Japan Plans to Cut Food Consumption Tax from 8% to 1% Amid Financial Concerns Japan's government has approved a plan to reduce the food consumption tax rate from 8% to 1% for two years starting in April 2027. The initiative aims to eliminate the tax burden for low- and middle-income households by providing subsidies equivalent to the remaining 1%. The tax cut and subsidy program will require approximately 5 trillion yen (about $44 billion) annually, but specific funding sources have been postponed until the end of the year.According to the Yomiuri Shimbun on September 16, September 16, 2026

South Korea Launches Physical AI Initiative with Focus on Jeonbuk and Gyeongnam The Ministry of Science and ICT (MSIT) will invest approximately 1.4 trillion won in research and development (R&D) for physical AI in the Jeonbuk and Gyeongnam regions by 2030.On September 16, MSIT held a kickoff meeting for the physical AI R&D project at the Novotel Ambassador in Seoul, focusing on manufacturing sites in Jeonbuk and Gyeongnam. About 200 attendees, including Lee Do-kyu, head of the MSIT's Information and Communication Policy Bureau, Park Yoon-kyu, head of the Korea Information September 16, 2026

Hong Ji-sun Promises Rapid Housing Supply Until Market Stabilizes Hong Ji-sun, the nominee for Minister of Land, Infrastructure and Transport, has proposed 'rapid supply' as a solution for stabilizing the housing market. She indicated that the decision on whether to extend the land transaction permit zones in Seoul and Gyeonggi Province, set to expire at the end of this year, will be made based on market conditions. She also expressed her willingness to explore the possibility of supplying housing for youth and future generations on the Yongsan Park site. Duri September 16, 2026

Pine Tech Faces Delisting Risk Despite Samsung Display Contract Worth 19.5 Billion Won Pine Tech, a display equipment manufacturer, is on the brink of being delisted from the KOSDAQ market. Despite a stock consolidation aimed at stabilizing its share price and enhancing corporate value, its market capitalization has dwindled to 11.2 billion won. A recent contract with Samsung Display worth 19.5 billion won has not alleviated the situation.According to the Korea Exchange, Pine Tech was designated as a management stock on September 8 due to its market capitalization falling below th September 16, 2026

Only 250 Out of 1,200 Applicants Eligible for Relief, Minister Says Only about 250 students are expected to receive relief after failing to submit applications for the 2027 college admissions cycle due to a system outage. Education Minister Choi Kyo-jin stated that not all 1,200 applicants who did not submit will be granted relief; only those with verified computer log records will be considered. During a meeting of the National Assembly's Education Committee on September 16, Minister Choi reported on the application system failure. He explained that, despite an September 16, 2026

Korea and Uzbekistan Collaborate on Key Mineral Supply Chain and Advanced Industries Economic cooperation between South Korea and Central Asian countries is expanding into key mineral supply chains, advanced industries, infrastructure, and finance. The government plans to establish a cooperation platform for processing, manufacturing, and supply chain of key minerals with Uzbekistan, and will initiate feasibility studies for additional high-speed train vehicles and the establishment of bio-research facilities. In Kazakhstan, export financing will be expanded to support local ent September 16, 2026

China Expands Air Routes as Low-Cost Carriers Launch New Flights As travel between South Korea and China increases, domestic airlines are expanding their routes to China. Low-cost carriers (LCC) such as Eastar Jet, Jeju Air, and Jin Air, along with regional airports, are entering major Chinese routes. This expansion is driven by the influx of Chinese tourists allowed to enter without a visa and the rising demand for South Koreans to visit China.According to Eastar Jet, the load factor for its Incheon-Shanghai route reached 96% as of August. The load factor fo September 16, 2026

Kakao Pay Insurance Offers First Month of iPhone 18 Coverage for Just 100 Won Kakao Pay Insurance announced on September 16 that it will offer a promotional event allowing customers to pay just 100 won for the first month of mobile phone insurance, coinciding with the release of the iPhone 18 series.The event will run from September 17 until 7 p.m. on October 16. It is available for the iPhone 18 Pro and iPhone 18 Pro Max models. Customers who sign up for mobile phone insurance during this period will only need to pay 100 won for the first month, regardless of their carri September 16, 2026

Bu Seung-chan: New Rental Housing Construction Starts at Only 4.9% of Applications Despite the government's efforts to expand the supply of newly constructed rental housing, actual construction starts remain at around 10,000 units annually, highlighting a serious supply bottleneck in the project stages. On September 16, Bu Seung-chan, a member of the National Assembly from the Democratic Party, revealed data from the Ministry of Land, Infrastructure and Transport and the Korea Land and Housing Corporation (LH). According to the data, the total number of applications for LH September 16, 2026

Opposition Requests Testimony from Heads of Four Major Banks on Employment of Disabled Workers 내달 국정감사를 앞두고 KB국민·신한·하나·우리은행 등 4대 은행장이 증인으로 신청됐다. 은행권의 장애인 고용률이 법정 의무고용률의 절반 안팎에 머물자 국회가 은행장들을 직접 불러 고용 실태와 개선 계획을 따져 묻겠다는 취지다.16일 금융권에 따르면 기후에너지환경노동위원회 소속 김소희 국민의힘 의원실은 이환주 KB국민은행장, 정상혁 신한은행장, 이호성 하나은행장, 정진완 우리은행장을 국정감사 증인으로 신청했다.김 의원실은 주요 은행의 장애인 고용률이 수년째 법정 의무고용률을 밑돌고 있는 September 16, 2026