‘No assistance to SsangYong Motor if labor dispute unresolved’

Policy lender Korea Development Bank Chairman Lee Dong-gull said Tuesday that SsangYong Motor’s fate on getting financial assistance depends on its promise of stopping labor disputes until the cash-strapped company marks a turnaround. “We’ve seen many debt-ridden companies face strikes every year during annual negotiations between the labor union and management. To get rid of internal discord, the one-year group agreement needs to be extended to 3 years,” he said at the

Jan. 12, 2021

[News Analysis] Is Korea prepared for vaccine rollout?

The first batch of COVID-19 vaccines may arrive here in the coming weeks, as President Moon Jae-in on Monday announced the launch in February of the nationwide vaccination campaign. When it comes to the jab itself, South Korea says it has secured more than enough vaccine to inoculate its 51.6 million population. The question now is whether the country can handle all the logistical challenges required to take vaccines from the factory floor to patients’ arms. To administer the shots as q

Jan. 12, 2021

Retail investors unnerved by plan to lift ban on short-selling

Concerns over the government‘s announcement that it would end a temporary ban on short-selling rose among retail investors Tuesday, as they claim that the reactivation of such trading practice could create market disruptions. The Financial Services Commissions said it would end the prohibition on the trading strategy that makes a negative bets on stocks on March 15, as planned. The ban was imposed to prevent market volatility in the aftermath of COVID-19 pandemic in March last year for

Jan. 12, 2021

mRNA the key term at JP Morgan Healthcare Conference

Taking place amid the ongoing COVID-19 pandemic and accelerating progress for vaccine distribution, the 39th annual JP Morgan Healthcare Conference was all about mRNA vaccine developers and interested investors. At the event, which kicked off virtually for the first time in 2021 on Monday, multiple pharmaceutical firms including the recently newsworthy BioNTech and Moderna presented their yearly business blueprints. South Korea’s Hanmi Pharmaceutical also took part, proposing its newest b

Jan. 12, 2021

S. Korea to win back air control rights over southern Jeju sea

South Korea, China and Japan have agreed to a new air corridor over the sea south of Jeju Island following safety concerns over the growing air traffic in one of the busiest airspaces in the world, according to the Ministry of Land, Infrastructure and Transport. The new move, which is set to take effect in late March, will give Korea air traffic control over parts of the airspace previously controlled by air traffic authorities in Japan with dual airways set to be established in the section con

Jan. 12, 2021

Nongshim expands vegan brand Veggie Garden

Responding to heightened public interest in environmental protection, Nongshim will aggressively promote its vegan food brand Veggie Garden this year, the South Korean food company said Tuesday. Veggie Garden is a convenience food brand developed by the Nongshim R&D Center and the group’s affiliate Taekyung Nongsan, using a manufacturing technology for plant-based meat alternatives. “After we came up with our test products in 2017, we worked with famous vegan chefs in Seoul t

Jan. 12, 2021

GM Korea shows strong performance in export

General Motors Korea pulled off a strong performance last year in overseas markets, the automaker said Tuesday. The company shipped 285,499 vehicles overseas last year, ranking top among foreign-invested car brands here in terms of export volume, the company said. GM Motors beat Renault Samsung Motors and SsangYong Motor by about 14 times. In the domestic market, GM Korea said it sold 82,954 cars in Korea in 2020, losing by a small margin to Renault Samsung and SsangYong, which sold 95,93

Jan. 12, 2021

[Market Close-up] Kospi’s dizzy new heights: Asset bubble or market reality?

As South Korea’s main bourse continues its upward movement backed by an unprecedented buying spree by individual investors, some analysts said Tuesday warned that it might be overheating. “The level of return on equity calls for a cautious approach at the moment. You could say the market is heading upward for many reasons, but it’s too fast,” said Kim Han-jin, a senior analyst at KTB Investment and Securities. ROE is the rate of return on the capital provided by the c

Jan. 12, 2021

[CES 2021] ‘AI would matter more in life after COVID-19’

Artificial intelligence would take on a bigger role in people’s lives after the COVID-19 pandemic, according to forecasts by industry researchers at the Consumer Electronics Show 2021 Tuesday. During an online press conference held on the first day of the annual tech tradeshow, researchers at the event’s organizer US-based Consumer Technology Association, pinpointed AI being at the center of changes occurring across industries since the virus outbreak and will gain more growth mo

Jan. 12, 2021

Kolon Industries to expand tire cord plant in Vietnam

Kolon Industries, a South Korean industrial materials company, said Tuesday it will expand its tire cord plant in Vietnam to increase exports of the product from the Southeast Asian country. Kolon Industries will invest 68 billion won ($62 million) in its wholly owned Kolon Industries Binh Duong Company Ltd. to help the Vietnamese subsidiary expand the plant by September next year, the company said in a regulatory filing. Tire cords are used as reinforcing materials for tires, designed to kee

Jan. 12, 2021

[News Focus] Foreign residents’ jobless rate soars to new record

SEJONG -- The novel coronavirus has undermined the job security of foreign nationals living here, government data has shown. According to the Justice Ministry and Statistics Korea, the unemployment rate for the expatriate population hit a record-high of 7.6 percent in 2020 since the government started compiling the data. Of the economically active expatriate population of 917,000, 69,500 were out of work last year. This contrasts with 5.5 percent in the jobless rate among foreigners in 2019,

Jan. 12, 2021

Foreign investment pledges shrink 11% in 2020

Foreigners’ investment pledges to South Korea dropped 11.1 percent last year due to the effects of the coronavirus outbreak, government data showed Tuesday. According to the Ministry of Industry, Trade and Energy, foreigners pledged investments worth $20.75 billion in 2020, down from $23.33 billion a year ago. Of the investment pledges, the amount executed came in at $11.09 billion, a 17 percent dive on-year from $13.36 billion. “Foreign direct investment decreased significan

Jan. 12, 2021

Game companies break out of shells to seek future growth

South Korean game companies are making bold strides into the financial sector through partnerships with a group that needs innovation more than anyone else: legacy banks. Game companies, though quick to adopt latest technologies such as artificial intelligence, lack a testing ground to train and advance their innovations beyond the virtual spaces inside games. Legacy banks, on the other hand, has tons of quality data and a massive client base, but fall short of digital tools to digest and

Jan. 12, 2021

LG-GM EV battery JV to hire 1,100 employees by 2022

Ultium Cells, the electric vehicle battery joint venture between LG Energy Solution and General Motors, will hire 400 employees by the end of this year and 700 more by the end of next year, LG and GM said Tuesday. Founded in December 2019, the fledgling Ultium Cells currently has staff for human resources, training and workplace safety management. It is building a $2.3 billion facility in Lordstown, Ohio, with an annual production capacity of more than 30 gigawatt-hours. “Ultium Cells

Jan. 12, 2021

[News Focus] Foul-mouthed chatbot Luda brings belated lesson in AI ethics

A social media-based artificial intelligence chatbot has been suspended in South Korea after stirring a series of controversies with discriminatory and vulgar language, leaving lessons for all parties involved in the related sectors dealing with AI. The chatbot Lee Luda, developed by local startup firm Scatter Lab, was introduced last December to run on Facebook Messenger. Designed to mimic a 20-year-old woman, it has attracted more than 400,000 users via Facebook so far. It, however, became

Jan. 12, 2021

Coupang’s rumored IPO in March lifts stocks of partner firms

The recent news of e-commerce unicorn Coupang going public as early as March has boosted stocks of partner companies in South Korea on Tuesday. Dongbang, a logistics firm that handles Coupang’s delivery services, saw its stock jump by a daily upper limit of 29.96 percent to reach 3,915 won ($3.56) in intraday trading on Tuesday. It also soared by the same percentage point a day earlier to close at 3,015 won. Media content platform company KTH’s stock also jumped by the daily limit

Jan. 12, 2021

Seoul stocks down for 2nd day on profit-taking

South Korean stocks closed lower for the second straight session Tuesday as institutional and foreign investors cashed in gains amid concerns of an overheated market. The Korean won fell against the US dollar. The benchmark Korea Composite Stock Price Index (KOSPI) dropped 22.5 points, or 0.71 percent, to close at 3,125.95 points, falling for the second consecutive session. Trading volume was high at about 1.37 billion shares worth around 31.1 trillion won ($28.3 billion), with losers outnumb

Jan. 12, 2021

S. Korea likely to outpace Italy in GNI per capita: BOK

South Korea is likely to overtake Italy in gross national income per capita as its economic growth rate fared well compared to the European economy, according to the Bank of Korea Tuesday.  The nation’s GNI per capita last year is estimated to have decreased from $32,115 in 2019 to reach around $31,000 as its nominal gross domestic product growth rate hit zero amid the prolonged COVID-19 pandemic, officials said.  However, South Korea’s GNI per capita is to outpace the Eu

Jan. 12, 2021

S. Korea to hold annual meeting with IMF on economy

South Korea will begin its annual meeting with the International Monetary Fund (IMF) this week on the country's overall economic situation and its response to the new coronavirus outbreak, the finance ministry said Tuesday. The ministry will hold video conferences with an IMF team, led by Andreas Bauer, Korea mission chief at the international organization, from Wednesday to Jan. 28, according to the Ministry of Economy and Finance. Every year, IMF delegations visit South Korea to discuss the

Jan. 12, 2021

Samsung introduces first-ever water purifier

Samsung Electronics Co. on Tuesday introduced its first-ever water purifier as the tech giant enters the fast-growing home water purifier market amid the pandemic-induced stay-at-home trend. Samsung unveiled the BESPOKE water purifier that is highlighted by space-efficient design and easy care features at its media event for the Consumer Electronics Show (CES) 2021. The new water purifier will be launched in South Korea in the first quarter of year, the company added. Samsung's BESPOKE wat

Jan. 12, 2021