Journalist
Lee Hugh
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Seoul Han River Rebuild Bids Heat Up as Builders Offer 150% LTV, Zero Member Payments South Korea’s urban redevelopment contracts this year are expected to total about 80 trillion won. As major projects along Seoul’s Han River — including Apgujeong, Yeouido, Mok-dong and Seongsu — move into full swing, construction firms are escalating bids with aggressive financing packages and high-end designs. According to the redevelopment industry on the 26th, Hyundai Engineering & Construction and DL E&C are locked in a fierce contest for the reconstruction of Apgujeong District 5 in Seoul’s Gangnam district. Hyundai E&C is highlighting premium features, including AI-based services and a panorama design aimed at maximizing river views. DL E&C has focused on financing, offering a fixed construction cost of 11.39 million won per 3.3 square meters and relocation loans with a loan-to-value ratio of 150%. The Seongsu area has also emerged as a key battleground. Seongsu District 4, seen as a centerpiece of new Han River redevelopment, is reshaping the competitive field through a re-bid. Daewoo E&C and Lotte Engineering & Construction have emphasized their funding capacity: Lotte offered relocation-loan support, while Daewoo proposed full responsibility for project financing and an interest rate set at 0.5 percentage points below the CD rate, a market benchmark. Seongsu District 4, however, has seen repeated disputes during the bidding process. After last year’s bid was canceled over allegations of missing documents and violations of promotion guidelines, the re-bid has also drawn debate over interest-rate cap conditions. Competition is also intense in Banpo. In the combined reconstruction of Sinbanpo complexes 19 and 25, Samsung C&T and POSCO E&C are vying for the contract. Samsung C&T has promoted an upscale strategy centered on building a “Raemian town,” while POSCO E&C has put forward a financing plan built around “zero member payments.” POSCO E&C said it would eliminate members’ contributions by paying 200 million won per household in advance as financial support and then maximizing revenue from general sales through post-completion sales. A POSCO E&C official said a general meeting to select the builder is set for May 30, adding that the company is pursuing a strategy that puts maximizing members’ interests first. The financing terms themselves are also drawing scrutiny. Critics say offers such as interest rates below the CD benchmark or relocation loans with 150% LTV could raise legal issues, tied to Article 132 of the Act on the Maintenance and Improvement of Urban Areas and Dwelling Conditions. Interpretations differ over whether such terms amount to providing monetary benefits unrelated to construction work. Seo Jin-hyeong, a professor in the Department of Real Estate Law and Administration at Kwangwoon University, said the support does not involve handing over cash directly, making it unclear whether it constitutes a benefit to members. “It can work as a favorable condition, but it could also become subject to legal judgment later,” he said. Lee Eun-hyeong, a senior researcher at the Korea Construction Policy Research Institute, said areas drawing intense competition tend to have clear profitability or symbolic value, and builders generally present terms within bounds that avoid legal risk. He added that financial authorities could still raise concerns, but any decision would likely come after the fact, and that builders are pursuing an “all or nothing” strategy focused on core projects. 2026-04-24 16:33:22 -
Finance Minister Koo Yoon-cheol urges firms to keep innovating after Q1 GDP jump Koo Yoon-cheol, deputy prime minister and minister of finance and economy, met on April 24 with executives from major South Korean companies and said the corporate sector made a major contribution to the improvement in gross domestic product in the first quarter. The meeting at the Government Complex Seoul included executives from Samsung, LG and Hyundai Motor, among others. Koo said that despite a worsening external environment, including the war in the Middle East, the economy was supported by a semiconductor boom, with the preliminary first-quarter GDP estimate rising 1.7% from the previous quarter. He said it was the highest quarterly growth rate since the third quarter of 2020, 5 years and 6 months earlier. He thanked major companies for their contribution and said business leaders had always been a reliable backer in times of crisis. He urged companies not to be satisfied with current results and to "keep innovating on top of innovation" so they can become "global ultra-innovative companies" and help foster second and third growth engines comparable to the semiconductor industry. Koo also said some companies at times try to secure profits in ways the public may view as undesirable. He said the era has changed as industrial paradigms shift, including through artificial intelligence, and that companies should expand the overall size of the economy by leading the world with top-ranked products and services, demonstrating the innovative entrepreneurial spirit they have shown in the past. He said he discussed investment and future-readiness efforts with the companies and added that the government would mobilize all available tools — including financial, tax and regulatory reforms — to fully support corporate investment and innovation efforts. * This article has been translated by AI. 2026-04-24 16:30:13 -
South Korea, Poland Discuss Stronger Economic Ties and Supply Chain Cooperation South Korea’s Ministry of Trade, Industry and Energy said Trade Vice Minister Park Jeong-seong met Thursday in Seoul with Michal Jaros, a deputy minister at Poland’s Ministry of Economic Development and Technology, to discuss ways to strengthen bilateral economic cooperation and expand collaboration in supply chains and advanced industries. The ministry said the talks followed a recent summit between the two countries’ leaders and were intended to sustain momentum from that meeting through high-level exchanges. The two sides shared the view that Poland is one of South Korea’s key trading partners in the European Union and the largest destination for South Korean investment among the Visegrad Group countries — Poland, Hungary, the Czech Republic and Slovakia. They agreed to further develop industrial cooperation built around large-scale South Korean corporate investment in batteries, while working to expand trade and improve balance in the trade structure. Citing energy storage systems as a core area tied directly to energy security, the ministry said it asked Poland to increase the use of batteries made by South Korean companies producing locally for Polish ESS projects. It also requested Polish government attention so the battery industry can be included among sectors eligible for support under Poland’s “Energy-Intensive Industry Support Act.” The ministry also asked for Poland’s cooperation so South Korea’s position is sufficiently reflected in EU legislative discussions related to the Industrial Acceleration Act, known as the IAA. With economic and security issues increasingly intertwined amid global supply chain restructuring, intensifying strategic competition among major countries and an accelerating energy transition, the two sides agreed to pursue supply chain stability in strategic industries, technology cooperation and policy coordination, the ministry said. The ministry said it plans to deepen cooperation with Poland to produce concrete results in key areas including supply chains, the energy transition and advanced industries. “South Korea and Poland have built a stable foundation for cooperation based on mutual trust,” Park said. “We hope to continue expanding tangible outcomes not only in strategic industries such as batteries, but also in supply chain stability and advanced technology.”* This article has been translated by AI. 2026-04-24 16:23:03 -
South Korea Steelmakers Hold Up in Q1 as Hyundai Steel Returns to Profit Hyundai Steel returned to profit this year, but the rebound was limited by higher raw-material costs and currency headwinds. Dongkuk Steel Group improved profitability on stronger exports. In a regulatory filing Thursday, Hyundai Steel said first-quarter consolidated revenue rose to 5.7397 trillion won ($5.7397 trillion won) and operating profit totaled 15.7 billion won. It swung from an operating loss of 19.0 billion won a year earlier. Operating profit, however, fell 63.7% from the previous quarter, missing market expectations. The company cited higher coking coal prices and a heavier exchange-rate burden, while product prices faced downward pressure. In a conference call, Hyundai Steel said price normalization is under way as low-priced imports are pushed out and steelmakers reflect higher costs in prices. It said construction demand is unlikely to improve much in the first half, but demand should be maintained at a certain level through large projects by Samsung Electronics and SK hynix. Hyundai Steel said the impact from the war in the Middle East is limited. It said annual export volume to the region is about 140,000 tons, accounting for less than 1% of total sales. While higher oil prices weigh on profitability, it said it is working to defend margins, including shifting long-distance logistics to shorter routes to cut shipping costs. The company said rebuilding demand would emerge from six months after the war ends, adding it would respond jointly with South Korean construction firms if such demand materializes. Dongkuk Steel said in a preliminary earnings release that first-quarter revenue was 857.2 billion won and operating profit was 21.4 billion won, up 403.8% from a year earlier. After posting operating profit of 59.4 billion won last year amid weak steel demand, the company said it has shown a recovery trend starting in the first quarter. Dongkuk Steel said the improvement reflected its strategy to expand global exports. It said higher export volumes led to increased production and sales of long steel products, and it plans to adjust the share of export sales flexibly in response to changes in domestic demand this year. Dongkuk CM, an affiliate of Dongkuk Steel Group, also improved results on higher selling prices and cost controls, returning to profit from the previous quarter. First-quarter operating profit was 11.2 billion won, down 25.9% from a year earlier, but it reversed an operating loss of 3.8 billion won in the prior quarter. External conditions for the steel industry remain challenging, including a slowdown in construction. Still, the industry is watching for higher import prices as the government tightens anti-dumping investigations and for a possible demand pickup as the seasonal peak approaches. With structural oversupply and a delayed demand recovery, the pace of improvement is expected to be gradual. An industry official said some of the rise in raw-material costs has been reflected in selling prices, supporting results, but energy costs and uncertainty in downstream demand remain high. The official said it will take time for a full-fledged improvement in profitability.* This article has been translated by AI. 2026-04-24 16:22:09 -
Hana Securities Q1 Net Profit Rises 37.1% to 103.3 Billion Won Hana Securities said on Thursday it posted first-quarter consolidated operating profit of 141.6 billion won and net profit of 103.3 billion won. Operating profit rose 47.9% from a year earlier, and net profit increased 37.1%. The company said it sustained strong earnings by responding quickly across business lines despite a volatile market environment. In wealth management, it cited higher fee income amid a strong stock market and increased revenue from financial products as it expanded offerings during the market upswing. In investment banking, it said results improved as it focused on high-quality deals and also delivered gains in acquisition finance. In sales and trading, Hana Securities said it maintained its lead in issuing derivative-linked securities and prioritized risk management amid market swings tied to rapidly changing international conditions. A Hana Securities official said the company secured stable growth momentum by broadening profit foundations in its core businesses, adding that it will strengthen competitiveness through new businesses such as promissory note issuance while stepping up efforts to expand productive finance, including the supply of venture capital.* This article has been translated by AI. 2026-04-24 16:21:16 -
TSMC Says It Will Begin Mass Production of A13 Chip Process in 2029 The world’s largest contract chipmaker, Taiwan Semiconductor Manufacturing Co., said it plans to begin mass production of its A13 advanced manufacturing process in 2029. TSMC made the announcement at its North America Technology Symposium, which opened April 22 in Santa Clara, California. The company described A13 as an improved version of A14, its next-generation process technology now under development. TSMC previously unveiled A14 in 2025 as the successor to the current leading-edge 2-nanometer process. The company said A13 uses A14’s circuit structure to increase density and reduces area by 6% compared with A14. It said the process is aimed at smaller, more efficient designs for next-generation artificial intelligence, high-performance computing and mobile devices, and offers improved power efficiency. TSMC plans to start mass production of A14 in 2028.* This article has been translated by AI. 2026-04-24 16:19:08 -
Woori Financial Q1 Net Profit Slips 2.09% on Middle East Risks Despite Strong Fee Growth Woori Financial Group said its first-quarter net profit edged down as a currency shock tied to Middle East risks weighed on results, despite a sharp rise in noninterest income. Woori Financial said April 24 that first-quarter net profit totaled 603.8 billion won, down 2.09% from a year earlier. Net interest income rose 2.3% to 2.3032 trillion won, supported by growth in corporate finance and a steady net interest margin. The bank’s NIM increased to 1.51% in the first quarter from 1.49% in the fourth quarter of last year, up 0.02 percentage points. Noninterest income climbed 26.7% to 454.6 billion won as the contribution from nonbank units such as securities and insurance expanded. Fee income hit a quarterly record of 576.8 billion won. Woori Financial said profit was pressured as gains related to securities and foreign exchange fell in the wake of the Middle East war, and as one-off provisions tied to overseas units were reflected in results. A Woori Financial official said securities- and FX-related gains declined and the group set aside provisions of about 100 billion won for Indonesia’s Bank Woori Saudara, adding that the factors were temporary and driven by external conditions. The official said the company expects a recovery as recent market indicators stabilize. The group’s ratio of substandard or lower loans rose to 0.68% at the end of the first quarter from 0.63% at the end of last year. The bank’s delinquency rate was 0.38% and the card delinquency rate was 1.80%, up 0.04 percentage points and 0.27 percentage points, respectively. Woori Financial’s common equity Tier 1 ratio stood at a record 13.6% at the end of the first quarter, up 0.7 percentage points from the end of last year. Affiliate Woori Card posted first-quarter net profit of 43.9 billion won, up 33.8% from a year earlier. Woori Financial Capital earned 40.0 billion won, up 30.7%. Tongyang Life Insurance, acquired last year, reported net profit of 25.0 billion won. Woori Investment & Securities said net profit surged 976.9% on a stronger stock market. A Woori Financial official said efforts to strengthen capital adequacy and diversify earnings are translating into market confidence, adding that the group plans to expand shareholder returns as profit contributions from nonbank units gain momentum. Separately, Woori Financial’s board on April 24 approved a first-quarter dividend of 220 won per share, up 10% from a year earlier. The dividend will be paid tax-free. 2026-04-24 16:17:24 -
TotalEnergies ENEOS Signs 15-Year Solar Power Purchase Deal With Thailand’s Jintana French energy company TotalEnergies and Japanese petroleum distributor ENEOS said their joint venture, TotalEnergies ENEOS Renewables Distributed Generation Asia Pte. Ltd., signed a 15-year power purchase agreement on the 22nd with Thai apparel manufacturer Jintana Intertrade. Under the deal, Jintana will install a 650-kilowatt-peak rooftop solar system at its factory in Nakhon Ratchasima province in northeastern Thailand. About 1,000 panels are expected to generate 1,000 megawatt-hours of electricity a year, covering roughly 55% of the plant’s power demand. The project is projected to cut carbon dioxide emissions by about 480 tons annually. TotalEnergies ENEOS will handle the system’s design, installation, operation and maintenance, while Jintana will purchase the electricity produced during the contract period. TotalEnergies ENEOS was established in 2022 and is based in Singapore, developing distributed solar projects for corporate customers across Asia.* This article has been translated by AI. 2026-04-24 16:12:18 -
Iran Plans Strait of Hormuz Transit Fees, With Exemptions for Russia Iran is moving to impose transit fees on ships passing through the Strait of Hormuz while granting exemptions to some friendly countries, including Russia, foreign media reported. Xinhua, citing Russia’s state-run RIA Novosti, reported on the 24th that Kazem Jalali, Iran’s ambassador to Russia, said Iran is applying exemptions for Russia and some other countries. “Currently, there are exemptions for some countries,” Jalali said. “I don’t know what will happen in the future, but Iran’s Foreign Ministry is trying to apply the planned exemptions to friendly countries like Russia.” His remarks came as Iran’s push to charge for passage through the strait takes clearer shape. Iran has been reviewing a fee plan since the war with the United States and Israel, citing the cost of ensuring security in the waterway. Iran’s Islamic Revolutionary Guard Corps has set the lifting of U.S. blockades on Iranian ports and ships as a condition for reopening the strait. Iran has already collected what it described as its first transit-fee revenue. Hamidreza Hajibabaei, a vice speaker of Iran’s parliament, said on the 23rd that the funds had been deposited into a central bank account. The Strait of Hormuz is a key energy corridor linking the Persian Gulf and the Gulf of Oman. Before the war, about 20 million barrels a day of oil and gas moved through the strait, roughly one-fifth of global oil consumption. The fee system is fueling debate over Iran’s control of the strait. The Guardian reported that Iran’s 10-point peace plan includes charging up to $2 million (about 2.9 billion won) per vessel. Ships seeking passage would be required to submit information on cargo, destination and beneficial ownership, then pay the fee and obtain approval before transiting a designated route under IRGC escort, the report said. The reported exemption for Russia underscores Iran’s use of the strait as a diplomatic and economic pressure tool — pressing the United States and the West with fees and demands to lift blockades, while carving out exceptions for friendly countries. The scope of any exemptions remains unclear. Jalali did not specify whether eligibility would be based on a ship’s flag, its cargo, or how long exemptions would apply. His comment that “I don’t know what will happen in the future” also left unanswered whether Russia’s exemption would be permanent.* This article has been translated by AI. 2026-04-24 16:10:20 -
Hyundai E&C Seeks Resident-Only On-Demand Shuttle Linking Apgujeong Redevelopment Zones Hyundai Engineering & Construction said April 24 it is pushing to introduce a resident-only demand-responsive transport, or DRT, service linking redevelopment Zones 2, 3 and 5 in Apgujeong-dong, Seoul’s Gangnam district. The company said the Apgujeong Hyundai area totals about 10,000 households, functioning like a small city. With key routes stretching about 1.4 kilometers from Zone 2 to Zones 3 and 5, it said a more efficient way to connect not only within the complexes but also to nearby destinations has been needed. DRT is a transit service that changes vehicle routes in real time based on user requests rather than fixed lines. Using demand data, it aims to cut waiting, detours and walking time. Hyundai E&C said it plans to analyze residents’ travel patterns to provide tailored mobility. In its own simulation, travel time between Apgujeong Zone 5 and Jamwon Hangang Park fell to about 10 to 14 minutes with DRT, from 20 to 45 minutes previously. It also projected sharp reductions in waiting and walking time, narrowing variations in travel time. The company said it would connect major hubs — including Apgujeong Station on Line 3, Apgujeong Rodeo Station on the Bundang Line and department stores — with the Han River waterfront and on-site community facilities in a single mobility system. In February, Hyundai E&C signed a business agreement with Hyundai Motor Co. to plan mobility-based services tailored to the construction industry and is developing a DRT model for apartment complexes. Demonstration data from Hyundai Motor’s on-demand service, Shucle, showed waiting time fell 71% and walking time 88%, the company said. “If connectivity is improved from on-site community spaces to the Han River, commercial facilities and transit hubs, the same distance can deliver a completely different daily experience,” a Hyundai E&C official said. “We will develop Apgujeong into a future-oriented living area where mobility is part of the design.” Hyundai E&C has secured the construction contract for Apgujeong Zone 2 and has been selected as the preferred bidder for Zone 3. In Zone 5, it is competing for the contract with DL E&C.* This article has been translated by AI. 2026-04-24 16:09:21