Journalist
Lee Hugh
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Korean investors keep record holdings of US stocks despite domestic market rally SEOUL, February 03 (AJP) - Demand for U.S. equities among South Korean investors remains strong despite a sharp rally in domestic markets, with holdings of American shares staying at record levels, according to data released Tuesday by the Korea Securities Depository. The benchmark KOSPI has climbed above 5,000 this year and the tech-heavy KOSDAQ has risen past 1,000. Yet South Korean investors’ holdings of U.S. stocks continued to grow. The data showed domestic investors held $168 billion worth of U.S. stocks at the end of last month, up about $4.4 billion from the end of last year. Tesla remained the most widely held stock among Korean retail investors, with holdings totaling $27.1 billion. The electric-vehicle maker, which has also drawn attention for its autonomous-driving and artificial intelligence ambitions, retained the top spot by a wide margin. Nvidia followed with $18 billion in holdings, supported by expectations of continued demand for AI chips. Alphabet ranked next at $7.7 billion, followed by data analytics firm Palantir at $5.4 billion and Apple at $4.3 billion. Analysts say the trend reflects investors’ belief in the structural strengths of U.S. markets, where many global leaders — particularly in artificial intelligence, semiconductors and cloud computing — are listed. A brokerage official said some profit-taking has flowed into local shares as the domestic market rebounded, but the U.S. market still enjoys an advantage in growth sectors and global competitiveness. "Direct overseas stock investment continues to expand, particularly among investors in their 20s and 30s," the official said. * This article, published by Aju Business Daily, was translated by AI and edited by AJP. 2026-02-03 16:59:00 -
Hanwha Aerospace Launches $22 Million Supplier Innovation Profit-Sharing Program Hanwha Aerospace said it will launch a supplier innovation profit-sharing program aimed at advancing cutting-edge defense technology and supporting shared growth by directing its defense R&D funding to suppliers’ research and expanded intellectual property. The company held a ceremony on Monday at its R&D center at its Plant 3 site in Changwon, South Korea, with about 80 attendees, including representatives from 56 suppliers as well as central and local government officials. Hanwha Aerospace said it will begin the program this year with a total budget of 30 billion won. Under the plan, if suppliers pursue advanced R&D and localization of key components, Hanwha Aerospace will cover 100% of required R&D costs, including direct development expenses, research activity funding, facility investment and infrastructure. When suppliers participate in government small-business R&D programs — including those run by the Korea Institute for Advancement of Technology for defense component localization and the Ministry of SMEs and Startups for public-private technology commercialization — Hanwha Aerospace will also pay the suppliers’ required contributions. The company said not only existing suppliers but also promising small firms and startups can join R&D in strategic defense areas such as AI and robotics. Hanwha Aerospace said it will also significantly expand financial support for suppliers, tripling its shared-growth fund to 150 billion won from 50 billion won to back rising defense demand and export opportunities. It also said it will work with the Defense Industry Mutual Aid Association to create an advance-payment performance bond fee reduction program — the first such move in the defense industry — to ease suppliers’ financial burden during export contract processes. Jo Jeong Hyun, CEO of SG Solution and head of the shared-growth cooperation council, said, “With the new shared-growth cooperation program, we will trust Hanwha Aerospace as a strong partner and take bolder challenges to achieve technological independence and global growth.” He added, “We appreciate the creation of this program and look forward to a stronger future.” Hanwha Aerospace CEO Son Jae Il said, “The competitiveness of K-defense begins with suppliers’ competitiveness in components,” adding that the company will treat suppliers “not as simple counterparties, but as strategic partners that share technology and drive growth together,” putting into practice the group’s shared-growth management philosophy of “going far together.” 2026-02-03 16:36:00 -
KAI to Showcase KF-21 and FA-50 at Singapore Airshow, Targets Southeast Asia 한국항공우주산업(KAI)이 동남아시아 시장 지배력 강화에 나선다. KAI는 3일부터 오는 8일까지 싱가포르 창이 전시센터에서 열리는 아시아 최대 규모의 항공우주·방산 전시회 '2026 싱가포르 에어쇼'에 참가한다고 밝혔다. KAI said it will take part in the 2026 Singapore Airshow, Asia’s largest aerospace and defense exhibition, running from Feb. 3 to Feb. 8 at the Changi Exhibition Centre in Singapore. The Singapore Airshow is a major venue for tracking defense and aerospace trends in Asia and is considered one of the world’s three biggest air shows, along with Paris and Farnborough. KAI said it will focus marketing on platforms that have entered full-scale production, including the KF-21, FA-50, Surion (KUH) and the Light Armed Helicopter (LAH). The company will also display its in-house projects, including the AAP multipurpose unmanned aircraft and the ALE air-launched unmanned aircraft. It will present future concepts through video on its AI pilot, “KAILOT,” and manned-unmanned teaming systems. During the airshow, KAI plans meetings with senior government and military officials from current operators in Southeast Asia as well as potential export customers. It said it will discuss follow-on business with existing FA-50 users while pursuing initial customers for the KF-21. KAI also said it will seek requirements and business opportunities to build export momentum in Asia for government and mobility helicopters. “The Singapore Airshow is an important bridgehead that is driving the explosive growth of Korea’s defense industry,” Cho Woo Rae, head of KAI’s export marketing division, said. “Based on the globally proven reliability of the FA-50 and the advanced technology of the KF-21, we will raise the standing of Korea’s defense industry and continue delivering tangible export results,” he said.* This article has been translated by AI. 2026-02-03 16:12:00 -
Fire breaks out at confectionery factory in Siheung SEOUL, February 3 (AJP) - A fire broke out at confectionery company SPC Samlip's factory in Siheung, Gyeonggi Province on Tuesday. According to fire authorities, the blaze broke out at around 3 p.m., prompting over 500 workers to evacuate immediately. About 70 firefighters, along with approximately 50 vehicles including pump trucks and other equipment were deployed to extinguish the fire. Three workers including a woman in her 40s were treated for minor symptoms after inhaling smoke. Another worker became trapped on the roof but was rescued by firefighters. The fire reportedly started on the factory's production line, where about a dozen employees were on shift. Police are conducting a search for any potential victims and plan to investigate the exact cause of the fire once the flames are under control. 2026-02-03 16:05:14 -
Korea Midland Power teams up with US firm for gas combined-cycle projects SEOUL, February 03 (AJP) - Korea Midland Power Co. (KOMIPO) has signed a memorandum of understanding with a U.S.-based power plant operations and maintenance (O&M) specialist to cooperate on gas combined-cycle power projects in the United States. The agreement, signed on Jan. 29 local time, aims to combine KOMIPO’s plant operating experience with the U.S. partner’s workforce management and engineering capabilities, KOMIPO said Tuesday. The companies plan broad cooperation to enhance competitiveness in bidding for U.S. gas combined-cycle projects while reducing operational risks and improving efficiency. KOMIPO currently operates three large-scale solar projects in Texas as well as an energy storage system project in California. The company also began construction on the 350-megawatt Lucy solar project on Jan. 27 as part of a consortium of South Korean firms. The utility said it intends to build on its renewable energy operating experience to expand into gas combined-cycle generation, diversifying its business portfolio in the North American power market. “This agreement provides a foundation for KOMIPO to enter the U.S. gas combined-cycle market in a stable manner,” the company said in a press release. “Based on mutual trust and operational know-how, we will continue expanding our energy business across North America.” * This article, published by Aju Business Daily, was translated by AI and edited by AJP. 2026-02-03 16:00:17 -
Ilyang Pharmaceutical Cleared in Prosecutors’ Probe Over Alleged Accounting Violations Ilyang Pharmaceutical said Monday that a prosecutors’ investigation into allegations raised by financial authorities — including accounting violations and obstruction of an external audit — ended with a decision of no charges and no right to prosecute. The Suwon District Prosecutors’ Office had previously said Ilyang Pharmaceutical inflated net profit and shareholders’ equity by bringing its Chinese joint ventures, Tonghua Ilyang and Yangzhou Ilyang, into its consolidated subsidiaries, and that it submitted forged documents during the audit process. The case was referred to prosecutors along with a recommendation for severe sanctions. The company said the decision came about three months after financial authorities’ determination. Ilyang Pharmaceutical said it will continue to strictly comply with laws and accounting standards and pursue transparent, responsible management.* This article has been translated by AI. 2026-02-03 15:57:00 -
South Korea’s January Corporate Lending Growth Halves as Rates, FX and Delinquencies Rise Corporate lending at the start of the year grew at about half the pace of a year earlier, slowing efforts to expand so-called productive finance. Banks and companies are facing what the industry calls a “three-high” environment — higher interest rates, a weaker won and rising delinquencies — while policy incentives have yet to take hold in the market. As of the end of January, corporate loan balances at South Korea’s five biggest banks — KB Kookmin, Shinhan, Hana, Woori and NH NongHyup — totaled 847.3530 trillion won, according to the financial industry on Monday. That was up 2.6276 trillion won from the previous month’s 844.7254 trillion won, about half the 5.1003 trillion won increase recorded in January last year. January is typically the busiest month for corporate borrowing as companies set annual business plans and banks reset sales targets, making this year’s slowdown unusual, analysts said. The trend stands out because the Lee Jae Myung government has urged banks to expand lending and investment for businesses, and corporate loans are not subject to the same volume caps applied to household lending. Banks attribute the slowdown to a mix of worsening macro conditions. With high rates expected to persist, companies have delayed borrowing for new investment or relied on existing credit lines. As of December, the corporate loan interest rate was 4.16% annually, up 0.06 percentage points from a month earlier. Greater exchange-rate volatility has also made banks more cautious. The industry estimates that for every 10-won rise in the exchange rate, banks’ common equity tier 1 ratio falls by 0.01 to 0.03 percentage points, reducing available capital. The longer the won stays weak and volatile, the more conservatively banks tend to handle corporate lending. Rising delinquencies have further tightened risk management. As of the end of November, the corporate loan delinquency rate was 0.73%, the highest since November 2018, when it was 0.86%. Delinquencies rose for both large-company loans, from 0.14% to 0.16%, and small- and midsize-business loans, from 0.84% to 0.89%. Policy support meant to offset these pressures has yet to be fully felt. In September, financial authorities said they would lower the risk weight applied when banks invest in unlisted shares to 250% from 400% to encourage more venture-style capital and expand funding for innovative and growth companies. But regulators have not finished revising detailed rules needed to implement the plan, delaying banks’ ability to finalize business strategies and adding uncertainty. The Financial Supervisory Service said it plans to complete the revisions in the first quarter. “A pullback in corporate lending is less about demand collapsing than about uncertainty rising, with both financial firms and companies taking a wait-and-see approach,” a financial industry official said. “If institutional measures that ease risk burdens do not work on time, defensive behavior will not change easily.” 2026-02-03 15:51:00 -
Memory price surge spreads from DRAM to NAND, analysts say SEOUL, February 03 (AJP) - Memory chip prices are expected to continue rising in the first quarter, with momentum that began in DRAM now spreading to the NAND flash market as supply struggles to keep pace with demand, according to industry analyses. Counterpoint Research forecasts NAND flash prices will rise more than 40 percent quarter-on-quarter in the January–March period, following sharp gains already seen in DRAM during the fourth quarter amid tight supply conditions. NAND flash, widely used in data storage devices, is benefiting from rapid growth in demand for high-capacity, high-performance enterprise solid-state drives (SSDs) as investment in artificial intelligence data centers accelerates. Production, however, has not kept up, putting upward pressure on prices, the research firm said. Counterpoint cited concentrated demand from server customers as a key driver. As suppliers prioritize SSD shipments for AI servers, availability of NAND products for consumer devices has tightened, leading to price premiums. Average NAND prices per gigabyte are expected to climb about 40 percent, while lower-capacity 128GB products used in PCs have recently traded at premiums of roughly 50 percent, the report said. Supply constraints have also been exacerbated by chipmakers focusing on high-bandwidth memory (HBM) and other higher-margin DRAM products to meet AI-related demand. Samsung Electronics, SK hynix and Micron Technology are allocating more resources to DRAM production, leaving limited capacity expansion for NAND. TrendForce said NAND orders in the first quarter significantly exceed suppliers’ production capacity, while manufacturers continue to redirect some production lines toward DRAM to capitalize on stronger profitability. “The tight NAND supply situation will not be easy to resolve,” the research firm said, adding that supply shortages could persist for the next two to three years. Demand from North American cloud service providers is also pushing prices higher, with enterprise SSD contract prices projected to rise 53 percent to 58 percent in the first quarter from the previous quarter. Strength in DRAM pricing is likewise expected to continue. TrendForce recently raised its forecast for quarter-on-quarter increases in commodity DRAM contract prices to 90 percent to 95 percent, up from its earlier estimate of 55 percent to 60 percent, reflecting ongoing supply tightness and strong AI-related demand. * This article, published by Aju Business Daily, was translated by AI and edited by AJP. 2026-02-03 15:39:11 -
China removes one of dubious structures in West Sea SEOUL, February 3 (AJP) - China has completed the removal of a structure installed along the West Sea, the Ministry of Foreign Affairs here said on Tuesday. The completion comes about a week after Beijing began removing it last Tuesday, as a follow-up measure after President Lee Jae Myung discussed the matter during his summit with Chinese President Xi Jinping in Beijing early last month. But it was just one of a couple of steel structures on the submerged shelf of Ieodo in the West Sea, which overlaps with maritime zones of both South Korea and China. China previously installed one structure in 2018 and another in 2024 in a dubious claim of deep-sea salmon farming, with an additional structure in 2022 that resembles an oil-drilling rig, raising concerns here that the facilities could be used for military purposes. "We will continue to make progress through constructive consultations with the Chinese side," the ministry said. 2026-02-03 15:24:28 -
Chef Lim Seong-geun Denies Restaurant Opening Was Canceled After Sale Banner Photo Chef Lim Seong-geun, who appeared on Netflix original series including 'Culinary Class Wars 2,' has denied reports that he canceled plans to open a restaurant after it emerged he has six prior convictions, including for drunk driving. OSEN reported Tuesday, citing a person close to Lim, that the restaurant is still scheduled to open in March. The person said a banner reading "For Sale" seen in a widely shared photo was for a neighboring lot, not Lim's restaurant property. Photos circulating on online communities showed the banner hanging on a building near Simhaksan in Paju, Gyeonggi Province, where Lim had previously said he planned to open a restaurant. Some commenters questioned whether the opening had been delayed or canceled. Lim rose to prominence after winning tvN's 'Korean Food Battle 3' in 2015. Last month, he said on a YouTube channel that he had three drunk-driving convictions, but it was later confirmed he had four. He was punished for drunk driving in 1999, 2009, 2017 and 2020. The report said Lim was sentenced in 1998 for violating the Road Traffic Act to eight months in prison, suspended for two years, and fined 300,000 won, and was punished again for drunk driving the following year. An assault conviction also surfaced, and he halted his broadcast activities.* This article has been translated by AI. 2026-02-03 15:24:00