Journalist
Lee Hugh
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Mortgage lending loses momentum in South Korea after tighter rules SEOUL, December 10 (AJP) - Growth in South Korea’s mortgage lending slowed to its weakest pace in 20 months in November, as tighter bank lending standards and easing demand for rental deposit loans weighed on household borrowing, central bank data showed on Wednesday. According to the Bank of Korea’s financial market trends report, outstanding household loans at deposit-taking banks, including policy mortgages, rose by 1.9 trillion won in November to 1,175.6 trillion won. Mortgage loan balances increased by 7 trillion won to 935.5 trillion won, marking the smallest monthly rise since March 2024. BOK official Park Min-cheol said total household lending across banks and non-bank financial institutions edged down to just over 4 trillion won, indicating continued deceleration in mortgage growth. He added that stricter loan management at banks had pushed some borrowing demand toward non-bank lenders. In contrast, corporate lending accelerated. Bank loans to companies rose by 6.2 trillion won to 1,372.2 trillion won in November. Loans to large corporations increased by 2.4 trillion won to 296.9 trillion won, while lending to small and medium-sized enterprises (SMEs) rose by 3.8 trillion won to 1,075.3 trillion won. * This article, published by Aju Business Daily, was translated by AI and edited by AJP. 2025-12-10 15:38:58 -
South Korea weighs fines of up to 10 percent of revenue for major data breaches SEOUL, December 10 (AJP) - South Korea’s National Assembly is considering legislation that would allow regulators to fine companies up to 10 percent of their revenue for serious data breaches, as lawmakers seek tougher penalties following a series of large-scale leaks. The proposed amendment to the Personal Information Protection Act, introduced by Park Beom-kye of the ruling Democratic Party and Kim Sang-hoon of the main opposition People Power Party, would raise the current cap on administrative fines from 3 percent of revenue to 10 percent in cases of major violations. The move follows high-profile incidents involving major companies, including a leak of 33.7 million customer records at Coupang and previous breaches at SK Telecom, Lotte Card and LG Uplus. Under the bill, the higher penalty rate would be applied as a punitive measure in cases involving intent or gross negligence, breaches affecting more than 10 million people, or situations in which companies failed to comply with regulatory corrective orders. If enacted, the legislation would expand victim protection and compensation. Park’s proposal would require companies to notify customers of potential leaks and would allow collective damage claims, rather than limiting class actions to injunctions, as is currently the case. Kim’s proposal would make business owners or top executives ultimately responsible for data protection and require the reporting of designated data protection officers. It would also make security certification mandatory, rather than voluntary. The bill is scheduled for review at a National Assembly subcommittee on Dec. 15. Park’s office said momentum is building in favor of stronger economic penalties, noting growing bipartisan support for the 10 percent cap. The government has also backed tougher enforcement. President Lee Jae Myung said stronger, more realistic fines were needed following the Coupang incident, and previously urged tougher penalties and punitive damages at a cabinet meeting on Dec. 2. Business groups, however, have warned of potential unintended consequences. A fine of 10 percent of revenue could translate into trillions of won for large companies. Industry representatives argue that steep penalties could burden firms even for relatively minor security lapses. Critics have also said the government is placing excessive responsibility on companies while failing to address structural weaknesses in national cybersecurity frameworks, calling for stronger public-sector security governance and more effective certification systems. * This article, published by Aju Business Daily, was translated by AI and edited by AJP. 2025-12-10 15:20:30 -
South Korea lodges protests against China, Russia over aircraft incursions SEOUL, December 10 (AJP) - The Ministry of National Defense on Wednesday lodged a strong protest with China and Russia after their military aircraft buzzed South Korea's air defense identification zone (KADIZ) the previous day. The ministry said it protested through a phone call to the defense attachés of China and Russia and vowed, "We will actively respond to any flybys in KADIZ in line with international law." The protest comes just a day after two Chinese and seven Russian aircraft entered the KADIZ at around 10 a.m. the previous day and left about an hour later. They were bombers and fighter jets involved in the two big powers' regular military maneuvers in the region. The air defense identification zone does not constitute territorial airspace but is established in order to identify air traffic. It is common protocol for aircraft to obtain prior permission before entering another country's air defense identification zone. But Russia does not recognize South Korea's KADIZ, citing a lack of international legal basis. The KADIZ over the submerged shelf of Ieodo overlaps with the airspaces of both South Korea and China. * This article, published by Aju Business Daily, was translated by AI and edited by AJP. 2025-12-10 15:19:43 -
S. Korea's top startup festival COMEUP 2025 opens in Seoul attracting global startups and investors SEOUL, December 10 (AJP) - COMEUP 2025, South Korea's largest annual startup festival, opened Wednesday at COEX in Seoul, drawing hundreds of founders, investors, and corporate leaders from around the world for three days of conferences, exhibitions, and business matching sessions. The event, held from December 10 to December 12, features startups from 46 countries and more than 270 companies presenting products and technologies across deep tech, AI, climate technology, gaming, mobile services and other sectors. Seven countries, including Saudi Arabia and India, have set up national pavilions to highlight their startup ecosystems. Scores of attendees gathered in the hall for the opening ceremony, which marked the beginning of this year’s program under the slogan "Recode the Future." Minister of SMEs and Startups Han Seong-sook welcomed participants and emphasized the importance of collaboration across the ecosystem. She noted that 2025 marks the 30th anniversary of Korea’s Venture Business Association and the twentieth year of the government’s "growth ladder" fund. "Innovation cannot be completed alone," Han said, stressing that "startups, investors, global firms, and Korea’s major companies must work together for our startup ecosystem to grow and create new opportunities." Before the ceremony, Han met with Tareq Amin, CEO of HUMAIN, Saudi Arabia’s state-backed AI company established this year by the Public Investment Fund. The two discussed cooperation opportunities in AI and deep tech, as HUMAIN considers setting up a Korean branch and expands its engagement with Korean startups. Amin delivered a keynote speech outlining the rising importance of AI and digital infrastructure in shaping global industries. Rebellions CEO Park Sung-hyun, returning as a keynote speaker for the second year, shared insights from Korea’s semiconductor and deep-tech sectors and reflected on the evolving nature of entrepreneurial innovation. Over the next three days, COMEUP 2025 will host sessions on AI, climate solutions, mobile ecosystems, youth entrepreneurship, and founder culture. According to the Korea Startup Forum, the event organizer, more than 2,000 business meetings are expected, with venture capital firms, corporate venture capital teams, and accelerators participating. 35 global, large, and mid-sized companies are also taking part through booths and special programs designed to facilitate open innovation. 2025-12-10 15:00:41 -
Korea's job strength mostly led by temp hires in services, youth jobless deepens SEOUL, December 10 (AJP) - South Korea’s labor market continued to show an increasingly asymmetric pattern in November, with headline employment gains masking a deepening slump among young adults and a widening pool of NEET (not in education, employment or training) youth. The number of people on payroll reached 29.05 million, up 225,000 from a year earlier, yet employment among those aged 15 to 29 fell by 177,000 over the same period, according to the Ministry of Data and Statistics on Wednesday. The youth employment rate dropped 1.2 percentage points to 44.3 percent, extending its decline to a 19th consecutive month. Overall, job conditions improved modestly for older cohorts: employment rose 0.2 percentage point to 80.9 percent for those aged 30–39, 1.2 percentage points to 80.7 percent for those 40–49, and 0.5 percentage point to 78 percent for those 50–59. Youth unemployment deteriorated, climbing 0.2 percentage point month-on-month to 5.5 percent, more than double the national jobless rate of 2.2 percent. The divergence from older workers widened, as unemployment continued to fall among those aged 50 and above. The “idled” population — who voluntarily dropped out of the labor force despite being physically able — further underscored the strain on the young. People aged 15–29 accounted for 16.3 percent in the idled group, second to the retired age of 60 and older who made up 45.1 percent. Those who gave up job hunt after futile job search numbered 353,000, up 18,000. Employers cite a prolonged domestic slump across manufacturing, construction, and agriculture. Construction posted the sharpest decline, shedding 131,000 workers from a year ago, reflecting a deep downturn spanning housing, civil engineering, and infrastructure. Manufacturers cut 41,000 jobs — the smallest drop since October 2024 but still indicative of weak industrial momentum. Agriculture, forestry and fisheries lost 132,000 workers, or 8.6 percent, as employers increasingly turn to foreign labor to offset Korea’s high minimum wage. Most of November’s job gains came from the services sector, heavily reliant on temporary and irregular hires. Employment in healthcare and welfare services rose 281,000, or 9.3 percent, buoyed by demographic-driven demand. Jobs in arts, sports, and leisure increased by 61,000, reflecting a rebound in consumer-facing spending even as the broader economy slows. 2025-12-10 14:58:16 -
Park Chan-wook's film picks up more nominations at US awards SEOUL, December 10 (AJP) - Director Park Chan-wook's latest film "No Other Choice" has been nominated for the annual Critics Choice Awards to be presented early next month. Park's 12th feature, adapted from American writer Donald E. Westlake's novel "The Ax," earned two nominations for "Best Adapted Screenplay" and "Best Foreign Language Film." The 139-minute thriller revolves around a man who believes he has achieved everything in life until he is suddenly laid off and must find a new job to support his family. With the year-end awards season just beginning, the film also secured four Golden Globe nominations earlier this week, along with "Bugonia," a Hollywood remake of the 2003 South Korean film "Save the Green Planet!" The 31st Critics Choice Awards, which honor achievements in cinema and television, are scheduled to be held in Santa Monica, California on Jan. 4. 2025-12-10 14:46:29 -
SK Gas, POSCO form alliance to lead push for hydrogen ecosystem SEOUL, December 10 (AJP) - SK Gas and POSCO Holdings have launched a new industry alliance aimed at building a domestic blue hydrogen ecosystem in South Korea, as companies and public institutions move to accelerate the transition to lower-carbon energy. The “K-Blue Hydrogen Alliance” was inaugurated on Wednesday at the POSCO Center in Seoul, bringing together 15 organizations including SK Ecoengineering, POSCO, the Korea Agency for Infrastructure Technology Advancement, the Korea Institute of Industrial Technology and Korea Gas Corporation. The alliance seeks to commercialize blue hydrogen technologies and establish a Korean industrial ecosystem, as blue hydrogen — produced from natural gas with carbon capture — gains traction as a lower-emissions alternative in hard-to-abate sectors. The initiative follows an August forum hosted by the partners to discuss the role and scalability of blue hydrogen with academic and industry experts. The alliance will serve as a platform for joint research, policy coordination and industry collaboration. Under the agreement, members will focus on advancing hydrogen production technologies, carrying out demonstration projects and developing business models, while laying the foundations for a domestic industrial base. From next year, the alliance plans to conduct detailed technical and market studies, hold regular working-level meetings and finalize strategic cooperation frameworks among participants. “The launch of this alliance marks a new milestone for Korea’s hydrogen industry,” said Kim Chul-jin, vice president of SK Gas, adding that the group would work to build a comprehensive domestic blue hydrogen ecosystem. Kim Ki-soo, chief technology officer of POSCO Holdings, said the alliance would focus on delivering practical and verifiable results to support the country’s industrial energy transition. * This article, published by Aju Business Daily, was translated by AI and edited by AJP. 2025-12-10 14:20:56 -
Busan subway to ban e-scooters, high-capacity lithium batteries over fire risk SEOUL, December 10 (AJP) - Busan plans to ban personal mobility devices and large-capacity backup batteries equipped with high-capacity lithium batteries from its subway system, citing growing fire safety concerns. The Busan Transportation Corporation said on Wednesday it is revising its passenger transport regulations to introduce the ban. The restrictions will apply to personal mobility devices that use lithium batteries and to backup batteries with capacities exceeding 160 watt-hours, roughly four times the size of typical portable power banks. Mobility aids used by people with disabilities will be exempt. The move follows a series of fires and smoke incidents linked to lithium batteries on urban rail systems. In September, the Ministry of Land, Infrastructure and Transport urged operators to minimize the carriage of devices with large lithium batteries, prompting other cities, including Seoul, to consider similar measures. Busan Transportation Corporation said internal reviews have been completed and that the rules could take effect as early as next month, subject to approval by its board and authorization by the city government. Once implemented, station staff will be authorized to prevent passengers from boarding or to ask them to disembark if they are found carrying restricted devices. * This article, published by Economic Daily, was translated by AI and edited by AJP. 2025-12-10 14:02:39 -
Samsung SDI secures $1.36 billion U.S. deal, marking foray into LFP battery market SEOUL, December 10 (AJP) - Samsung SDI announced Wednesday its U.S. subsidiary has clinched a deal worth more than 2 trillion won ($1.36 billion) to supply lithium iron phosphate (LFP) batteries to an American energy infrastructure company, Samsung SDI America signed the multi-year contract with an undisclosed U.S. energy infrastructure developer and operator to supply LFP batteries for energy storage systems over three years starting in 2027. The deal represents about 15 percent of Samsung SDI's projected annual revenue of 13 trillion won. The batteries will be produced at Samsung SDI's Indiana plant, a joint venture with Stellantis that began operations in December 2024. The company said it is converting some electric vehicle battery production lines to ESS manufacturing in response to shifting market demand. The LFP cells will be installed in Samsung Battery Box 2.0, a 20-foot container integrating batteries with fire safety systems. "This large-scale, long-term ESS contract for LFP batteries is significant as it has enabled the company to secure a new market," a Samsung SDI spokesperson said. "We plan to expand supplies of ESS products with strong fire safety, performance and price competitiveness to global customers." The firm added that it is in talks with multiple global customers over additional LFP and nickel-cobalt-aluminum battery deals. U.S. demand for energy storage systems is projected to more than double to 142 gigawatt-hours in 2030 from 59 GWh this year, according to market research firm SNE Research, with growing preference for LFP chemistry due to its cost efficiency and safety. The deal comes two days after LG Energy Solution announced its contract with Mercedes-Benz to supply what industry analysts widely believe to be LFP cells, positioning the Korean battery makers to capitalize on American and U.S. efforts to reduce reliance on Chinese battery suppliers. 2025-12-10 13:51:24 -
ChatGPT unrivalled 2025 app winner in Korea SEOUL, December 10 (AJP) - OpenAI's generative artificial intelligence ChatGPT was the standout app winner in South Korea this year, expanding user base nearly threefold between January and November, according to analytics firm WiseApp/Retail Wednesday. The AI assistance recorded a 196.6-percent surge in users from January to November, far outpacing growth across Korea's most competitive sectors from ecommerce to beauty and fintech. Other fast risers included bargain-shopping app Daiso Mall, which grew 31.9 percent, followed by beauty retailer Olive Young at 30.8 percent and Samsung’s financial management app Monimo at 28.1 percent. Ecommerce platform Gmarket increased 26.5 percent, fashion mall Musinsa 21.1 percent, TikTok Lite 18.5 percent, KakaoPay 17.7 percent, TikTok 14.6 percent, and Naver Pay 14.4 percent. In monthly active users, ChatGPT also dominated. The app averaged 16.72 million users over the past 11 months — nearly double the next-largest platform measured. KakaoPay followed with 9.13 million monthly users, trailed by Olive Young at 8.59 million, TikTok at 7.94 million, Musinsa at 7.44 million, Gmarket at 6.64 million, Monimo at 6.04 million, Naver Pay at 5.42 million, TikTok Lite at 4.74 million, and Daiso Mall at 4.05 million. WiseApp/Retail’s survey is based on a sample of Android and iOS smartphone users in Korea and reflects a year in which AI tools broke decisively into mainstream consumer behavior, overtaking longstanding leaders across retail, payment, and entertainment categories. 2025-12-10 13:32:04