[LOTTE CRISIS] Hotel Lotte withdraws IPO as embezzlement probe deepens

[THE INVESTOR] Hotel Lotte on Monday officially canceled its initial public offering scheduled for next month, as a large-scale embezzlement probe into the group and its affiliates deepened with emerging reports of confirmed wrongdoings.“We are pushing back our IPO to a later time and cancelling all remaining procedures in consideration of Lotte’s current circumstances and investor interests,” Hotel Lotte said in an emailed statement.“Listing the company is an integral part of reforming Lotte Gr

June 13, 2016

Ulterior motives behind the mass Lotte-raid?

Lotte Group’s shareholding structure -- dominated by Japanese entities -- and its wrongdoings during the previous administration are behind the prosecution’s raid on the conglomerate, local news outlets have alleged since the June 10 raid.The Seoul Central District Prosecutors’ Office carried out simultaneous raids on 17 locations linked to the group including Lotte Group headquarters, and the homes of a number of key executives.The office of Lotte Group founder Shin Kyuk-ho and chairman Shin Do

June 13, 2016

[Photo News] Hyundai wins WRC

Hyundai Motor’s driver Thierry Neuville won the sixth round in the drivers division of the 2016 World Rally Championship in Sardinia, Italy that took place June 9-12, bumping Hyundai Motor to second place in the manufacturer division behind Volkswagen. Neuville brought Hyundai Motor to victory with the automaker’s new generation i20 World Rally Car. (Hyundai Motor)

June 13, 2016

Carmakers intensify competition in plug-in hybrid car sector

Kia Motors Corp., South Korea's second-largest carmaker, said Monday it plans to roll out a plug-in hybrid version of its K5 midsize sedan next month, the latest in a series of moves by carmakers to jostle for a position in the country's nascent market for eco-friendly vehicles.The vehicle, debuted at the Busan International Motor Show earlier this month, can travel up to 44 kilometers in electric mode. When the battery runs out, the vehicle can be switched to hybrid mode.Kia's larger sister com

June 13, 2016

[Herald Interview] Mobile app brings change in used-car market

Mobile app-based start-ups offering a business platform are changing the used car market, attracting car buyers seeking a better deal.Mobile trading is a new growth area for the used-car market in Korea, which has long been dominated by the traditional offline dealer-based transactions. Hey Dealer is one such newly created mobile application offering O2O services to used-car buyers. “Hey Dealer seeks to match offline used-car dealers with customers who want to sell their cars with minimal effort

June 12, 2016

Accumulative global EV sales exceed 1 million units in 2015

The accumulated global sales of electric cars surpassed 1 million units for the first time last year, proving the eco-cars can take root as a segment of the global auto market, according to an annual research report released by the International Energy Agency, a leading global energy think tank, on June 6. IEA’s global EV outlook for 2016 showed the accumulated sales of electric cars across the world reached 1.26 million units last year.  Kia Motors’ Soul EVs are lined up for charging in Seoul.

June 12, 2016

Korea backpedals in green car push: experts

The government is backpedaling in its push to boost the nation’s electric vehicle market as it reduces benefits to EV buyers, including in state subsidies, experts claimed. 　The nation’s green vehicles -- electric, hybrid and plug-in hybrid cars -- registered from January to April this year stood at 15,000 units, about a 3 percent share of the total new cars of 480,000 units. This indicates that the government’s goal of replacing 30 percent of new cars with green vehicles by 2020 will be hard to

June 12, 2016

[Photo News] Hyundai's Tucson FCEV for car-sharing

Hyundai Motor’s Europe CEO Thomas Schmid (left) and Linde AG’s member of the executive board Christian Bruch pose on Friday at the headquarters of Linde Group located in Munich, Germany. The ceremony was held to mark the delivery of Hyundai’s hydrogen fuel cell electric vehicle ix35 FCEV, or Tucson FCEV, to be used as for car-sharing service. (Hyundai Motor)

June 12, 2016

Lotte group raided over alleged slush fund, corruption

[THE INVESTOR] The prosecution raided the head office of Lotte Group, the nation’s fifth-largest conglomerate, and its seven affiliates in Seoul on Friday over allegations that they created a multibillion won slush fund through shady asset transfers between subsidiaries as well as possible capital inflow to Japan.(Yonhap)More than 200 investigators combed 17 Lotte offices including residences of Lotte chairman Shin Dong-bin and other top executives and the secluded office of Lotte founder Shin K

June 10, 2016

Kia Motors picked as most satisfying brand in U.S.

Kia Motors Corp., South Korea's No. 2 automaker, has been named as the popular brand with the highest satisfaction in the U.S., according to an automotive research company Friday. Kia, affiliated with South Korea's largest automaker Hyundai Motor Co., was recognized as the most satisfying popular brand by U.S.-based AutoPacific Inc.  This year's awards were given based on a survey of 65,000 owners of new vehicles, where respondents evaluated their cars across 50 categories including safety featu

June 10, 2016

Prosecutors say Volkswagen sold vehicles with unauthorized exhaust pipes

Seoul prosecutors said Thursday Volkswagen, faced with an emissions cheating scandal, appears to have sold thousands of vehicles with unauthorized exhaust pipes.Seoul Central District Prosecutors' Office said Audi Volkswagen Korea arbitrarily changed key parts that affect emissions on about 50,000 cars, including Audi A7s, without getting authorized by the Ministry of Environment.Under the local law, failure to be authorized for changes could lead to a fine of up to 10 billion won (US$8.62 milli

June 9, 2016

Newcomers to Korea’s tax-free market in all-out war

[THE INVESTOR] Step into the doors of the third-floor entrance of HDC Shilla Duty Free in Yongsan, central Seoul, and it’s a whole new world. The gleaming marble floors, the endless showcases stamped with global cosmetics brand names and the air filled with a faint floral scent are in stark contrast to the surrounding area, known best for its American military base. Visitors watch 360-degree LED displays surrounding a swing ride, created by Belgian artist Carsten Holler, at Shinsegae Duty Free’s

June 9, 2016

Hyundai Mobis receives temporary license plate for testing self-driving technologies

South Korea's top auto parts maker Hyundai Mobis Co. said Thursday that it has received a temporary license for testing self-driving technologies, the latest in a series of moves by Seoul to develop autonomous vehicles.It marks the first time that a local auto parts maker has received a license for test driving.Hyundai Motor, a flagship unit of the South Korean auto giant Hyundai Motor Group, received a license in March to test drive its Genesis luxury sedan equipped with a high-tech driving ass

June 9, 2016

Samsung SDI shares rebound after Musk remarks

[THE INVESTOR] South Korean battery-maker Samsung SDI’s shares rebounded Thursday after Tesla Motors chief executive Elon Musk said the Korean firm may supply batteries for its energy unit. Earlier on Wednesday, Samsung SDI’s shares had tumbled 8 percent, as Musk denied news reports that Tesla would procure batteries for its electric vehicles from the Korean battery-maker. YonhapHe tweeted, “Would like to clarify that Tesla is working exclusively with Panasonic for Model 3 cells. News articles c

June 9, 2016

E-mart enters soju market

[THE INVESTOR] Discount retailer E-mart is entering the soju market with the acquisition of Jeju Soju, the company said Thursday.The two companies signed a provisional contract, with final terms and conditions to be negotiated before the final agreement.Jeju Soju’s two lines of soju (Jeju Soju website)Reports estimate the deal to be worth around 30 billion won ($26 million), but Shinsegae Group, the parent company of E-mart, said that the deal price could not be confirmed until final negotiation

June 9, 2016

Kia Motors strikes deal with Mexico on incentives

Kia Motors Corp. said Thursday that it has reached a deal with the northern Mexican state of Nuevo Leon on incentives, giving a boost to South Korea's second-largest carmaker in running its plant in Mexico.The two sides said in a joint statement after a signing ceremony in Nuevo Leon that they found a reasonable middle ground, Kia Motors said.A company official said the deal would cover infrastructure such as roads, railways, electricity and industrial water for the plant, noting no significant

June 9, 2016

Car exports dip for seventh consecutive month in May

South Korea's automobile exports fell for the seventh straight month in May due to faltering demand from emerging markets, the government said Thursday.Outbound shipments of vehicles came to 218,655 units last month, down 11.6 percent from 247,343 units tallied a year earlier, according to the Ministry of Trade, Industry and Energy.The May figure narrowed from a 19.7-percent on-year drop in April, the largest decline since September 2009 when it plunged 22 percent in the aftermath of the global

June 9, 2016

Hyundai's Porter truck best-selling vehicle in first five months

Hyundai Motor Co.'s Porter truck was the best-selling vehicle in South Korea in the first five months of this year, industry data showed Thursday, in a sign that the relatively cheap commercial model appealed to small self-employed merchants.The country's largest automaker sold a total of 44,696 units of the Porter 1-ton truck during the January-May period, according to the data.If the current sales pace continues, the Porter could become the best-selling vehicle not only in the first half but f

June 9, 2016

[Graphic News] Imported vehicle sales rebound in May

Registrations for imported vehicles increased in May, according to the Korea Automobile Importers and Distributors Association on Wednesday. May recorded 19,470 new registrations, a 5.9 percent increase from the same month last year, which saw 18,386 registrations. The month’s total number of registrations was also a 9.1 percent increase from the previous month at 17,845 registrations. Despite monthly imported car sales reaching 24,366 vehicles last year in December, car sales have since been st

June 8, 2016

Continental may participate in bidding for Kumho Tire

German automotive firm Continental AG’s interest in acquiring local tire company Kumho Tire has increased the pressure on Kumho Asiana Group chairman, as he has to solely prepare around 1 trillion won ($8.6 billion) to reacquire the firm. Local news reports said Tuesday Continental is in talks with financial investors to participate in the bidding for the Korean tire company, citing sources from the creditors of Kumho Tire. Other global firms, including French tire firm Michelin and Chinese stat

June 8, 2016