Journalist

Lee Hugh
  • Korean won recovery capped by capital outflows despite weaker dollar
    Korean won recovery capped by capital outflows despite weaker dollar SEOUL, Feb 12 (AJP) -Despite a broad retreat in the U.S. dollar, the South Korean won has failed to stage a meaningful recovery, frustrating authorities attempting to break what officials increasingly describe as a cycle of “structural undervaluation.” According to data released Thursday by the Bank of Korea, the won-dollar exchange rate stood at 1,459.1 as of Feb. 10, marking a 1.4 percent depreciation from December’s average of 1,439. The decline came even as authorities deployed more than $4.7 billion in foreign exchange reserves over the past two months to stabilize the currency. Market data point to clear signs of intervention. Average daily spot turnover jumped by $3.72 billion — from $13.95 billion in December to $17.67 billion in January — a surge widely attributed to official efforts to defend the won. The won’s weakness stands in sharp contrast to global currency trends. Over the same period, the U.S. Dollar Index (DXY) fell 1.5 percent from 98.3 to 96.8, lifting most major currencies. The Japanese yen strengthened from 156.7 in December to 154.3 as of Feb. 10. The euro and British pound gained 1.5 percent and 1.3 percent, respectively. Among major advanced economies, the won was the only currency to lose grounds. The divergence is even starker against emerging markets. The J.P. Morgan Emerging Market Currency Index rose 2.4 percent, from 46.6 to 47.7. The Brazilian real advanced 5.7 percent, the Mexican peso climbed 4.7 percent and the Russian ruble rose 2.2 percent. Even the Chinese yuan — the only emerging-market currency included in the IMF’s Special Drawing Rights basket — appreciated 1.1 percent despite Beijing’s easing measures. India, the only BRICS member maintaining a weakening trend due to domestic policy easing, saw a modest 0.5 percent depreciation — far smaller than Korea’s decline. Yet underlying indicators suggest no structural shortage of dollars. The three-month swap rate — a key gauge of dollar funding conditions — rose 16 basis points from minus 1.48 percent in December to minus 1.32 percent as of Feb. 10, reflecting a narrowing Korea-U.S. interest rate gap. Currency swap rates climbed from 2.6 percent to 2.84 percent during the same period. The data indicate that the won’s weakness stems more from external sentiment and capital flows than from physical dollar scarcity. External confidence metrics remain stable. The spread on short-term external borrowing narrowed from 13 basis points in December to 11 basis points in January. Korea’s five-year credit default swap premium edged down from 22 basis points to 21 basis points. The Bank of Korea pointed to outbound retail flows as a key driver. Overseas investments by individuals more than tripled from $1.5 billion in December to $4.8 billion in January, the BOK noted, mounting significant upward pressure on the exchange rate. The pressure was partially offset by the National Pension Service, which reduced its overseas investment target for this year from 38.9 percent to 37.2 percent. Despite the continued undervaluation, the Korean won showed signs of recovery, gaining 10 to close at 1,446 per dollar on Feb. 11. As of 2:00 p.m. on Feb. 12, the currency climbed an additional 6 to reach 1,440. This rebound comes as foreign investors scooped up 1.6 trillion won in the KOSPI market, driving capital inflows, while authorities are presumed to be continuing their market interventions. 2026-02-12 14:14:20
  • Winter Olympics 26: Korean snowboarders advance halfpipe finals as Asian nations add medals
    Winter Olympics '26: Korean snowboarders advance halfpipe finals as Asian nations add medals SEOUL, February 12 (AJP) - Korea made Olympic history in snowboard halfpipe as Choi Ga-on and Lee Chae-un both advanced to the finals in the qualification rounds at the XXV Olympic Winter Games Milano Cortina 2026. Competing at the Livigno Snow Park in Italy, Choi placed sixth overall in the women’s qualification among 24 riders, earning 82.25 points in her opening run to rank third at one stage. The 17-year-old executed a 4.2-meter aerial during her routine. The event was topped by Chloe Kim of the United States with 90.25 points, followed by Japan’s Sara Shimizu with 87.50 and Maddie Mastro of the United States with 86.00. The top 12 riders progressed to the final. In the men’s qualification, Lee Chae-un secured ninth place among 25 competitors with 82.00 points in his first run, comfortably inside the top 12 cutoff. His routine featured five successful jumps, including a backside double cork 1080. Australia’s Scotty James led the field with 90.25 points, while Japan’s Totsuka Yuto posted 91.25 and Yamada Ryusei recorded 90.25. It marks the first time South Korean snowboarders have reached an Olympic halfpipe final in both the men’s and women’s events. In speed skating, China’s Ning Zhongyan claimed bronze in the men’s 1,000 meters with a time of 1:07.34. Jordan Stolz of the United States won gold with 1:06.28, followed by Jenning de Boo of the Netherlands in 1:06.78. During the race, China’s Lian Ziwen was disqualified for obstructive driving after a lane-change collision. Under speed skating regulations, priority is given to the skater moving from the outer lane to the inner lane, and officials ruled that Lian hindered a rival. Korea’s speed skater Koo Kyung-min finished 10th in the same event with a time of 1:08.53. In biathlon, Ekaterina Avvakumova placed 63rd in the women’s 15km individual with a time of 47:18.2. In freestyle skiing, Yoon Shin-yi concluded 24th in women’s moguls qualification round two with 64.46 points after scoring 59.4 in the first round. Japan added to its medal tally in ski jumping, earning bronze in the mixed team event at the Predazzo Ski Jumping Stadium. The quartet of Maruyama, Kobayashi, Takanashi and Nikaido combined for 1,034.0 points. Slovenia secured gold with 1,069.2, while Norway took silver with 1,038.3. Norway remained atop the overall standings as of 11:00 a.m. KST on February 11. Among Asian delegations, Japan ranked ninth with two gold, two silver and four bronze medals. China stood 14th with one silver and two bronze, while South Korea followed in 15th place with one silver and one bronze. 2026-02-12 14:06:42
  • CJ CheilJedang apologizes over alleged sugar price-fixing, quits industry body
    CJ CheilJedang apologizes over alleged sugar price-fixing, quits industry body SEOUL, February 12 (AJP) - South Korea's largest sugar maker CJ CheilJedang has issued a formal apology, saying it will immediately quit the Korea Sugar Association following the Fair Trade Commission’s imposition of a combined 408.3 billion won in fines on three sugar makers for alleged price-fixing. In a statement on Thursday, the company said it "deeply apologizes for causing concern to customers and consumers” and pledged swift corrective measures, acknowledging the seriousness of the matter. CJ CheilJedang said it would exit the industry association, which authorities identified as a key channel for collusion, and prohibit contacts between its employees and rival sugar producers. The company also plans to introduce a “one-strike” rule under which violations lead to immediate dismissal, aiming to eliminate opportunities for coordination. The firm added it would overhaul its pricing system by disclosing cost factors such as exchange rates and raw sugar prices and introducing a mechanism that automatically reflects those inputs in product prices. The move is intended to prevent pricing decisions based on competitors’ actions or individual consultations. CJ CheilJedang also said it would strengthen internal compliance controls by adding external members to its compliance management committee to improve independence and by expanding a voluntary reporting system designed to prevent improper contacts with competitors. "CJ CheilJedang will place public trust first and work to establish a transparent and fair competitive environment," the company said in the statement. * This article, published by Aju Business Daily, was translated by AI and edited by AJP. 2026-02-12 13:55:30
  • Court orders HYBE to pay Min Hee Jin about 25.5 billion won in Ador put-option case
    Court orders HYBE to pay Min Hee Jin about 25.5 billion won in Ador put-option case A South Korean court has ordered HYBE to pay about 25.5 billion won to Min Hee Jin, former CEO of Ador and now CEO of OK Records, in a dispute over a put option, or stock buyback right. The Seoul Central District Court’s Civil Division 31, led by Presiding Judge Nam In Soo, ruled Thursday that HYBE must pay Min about 25.5 billion won in a stock purchase price lawsuit she filed. The court also dismissed HYBE’s separate lawsuit seeking confirmation that a shareholder agreement had been terminated. The panel heard the two cases together because whether the shareholder agreement was terminated was a prerequisite for the put-option claim. The court said it could accept that Min explored ways to make Ador independent from HYBE, but found that fact alone did not amount to a material breach of the shareholder agreement. Citing KakaoTalk messages between Min and associates, along with her performance as CEO, the court said it was difficult to conclude she hindered Ador’s growth or caused losses. The court also rejected HYBE’s claim that Min planned to terminate NewJeans’ exclusive contracts, take the group with her and pursue an initial public offering for Ador. It said Min appeared to have met outside investors to explore independence plans, but those options were premised on HYBE’s consent and would have no effect without it. The panel also noted that Min continued to carry out her duties as CEO during the dispute, including releasing albums in South Korea and Japan. It said Min’s allegations that ILLIT copied NewJeans and claims of album “push-out” practices were also difficult to treat as grounds for a serious contract breach. The court said the harm Min would suffer from terminating the agreement was relatively clear and significant, but that it was hard to find a breach serious enough to justify termination. The court therefore ordered HYBE to pay Min about 25.5 billion won. It also ordered HYBE to pay a combined about 3.1 billion won to two of Min’s associates — a former Ador vice president identified by the surname Shin and a former director identified by the surname Kim — who also notified the company they were exercising put options. The dispute began after Min notified HYBE in November 2024 that she was exercising her put option. Under the shareholder agreement, the payout is calculated by multiplying Ador’s average operating profit for the previous two years by 13, then applying an amount equal to 75% of Min’s Ador stake. Based on operating profit for the relevant years and Min’s ownership, the amount due to her was about 25.5 billion won. With Shin and Kim also seeking payment, Min’s side sought a total of about 28.7 billion won.* This article has been translated by AI. 2026-02-12 13:00:00
  • Kia Reopens Historic Siheung Service Center Site as Flagship Store
    Kia Reopens Historic Siheung Service Center Site as Flagship Store Kia’s Siheung Service Center, a site tied to the automaker’s early history, has reopened as the Kia Siheung Flagship Store. Kia said Thursday it has officially opened the new store as a one-stop complex where customers can view vehicles, take test drives, buy cars, receive service and experience the brand in one place. The Siheung location is Kia’s sixth flagship store, following sites in Seoul’s Gangseo district, Incheon, Bucheon, Gwangju and Wonju. Built on the former Siheung Service Center property, the new facility spans five floors above ground and two basement levels, with 21,500.98 square meters (about 6,504 pyeong) dedicated to customer experiences. Kia said it will offer expanded future-mobility programs along with differentiated purchase and service experiences. The property once housed the Siheung plant, completed in May 1957 as Kia’s third production facility after Yeongdeungpo and Busan. The plant fully mechanized bicycle manufacturing and localized key pipe materials, and later produced products that helped shape the company, including two-wheeled motorcycles, three-wheeled vehicles and four-wheeled trucks. The Siheung plant was converted into a service center in November 1977 and remained in that role until it was renovated over about two years and reborn as a flagship store, Kia said. Kia said the store will offer content designed to help visitors experience its advanced mobility technology and brand identity. It includes a “3D configurator” that lets customers virtually build a vehicle by combining options. Using a large media wall, visitors can view 3D images of interior and exterior details, as well as door and trunk opening and closing and turn-signal operation. The store also features a “multi-content board” that allows customers to explore vehicle specifications and access content such as the configurator, a new-technology simulator and Kia’s YouTube offerings. A “color collection” area lets visitors check exterior paint colors and interior materials in person. Kia said it currently offers physical interior and exterior material samples for four models — the EV9, K9, K8 and Carnival — and plans to expand to more vehicles. Kia also upgraded its customer consultation areas, increasing openness and offering different types of consultation spaces tailored to each display zone so customers can choose their preferred setting. For new-car buyers, the store includes a vehicle handover area called the “Kia Pickup Lounge,” where customers receive their vehicles after a reveal and quality inspection. Kia said it will also provide content to help customers learn vehicle features and how to use the Kia app. The site includes EV-focused service infrastructure, Kia said, including EV workbenches with enhanced insulation performance, a specialized high-voltage battery workshop and a facility for storing used batteries, aimed at providing safe and systematic EV maintenance services. A Kia official said the Siheung flagship store is a brand space where customers can see Kia’s vision of future mobility, adding that the company plans to further develop and diversify spaces and experiential content focused on forward-looking customer experiences.* This article has been translated by AI. 2026-02-12 11:12:00
  • Korean Air advances space ambitions with successful satellite antenna test
    Korean Air advances space ambitions with successful satellite antenna test SEOUL, February 12 (AJP) - Korean Air has successfully completed a development test of a large deployable satellite antenna system in partnership with the Korea Institute for Defense Technology Promotion, marking a step forward in its efforts to expand into next-generation space technologies. The airline said Friday the test, conducted last month at the CAMTIC Institute of Technology in Jeonju, involved a 5-meter-class antenna deployment system developed under a defense core technology program led by the institute. The technology allows large satellite antennas to be folded compactly to fit inside launch vehicles and then deployed to full size once in orbit. Precise deployment in space is critical, as antenna performance directly affects satellite mission capability. Korean Air said the test confirmed the deployment device operated as designed, demonstrating stable unfolding while maintaining structural integrity under conditions simulating the space environment. The trial also resolved mechanical interference issues within the complex structure and showed high precision through repeated deployment cycles. The company added that the results validated the effectiveness of its independently designed antenna deployment mechanism and said it would use the data to accelerate development of a full-scale large antenna deployment system. Korean Air said it plans to continue strengthening capabilities in future space technologies, including ultra-high-resolution Earth observation satellites capable of distinguishing objects as small as 10 centimeters on the ground. It is also seeking to enhance capabilities in 6G satellite communications systems, aiming to play a key role in next-generation satellite programs tied to national security. “As a leading aerospace company in South Korea, we will continue to advance national space capabilities and contribute to the country’s emergence as a major space power based on our accumulated expertise,” the company said in a press release. * This article, published by Aju Business Daily, was translated by AI and edited by AJP. 2026-02-12 11:08:37
  • South Korea to participate in annual multinational military exercise in Thailand
    South Korea to participate in annual multinational military exercise in Thailand SEOUL, February 12 (AJP) - South Korea will take part in a multinational combined exercise set to be held in Thailand next week, according to military authorities. About 390 South Korean Navy personnel and marines are set to depart the southern port city of Busan on Thursday to participate in "Cobra Gold," the largest multinational combined exercise held annually in Thailand since 1982 and hosted by U.S. Indo-Pacific Command. Scheduled for Feb. 23 to March 6, this year's exercise is expected to be one of the largest, featuring amphibious landings and other drills with military personnel from about 10 countries including Japan, Indonesia, Malaysia and Singapore. South Korea will showcase its defense capabilities with home-grown amphibious assault vehicles, self-propelled howitzers, and other equipment. Among the highlights is Cheonho, a 30-mm wheeled anti-aircraft gun developed by Hanwha Aerospace, which will join live-fire training overseas for the first time. Col. Hwang Sang-geun, who leads the South Korean delegation, said, "Cobra Gold would provide an opportunity for the South Korean Navy and Marine Corps to strengthen combined military readiness and improve operational capabilities." 2026-02-12 11:04:10
  • Chip surge pushes KOSPI past 5,400 amid broader Asian gains
    Chip surge pushes KOSPI past 5,400 amid broader Asian gains SEOUL, February 12 (AJP) – Major Asian stock markets advanced on Thursday, led by semiconductor shares after strong gains in U.S. chipmakers boosted optimism about the sector, while Japanese equities extended their rally. Shares of U.S. memory chipmaker Micron Technology surged nearly 10 percent overnight after the company said it was supplying sixth-generation high-bandwidth memory (HBM4) chips to Nvidia without disruption, quelling speculation it had been excluded from the supply chain. The Philadelphia Semiconductor Index rose 2.3 percent. Although the three main U.S. indexes ended slightly lower, confirmation that HBM4 has entered mass production improved sentiment toward chip stocks globally and reinforced expectations of a semiconductor upcycle. The positive spillover lifted South Korea’s market, where heavyweight chip stocks drove the benchmark KOSPI above the 5,400 level for the first time. As of 10: 31 a.m., Samsung Electronics rose 3.64 percent to 173,900 won ($120), while SK hynix climbed 3.26 percent to 888,000 won, leading gains in Seoul. The KOSPI was up 2.11 percent at 5,468.56, while the tech-heavy KOSDAQ added 0.31 percent to 1,118.19. The Korean won weakened slightly, with the dollar rising 0.80 won to 1,448.80 won. Investor flows were mixed, with retail investors selling a net 834.7 billion won worth of shares, while foreign and institutional investors purchased a net 487.2 billion won and 341.1 billion won, respectively. Battery maker LG Energy Solution gained 3.06 percent, while performance among other major stocks was mixed. Samsung Life Insurance rose 2.25 percent, but Samsung Biologics slipped 0.23 percent. Automakers traded unevenly, with Hyundai Motor down 0.98 percent while affiliate Kia rose 0.68 percent. Defense-related shares softened, as Hanwha Aerospace fell 0.53 percent. Shipbuilders advanced, with HD Hyundai Heavy Industries gaining 0.74 percent and Hanwha Ocean adding 0.77 percent. Financial shares also extended a strong rally this month, significantly outperforming the broader market. JB Financial Group rose 4.55 percent, iM Financial Group gained 3.89 percent and Hana Financial Group added 1.43 percent. The sector’s strength has been supported by solid earnings, expanded shareholder return policies and expectations of a valuation re-rating. Japanese equities continued to climb, helped by expectations of renewed momentum in the so-called “Takaichi trade,” reflecting hopes of a dovish monetary stance and fiscal expansion. The Nikkei 225 rose 0.48 percent to 57,926.61 in morning trading. Japan-focused exchange-traded funds listed in South Korea also rallied. TIGER Japan Nikkei 225 gained 8.59 percent over the past five sessions, while ACE Japan TOPIX Leverage (H) jumped 10.62 percent. Technology-focused funds also surged, with PLUS Japan Semiconductor Materials and Equipment and Midas Japan Tech Active rising 9.78 percent and 10.10 percent, respectively. Elsewhere in the region, Hong Kong’s Hang Seng Index slipped 0.29 percent to 27,187.17, while China’s Shanghai Composite edged up 0.12 percent to 4,136.99 in morning trade. 2026-02-12 10:51:52
  • Kolon Mobility Group outlines plan to reach 1 trillion won valuation by 2027
    Kolon Mobility Group outlines plan to reach 1 trillion won valuation by 2027 Kolon Mobility Group said Thursday it held its “2026 Town Hall Meeting” to share its mid- to long-term strategy and vision, including a goal of surpassing a corporate valuation of 1 trillion won in 2027. The meeting, held under the slogan “A leap toward a 1 trillion won valuation in 2027,” drew about 130 managers in person, while about 1,700 employees nationwide joined via a live YouTube broadcast. The event featured CEO keynote talks by co-CEOs Kang Lee Gu and Choi Hyun Seok, along with strategy presentations by major affiliates including Kolon Motors. Kang said the company will pursue three core strategies — “Profitability, Expansion and Evolution” — to achieve a 1 trillion won valuation in 2027. He said the company will push specific measures including expanding its 702 used-car business, innovating its business model through DX and AX, and strengthening its brand portfolio. Choi said the used-car business is a key growth engine for building KMG’s self-sustaining competitiveness. He said the company will strengthen brand awareness and its online platform so that “Imported cars mean 702” becomes a common market perception. In a Q&A session, executives answered questions collected in advance from employees, which the company described as a forum to build “One KMG” by strengthening ties beyond physical distance. A company official said the town hall helped employees align around a single goal and will be used to boost execution toward reaching a 1 trillion won valuation in 2027. * This article has been translated by AI. 2026-02-12 10:30:00
  • NHN returns to annual profit as Q4 earnings hit record high
    NHN returns to annual profit as Q4 earnings hit record high SEOUL, February 12 (AJP) - South Korea’s NHN Corp. reported record quarterly revenue and operating profit in the fourth quarter, supported by broad-based growth across its core businesses and improved profitability. In a regulatory filing Thursday, NHN said consolidated revenue for the October–December period rose 6.5 percent from a year earlier to a record 685.7 billion won ($480 million), while operating profit surged 120.5 percent to 55.1 billion won, also the highest quarterly figure in the company’s history. For full-year 2025, revenue increased 2.5 percent to 2.52 trillion won, supported by steady growth in its games, payments and technology businesses. Operating profit reached 132.4 billion won, returning to profit after a loss a year earlier. The company attributed the turnaround to continued efforts to streamline its business portfolio and improve operational efficiency. By segment, fourth-quarter game revenue rose 6 percent from a year earlier and 6.7 percent from the previous quarter to 126.1 billion won, with mobile game revenue increasing 12.3 percent year-on-year. Payments revenue climbed 16.2 percent from a year earlier to 345.6 billion won, up 5.6 percent from the prior quarter. Revenue from the technology segment increased 17.4 percent year-on-year and 24.5 percent quarter-on-quarter to 139.1 billion won. NHN said growth was driven by demand for graphics processing unit services, public cloud migration projects and higher sales from its integrated messaging platform, Notification. The segment also posted its first quarterly operating profit. NHN said it plans to accelerate growth this year by strengthening competitiveness in its core businesses while continuing efforts to restore profitability. The company is preparing to launch new mobile games based on well-known intellectual property, including Dissidia Duellum Final Fantasy and Oshi no Ko: Puzzle Star, which is scheduled for official release in Japan later this month. Another title, Abyssdia, is taking pre-registrations ahead of a planned global rollout, including South Korea, by the end of the month. In payments, NHN said it is advancing preparations for a stablecoin-related business as it seeks to secure an early position in next-generation payment infrastructure. * This article, published by Aju Business Daily, was translated by AI and edited by AJP. 2026-02-12 10:27:23