LG Display secures W1tr from sister unit

LG Display has decided to borrow 1 trillion won ($770.1 billion) from LG Electronics to secure operation funds, as the Korean display maker struggles to make ends meet amid sluggish demand. In a regulatory filing on Monday, LG Display said it decided to borrow 1 trillion won from LG Electronics at an interest rate of 6.06 percent for three years starting from Friday. The display maker would only be obligated to pay the interest during the first two years, and must pay back the loan by the rema

March 28, 2023

Incheon Airport CEO resigns under political pressure

Incheon International Airport Corp. CEO Kim Kyung-wook said Tuesday he offered to resign, citing political pressure from Transport Minister Won Hee-ryong. “I have expressed my intention to resign to the Land, Infrastructure and Transport Minister on March 23 that I will be stepping down from the post on April 28,” said Kim during a press conference at Incheon Airport. “I asked the minister to withhold the news release until I resign as a courtesy. But somehow, a local news outl

March 28, 2023

GS Group joins forces to support Busan’s Expo bid

Energy-to-construction conglomerate GS Group said Tuesday it has hung banners supporting Busan’s bid to host the 2030 Expo outside the office buildings of its key affiliates. The group hung a large promotional banner at the entrance of the main gate of GS Tower, its headquarters in Yeoksam-dong, southern Seoul, while covering the outer wall of the landmark with a separate banner containing the phrase “World Expo 2030, Busan Korea.” The Grand Seoul Building, the office building

March 28, 2023

Mirae Asset Securities unveils 2023 outreach plans

South Korea’s largest investment bank and securities firm Mirae Asset Securities on Tuesday unveiled plans for this year’s social contribution activities that all employees, including Chairman Choi Hyun-man, will carry out throughout the year. In March, the company plans to publish environment-related pop-up books to donate to local child care centers. In April and May, it will continue the environmental projects such as cultivating forests and picking up trash along the Han River. I

March 28, 2023

Seoul shares open higher on easing banking crisis

Seoul shares opened higher Tuesday due to the eased banking crisis in the wake of tightening monetary policies in major economies. The benchmark Korea Composite Stock Price Index moved up 11.89 points, or 0.49 percent, to 2,421.11 in the first 15 minutes of trading. The market has been bracing for a banking crisis sparked by unprecedented rate hikes in major economies. Most large caps traded higher in Seoul on Tuesday. Market bellwether Samsung Electronics added 0.32 percent, and SK hynix gained

March 28, 2023

The global banking crisis and world economy

By Jeffrey D. Sachs The banking crisis that hit Silicon Valley Bank at the beginning of March has now spread rapidly and widely. We recall with a shudder two recent financial contagions: the 1997 Asian Financial Crisis, which led to a deep Asian recession, and the 2008 Great Recession, which led to a global downturn. The new banking crisis hits a world economy already disrupted by the pandemic, the Ukraine War, Western sanctions on Russia, US-China tensions, and climate shocks. At the root of

March 28, 2023

[Graphic News] S. Korea’s beef imports hit record high in 2022

South Korea’s imports of beef reached a record high last year on growing demand for the meat and the government’s zero-tariff scheme, data showed. The country’s beef imports came to 477,000 metric tons in 2022, the largest volume ever, compared with 453,000 tons a year earlier, according to the data from the Korea Rural Economic Institute. Beef imports have been on a constant rise in recent years, and last year’s figure marked a 60 percent growth from that in 2015, the in

March 28, 2023

[Herald Interview] Rebellions aims to be 'next Samsung' in AI chips

Park Sung-hyun, co-founder and CEO of South Korean chip designer Rebellions, compared the latest buzz over artificial intelligence-powered chatbot ChatGPT to that of the first iPhone decades ago. “This is a kind of industrial revolution. There may be no drastic change immediately, but we don’t know how far AI will go in replacing humans in the future,” Park told The Korea Herald in a recent interview, adding that it was the iPhone 3 that started bringing drastic changes across

March 27, 2023

Korea mulls measures to spur spending amid inflation woes

The government is expected to unveil its scheme to invigorate domestic spending and tourism this week, amid stagnant exports struggles, to shore up the economy. The Ministry of Economy and Finance and Ministry of Culture, Sports and Tourism are drawing up measures chiefly aimed at reviving the local tourism industry, which remains depressed in the aftermath of the COVID-19 pandemic. Authorities are looking at ways to launch a coupon program that provides a certain discount when booking hotel

March 27, 2023

Hana chief hints at rate cuts for borrowers

Hana Financial Group Chairman Ham Young-joo on Monday hinted at adjusting interest rates as part of efforts to ease the growing financial burdens of customers. Ham, at a meeting with executives across affiliates to mark his first anniversary in office, emphasized the need to thoroughly review the system that determines interest rates and fees for financial products. He also urged executives to be more flexible in reviewing interest rate reduction requests from customers and to preemptively tac

March 27, 2023

[K-Financiers] ‘Vietnam’s rising middle class will drive growth of capital market’

This is the fourth installment of a series of interviews on chiefs who run overseas units of Korean asset management, banking and securities companies, examining their key strategies for global expansion. -- Ed. Though Vietnam’s financial market has not yet matured, when it does, it will come out in full bloom, said Kim Jong-seok, CEO of NH Securities Vietnam, the Vietnamese arm of Seoul-based NH Investment & Securities. Over the past few years, Vietnam’s economy has been outpa

March 27, 2023

Hyundai Glovis, GS Energy to work together for green energy business

Hyundai Glovis announced Monday that it has signed a memorandum of understanding with GS Energy for cooperation in clean hydrogen, ammonia, and green energy at its Seoul headquarters. According to the agreement, Hyundai Glovis will be in charge of maritime transportation for the clean hydrogen and ammonia business. GS Energy will supervise the production of hydrogen and ammonia with the establishment of import terminals. Hyundai Glovis previously invested 200 billion won ($153 million) in buildi

March 27, 2023

Mask sales up despite lifted mask mandate

Mask sales are still growing a week since the lifting of the mask mandate for public transportation, according to sales data compiled from online shopping sites Monday. The South Korean government has been gradually easing mask-wearing rules starting with wearing masks outdoors last May and in most indoor spaces earlier this year. Most recently, last Monday, the indoor mask rule for public transportation, including subways, buses and taxis, was lifted as well, though experts still strongly advis

March 27, 2023

Seoul shares end lower amid recession worries

Seoul shares ended lower Monday as signs of trouble at the major European lender Deutsche Bank renewed concerns over the health of the global financial system. The local currency fell against the US dollar. The benchmark Korea Composite Stock Price Index dropped 5.74 points, or 0.24 percent, to close at 2,409.22. Trading volume was moderate at 465.77 million shares worth 8.4 trillion won ($6.5 billion), with decliners outpacing gainers 555 to 313. Investors remain concerned over the risk of a re

March 27, 2023

Asiana Airlines speeds up integration with Korean Air

Asiana Airlines said Monday it has formed a task force to accelerate the business integration process with Korean Air. The task force, headed by Asiana Airlines Vice President Won Yoo-suk, consists of a total of 42 staff and executives. Legal and strategic planning units will oversee the task force. The passenger and cargo business, finance and public relations units will also be collecting data requested by the remaining three jurisdictions -- the European Union, the US and Japan -- from whic

March 27, 2023

LG stays low key on its 76th anniversary

South Korea’s fourth largest conglomerate LG Group marked its 76th anniversary on Monday. Unlike last year, the group did not plan a special event and LG Group Chairman Koo Kwang-mo did not deliver a celebratory message. “We usually do not really plan events on anniversaries, unless it is every five or 10 years. Last year was a little different because it was the 75th year,” an LG Group official told The Korea Herald. For last year’s anniversary, Koo delivered an encourag

March 27, 2023

[From the scene] Typhoon-hit Posco mill in Pohang comes back stronger

POHANG, North Gyeongsang Province -- Some 7,000 metric tons of molten iron at 1,200 degrees Celsius and consisting of smelted iron ore, coke and limestone is poured from a gigantic industrial ladle into a furnace to be purified at Posco's steel mill. The purified molten steel is then poured into molds, where water vapor rises with deafening hisses as the iron is instantly cooled. Semi-finished materials, called slabs, become visible as the water vapor dissipates. They are quickly moved alon

March 27, 2023

KT's CEO pick resigns under political pressure

South Korea's telecom giant, KT Corp., said Monday that its CEO nominee has decided to resign, four days ahead of the company’s shareholders’ meeting that was set to take a vote on the new chief. KT's group transformation division head, Yun Kyung-lim, indicated his intention to give up the company leadership to the board of directors. The decision came as he believed it would be best for a new CEO to be elected through the firm’s government improvements, which excee

March 27, 2023

[Photo News] New Sonata

Hyundai Motor Company on Monday unveiled the design of its new Sonata, the eighth-generation model of the Korean automaker's popular midsize sedan. The new Sonata embodies the brand's design philosophy of "Sensuous Sportiness" with its seamless horizon lamp on the front. The vehicle will be on display to the public for the first time at the Seoul Mobility Show slated from March 31 to April 9 at Kintex in Gyeonggi Province.

March 27, 2023

Local banks show no signs of withdrawal problems: regulator

South Korea's financial regulator said Monday that local banks showed no signs of abnormality in their withdrawal and deposit operations. The assessment by the Financial Supervisory Service came amid concerns of a global banking crisis following the recent failures of two US banks -- Silicon Valley Bank and Signature Bank -- and the stock plunge of Deutsche Bank, Germany's largest bank. Only a small number of customers with deposits exceeding 50 million won ($38,400), the maximum amoun

March 27, 2023