Corporate mergers in South Korea plunge 40 percent in 2024

SEOUL, December 18 (AJP) - South Korea's corporate mergers and acquisitions (M&A) activity plummeted by 39.3 percent in 2024, totaling 8.58 trillion won ($6.6 billion), according to an analysis by CEO Score of 361 major companies. The number of deals also declined significantly, falling to 50 from 87 in the previous year. Among the transactions, Korean Air’s high-profile acquisition of Asiana Airlines for 1.8 trillion won ($1.38 billion), including 300 billion won i

December 18, 2024

Celltrion launches CDMO unit to preempt global market

SEOUL, December 18 (AJP) - South Korean biopharmaceutical firm Celltrion announced the establishment of a new contract development and manufacturing organization (CDMO) subsidiary, Celltrion Biosolutions Co., on Tuesday. The wholly-owned subsidiary will be led by Senior Vice President Lee Hyuk-jae, a veteran of the company with a track record in product approvals, clinical trials, and manufacturing operations. Celltrion plans to invest an initial 1.5 trillion won (roughly $1.04 b

December 18, 2024

Business groups urge review of parliamentary testimony law

SEOUL, December 18 (AJP) - Six major South Korean business organizations on Monday urged a review of a new law requiring companies to submit documents and testify before parliament, arguing that it could expose sensitive corporate information and harm the nation's competitiveness. The Parliamentary Testimony Act, passed by the National Assembly last month, mandates that companies comply with such requests, regardless of concerns about trade secrets. It also requires executives

December 18, 2024

S. Korea to spend three quarters of 2025 budget before July

SEOUL, December 18 (AJP) - South Korea plans to frontload 75 percent of its 2025 annual budget in the first half of next year, as the government seeks to counter economic uncertainties stemming from the Dec. 3 martial law declaration and recent presidential impeachment. The Ministry of Economy and Finance announced on Tuesday in a cabinet meeting that 431.1 trillion won (US$299.7 billion) of the total 574.8 trillion won budget would be allocated for the first six months of 2025, wit

December 18, 2024

Local governments eager to produce salmon in South Korea

SEOUL, December 18 (AJP) - The salmon industry, often likened to the semiconductor sector for its critical global role, faces escalating challenges. With a global market worth approximately 60 trillion won (about $45 billion), both farmed and wild salmon populations are struggling to adapt to environmental and economic pressures. In Scotland, salmon farms reported record losses in 2023, with over one million farmed salmon perishing during a single farming cycle due to rising sea tem

December 18, 2024

Korean firms' growth slows amid sluggish demand for chips in PCs, smartphones

SEOUL, December 17 (AJP) - South Korean companies' growth slowed in the third quarter as weak demand for regular semiconductors used in PCs and smartphones and a downturn in the petrochemical sector hit the manufacturing industry. According to data released by the Bank of Korea on Tuesday, combined sales of 23,137 companies subject to external audits rose 4.3 percent year-on-year in the July-September period. While growth increased from 1.2 percent in the first quarter to 5.3

December 17, 2024

IKEA cancels plans to build major logistics center near Seoul

SEOUL, December 17 (AJP) - IKEA Korea has decided to cancel its plans to build Asia's largest integrated logistics center in Pyeongtaek, south of Seoul. According to a regulatory filing on Tuesday, the company has abandoned its plans to build a logistics hub in the Poseung district of the city. The company will also sell the land, which spans 102,000 square meters and is valued at about 55.5 billion won ($38.6 million). IKEA Korea explained the decision was due to changes in

December 17, 2024

Number of foreign workers in South Korea tops 1 million for first time

SEOUL, December 17 (AJP) - The number of foreign workers in South Korea surpassed 1 million for the first time this year, with many concentrated in mining and manufacturing jobs, according to government data released Tuesday. The Statistics Korea report showed that as of May, the resident foreign population aged 15 and older totaled 1.561 million, a 9.1 percent increase from a year earlier. Among them, 1.01 million were employed, up 9.4 percent year-on-year. The steady rise in fo

December 17, 2024

'Buldak' maker Samyang to establish plant in China

SEOUL, December 17 (AJP) - Samyang Foods, known for its "Buldak" spicy chicken-flavored instant noodles, is set to establish its plant in China. The Korean food maker announced on Monday its plans to establish its production subsidiary and first overseas plant in China. The Chinese subsidiary will be set up through its Singaporean branch, Samyang Singapore Pte. Ltd. Samyang Foods disclosed an investment plan of about 64.7 billion won (US$45 million) for the Singaporean

December 17, 2024

South Korean conglomerates make record investment in battery sector

SEOUL, December 17 (AJP) - South Korean conglomerates have made the largest equity investments in secondary battery companies in the past three years, according to data from a corporate analysis firm on Tuesday. According to a report by Leaders Index, 354 of the top 500 conglomerates by revenue have acquired a total of 1,368 equities, with investments amounting to 12.8 trillion won (US$8.9 billion). Secondary battery investments accounted for 4.7 trillion won, or 36.7 percent of

December 17, 2024