Rise in domestic travel helps smaller airlines

As the impact of the coronavirus pandemic lingers on, some low-cost airlines in South Korea are ramping up domestic flights and cautiously launching new air routes within the country to soften the blow. Low-cost carrier Air Seoul said Monday it would fly four flights between Gimpo and Busan per day starting Aug. 21, as it touted an “extra 3-inch seat pitch” compared to its rivals. “As figures show, the number of passengers at Gimpo Airport is rising and given the trend, we&r

July 28, 2020

Hyundai Motor seeks to acquire GM plant in Russia

Hyundai Motor confirmed Tuesday it is seeking to acquire General Motors’ production facility in St. Petersburg, Russia. “We are discussing acquisition of the plant with GM,” a Hyundai official said. The South Korean carmaker has sought approval from the antitrust agency in Russia, an essential measure to take over the factory. The agency will decide on granting permission if it does not violate the law. The St. Petersburg plant opened in 2008 with an investment of about $30

July 28, 2020

Taihan secures W92.5b power grid project in the UK

Taihan Electric Wire said Monday it has signed a 92.5 billion won ($77.3 million) contract with the UK’s National Grid to supply underground cables and accessories for the London Power Tunnel 2. It is the largest electric grid project to be undertaken by a Korean cable manufacturer in the country, and the company had to fend off stiff competition from other bidders. The bidding process lasted for over a year. “We are excited that we will play a big part in this large-scale, long-te

July 27, 2020

Pessimism soars over HDC-Asiana deal

Market pessimism over HDC Hyundai Development Company’s purchase plan of the country’s second-largest airline grew Monday, with Asiana Airlines stocks plunging. Shares of the airline closed at 3,560 won ($2.98) on Monday, down 2.86 percent from the previous session. However, HDC shares remained almost unchanged and were being traded at 33,100 won. The drop in stock price comes as HDC, which leads a consortium with Mirae Asset Daewoo to take over Asiana, called for another round of

July 27, 2020

FCA Korea chief suspended over sexual harassment allegations

Fiat Chrysler Korea confirmed Monday that President Pablo Rosso has been suspended following allegations of sexual harassment, verbal abuse and assault.  To ensure the integrity of the investigation is upheld, Pablo Rosso has been temporarily suspended from his duties as managing director of FCA Korea, the automaker said. "FCA does not tolerate any form of harassment, abuse or discrimination of our employees or business partners. It is the company’s policy to both immediately

July 27, 2020

Samsung Heavy seeks 3D design approval from ABS

Samsung Heavy Industries said Monday it has become the first shipbuilder to seek approval for its 3D model-based ships from American Bureau of Shipping. ABS sets standards for safety and excellence as one of the world‘s leading ship classification organizations. The South Korean shipbuilder said it began using the design techniques since 2016 but has taken an extra step for approval from ABS. “Shipbuilders must obtain approval from a classification society for the design of ship

July 27, 2020

S. Korea's H1 auto output hits 11-year low amid coronavirus

South Korea's auto output sank nearly 20 percent to an 11-year low in the first half of the year due to the coronavirus outbreak, industry data showed Monday. Industry leader Hyundai Motor Co. and four other automakers produced 1.63 million vehicles in the January-June period, down 19.8 percent from a year earlier, according to the data from the Korea Automobile Manufacturers Association (KAMA). It was the lowest figure since the 1.53 million units produced in the first half of 2009. The sha

July 27, 2020

HDC calls for repeat of due diligence on Asiana to break deadlock

HDC Hyundai Development Co. on Sunday called for an additional round of due diligence on Asiana Airlines as it reaffirmed its interest to close the $2.2 billion deal to take over the country’s second-largest full-service airline. However, this move is casting doubts over the successful closure of the mega-deal to acquire Asiana considering the aggravating financial situation of the airline amid the protracted COVID-19 impact on the aviation industry. The midsized construction unit of H

July 26, 2020

[Behind the Wheel] Renault Samsung’s SM6 returns with more power

INJE, Gangwon Province -- There are no remarkable changes to the exterior, but the revamped version of the Renault Samsung Motors flagship midsized sedan SM6 does appear to have been “reborn with a new heart,” as the automaker describes it. Ambitiously presenting the face-lifted model of the SM6 last week, Renault Samsung Motors invited reporters to the Inje Speedium, a 3.91-kilometer circuit in Gangwon Province, on July 16 to test-drive the car on the track and nearby winding roa

July 26, 2020

Jeju Air pulls plug on Eastar Jet with nowhere to go

After months of negotiations and trading barbs, Jeju Air finalized its decision Thursday to scrap its plans to purchase Eastar Jet -- a decision that Jeju said was inevitable amid uncertainties, but was detrimental to the Eastar Jet that now faces real risk of bankruptcy. 　 “Despite the government’s willingness to support and mediate, the level of uncertainty facing Jeju Air was too high to move forward with the acquisition,” the airline said in a statement. Jeju Air, South K

July 23, 2020

New models defend further drop in Hyundai earnings

Korea’s largest automaker Hyundai Motor posted half of its operating profit in the second quarter from a year earlier. But the earnings still came above market expectations due to the launch of new models. 　 Hyundai Motor’s operating profit fell 52 percent to 590 billion won ($493 million) and sales dropped 19 percent to 21.86 trillion won, according to the firm’s regulatory filings Thursday. Net profit fell 62 percent to 377 billion won. The automaker said, “The globa

July 23, 2020

Air traffic for world’s busiest Jeju-Seoul route falls by 30%

In the midst of the coronavirus pandemic, traffic for the world’s busiest air route between Seoul and Jeju fell by nearly 30 percent during the first six months of the year, compared to the same period last year. Nearly 5.59 million passengers made trips on the route between January and June – a 31 percent drop from last year’s figure of 8.18 million, according to data from Korea Airports Corporation, a public enterprise behind Gimpo Airport. In a report from aviation analys

July 22, 2020

Korean Air closes European, Southeast Asian HQ amid pandemic

South Korea’s flag carrier Korean Air said Tuesday it has closed its regional headquarters in Europe and Southeast Asia in an effort to “streamline” business operations as the coronavirus pandemic continues. A company official said the move was made to respond to the “changing business environment more quickly and effectively.” The work that had been undertaken by the regional headquarters will be handled by other regional branches. “We will create a globa

July 21, 2020

Chartered flights to bring bizmen to Vietnam, China this week

South Korea said Tuesday it plans to send businessmen on chartered flights to Vietnam and China this week as the new coronavirus pandemic has virtually suspended global air traffic, disrupting their travels. Under the plan, around 570 businessmen from 240 companies will start being sent to Vietnam on chartered airplanes Wednesday, according to the Ministry of Trade, Industry and Energy. Through August, South Korea plans to send 1,500 workers to the Southeast Asian nation. The flight to Chin

July 21, 2020

Samsung, Hyundai Motor heirs set to discuss cooperation in mobility biz

Heirs of South Korea's top two conglomerates -- Samsung and Hyundai Motor -- will discuss possible cooperation in the electric vehicle (EV) and mobility businesses, the groups said Tuesday. Lee Jae-yong, Samsung's de facto leader, shared his views on future mobility solutions with Hyundai Motor Group Executive Vice Chairman Chung Euisun following his visit to the automaker's Namyang Research & Development Center in Hwaseong, south of Seoul.  Lee was accompanied by Samsung Electronic

July 21, 2020

Tesla Model 3 on hire in Seoul: SK Rent-a-Car

South Korea’s rental service firm SK Rent-a-Car said Monday it has launched a rental service for Tesla Model 3 at its 10 branches in Seoul and Gyeonggi Province “As demand for electric vehicles continues to increase, we have recently released new products of Tesla, the most favored EV of customers,” a company official said. A total of 21 Tesla Model 3 units will be offered as short-term rental cars. Customers can make reservations through the firm’s website or custome

July 20, 2020

Volvo Cars Korea ditches diesel to go all hybrid from 2021

Volvo Cars Korea said Monday it will no longer offer pure diesel or gasoline cars starting with its 2021 models and instead sell only hybrid cars. According to the automaker, Volvo cars will be available only in mild hybrid or plug-in hybrid vehicles starting with its 2021 models in Korea, as it aims to become carbon neutral by 2040. Korea will be the first country where Volvo won’t sell pure diesel cars at all, the company said. Volvo Cars Korea will replace D5, T4, T5 and T6 inte

July 20, 2020

Incheon Airport ditches controversial ‘phoenix-inspired’ logo option

Incheon International Airport Corp. says it is not going forward with a mythical bird-inspired logo for the corporation’s 20th anniversary next year after a leaked image online drew criticism. In an emailed statement on Sunday, the company confirmed it had ditched the new corporate identity design after “considering the majority’s opinions.” “It’s regretful that the draft was misreported as an official one,” the company said as it explained it was one

July 20, 2020

SsangYong reveals teaser of first EV E100

SsangYong Motor on Monday unveiled a teaser image of its first electric vehicle, which has been developed under the project name “E100.” The automaker’s new, electric subcompact sport utility vehicle is set to be released in the first half of next year. Prior to the launch of the new EV, the automaker released an image that graphically expresses its exterior design. The firm said the overall design is based on a streamlined line that reflects aerodynamics optimized for urban

July 20, 2020

Korea Shipbuilding wins W86b order from Europe

Korea Shipbuilding & Offshore Engineering Co. said Monday that it has won an 86 billion won ($71 million) deal from a European company to build two petrochemicals (PC) carriers. Under the deal, Hyundai Mipo Dockyard Co., a shipbuilding unit of Korea Shipbuilding, will start constructing the ships in November and deliver them to the buyers from the second half of 2021, Korea Shipbuilding said in an e-mailed statement. The deal has an option to build an additional PC carrier. So far thi

July 20, 2020