co.’s 25.5 percent stake, or 12.3 million shares, in K Car, plus 1.2 million new shares. The IPO price of K Car, which is valued at 1.2 trillion won, has been fixed at 25,000 won apiece. Hahn & Co.’s

MarketOct. 5, 2021

Digital transformation drives out bank branches, ATMs: data

Amid the rapid digital transformation brought on by the COVID-19 era, local banks have increasingly turned their backs on brick-and-mortar branches and automated teller machines, data showed Wednesday. The number of physical bank branches stood at 6,326 as of the end of June, down 10.9 percent from the end of 2016, when the figure came in at 7,101, according to data from the market watchdog Financial Supervisory Service submitted to Rep. Yoo Dong-soo of the ruling Democratic Party. Meanwhile,

MarketOct. 5, 2021

Samsung heir stays S. Korea's richest stockholder

Lee Jae-yong, the chief of South Korea's top conglomerate Samsung Group, remains the country's richest stockholder despite a fall in the value of his shareholdings, a corporate tracker said Tuesday. Stock holdings of Lee, vice chairman of global tech titan Samsung Electronics Co., were valued at 14.17 trillion won ($11.9 billion) as of end-September, the largest among local conglomerate owners, according to Korea CXO Institute. Yet the value of his stock holdings was down about 1.39 trillion won

EconomyOct. 5, 2021

Online shopping rises 16.8% in Aug. amid pandemic

Online shopping in South Korea grew 16.8 percent from a year earlier on solid demand for food delivery services and foodstuffs amid the protracted pandemic, data showed Tuesday. The value of online shopping transactions stood at 15.8 trillion won ($13.3 billion) in August, compared with 13.5 trillion won the previous year, according to the data from Statistics Korea. The August reading fell from a record high of 16.2 trillion won in July, but the value of online shopping reached more than 15 tri

EconomyOct. 5, 2021

Hanjin Heavy bags W311b order for 4 container carriers

South Korean shipbuilder Hanjin Heavy Industries & Construction Co. said Tuesday that it has obtained a 310.5 billion won ($261.4 million) order to build four container carriers. Under the deal with a European shipper, Hanjin Heavy will deliver the vessels by November, 2023, the company said in a regulatory filing. In April, creditors of Hanjin Heavy, led by the state-run Korea Development Bank (KDB), signed a deal with a consortium led by local builder Dongbu Corp. to sell it a 66.85 percen

IndustryOct. 5, 2021

Daewoo Shipbuilding gets approval for design of cyber safety solutions for ship

Daewoo Shipbuilding & Marine Engineering Co. (DSME) said Tuesday that it has won approval for the design of its cyber safety solutions for ships from ABS, a US ship quality assurance and risk management company. The solutions, named DSME Smartship Solutions (DS4), will be used to protect the data and software of ships from outside hacking, the shipbuilder said in an emailed statement. The PDA (product design assessment) approval for the DS4 means the DS4 is designed under the standard for th

IndustryOct. 5, 2021

Apple Watch 7 to be launched in S. Korea next week

Apple Inc.'s new smartwatch will be launched in South Korea next week, the US tech titan said Tuesday, as it eyes to beef up its presence on the home turf of its archrival Samsung Electronics Co. Apple Watch Series 7 will be available here from Oct. 15, with preorders starting from Friday, according to the company. Its starting price has been set at 499,000 won ($420). Apple's latest smartwatch features a nearly 20-percent-larger screen and 40-percent-thinner bezel than its predecessor at 1.7 mi

IndustryOct. 5, 2021

LG Electronics' innovation group expanded for future growth

LG Electronics Inc. said Tuesday it has expanded its technology discussion group as the company tries to better explore its future growth engines. LG Electronics said its Innovation Council now involves other LG Group affiliates, including South Korea's No. 1 chemical company LG Chem Ltd., telecommunications giant LG Uplus Corp. and IT service arm LG CNS Co. The Innovation Council, a networking group with industry experts, was launched by LG Electronics in July 2020 to seek new business opportun

IndustryOct. 5, 2021

Samsung Display continues to dominate smartphone panel market in H1: report

Samsung Display Co., a major display panel maker in South Korea, dominated the global smartphone panel market in the first half of the year, a report showed Tuesday, though its market share declined slightly from a year earlier. Samsung Display, an affiliate of top smartphone maker Samsung Electronics Co., grabbed a 48 percent revenue share in the global smartphone display panel market in the first six months of 2021, down from a 50 percent share a year earlier, according to a report from market

IndustryOct. 5, 2021