Journalist

Lee Hugh
  • Seoul at a strategic crossroads as Hormuz crisis deepens
    Seoul at a strategic crossroads as Hormuz crisis deepens SEOUL, May 06 (AJP) - A third Korea-bound tanker has begun a longer but safer voyage through the Red Sea to carry much-needed crude home, while an HMM cargo carrier damaged by an explosion in the heart of the Strait of Hormuz is being towed toward port — two parallel scenes underscoring the growing price South Korea is paying for its heavy dependence on Middle Eastern energy supplies. With both Washington and Tehran claiming the upper hand over the strategic chokepoint, uncertainty over who truly controls the Strait of Hormuz has intensified. As of Wednesday, 26 Korea-related vessels carrying 173 crew members remained stranded inside the Persian Gulf on dwindling resources, adding urgency to Seoul’s strategic calculations. The possibility that Iranian militant forces may have been involved in the latest maritime incident has fueled calls for Korea to reconsider its cautious stance toward Washington’s repeated requests to join “Project Freedom,” the U.S.-led naval operation aimed at restoring safe passage through Hormuz. Seoul has simultaneously been courted by both the U.S. and a separate Europe-led framework seeking to reopen the waterway responsible for roughly one-fifth of global energy flows. The focal point of the latest tensions is the Namu, an HMM-operated cargo ship that suffered an explosion near the port of Umm Al Quwain in the United Arab Emirates at around 3:40 p.m. Monday. The Ministry of Oceans and Fisheries said 24 crew members — including six Koreans and 18 foreign nationals — were aboard. No casualties were reported. An HMM official said Wednesday the company had secured a tugboat and expected towing operations to begin later in the evening. “The schedule remains subject to several variables, but if the operation proceeds quickly, the vessel could arrive in Dubai by Thursday night,” the official said. A full investigation into the cause of the explosion is expected once the vessel docks in Dubai. HMM said Iran had expanded its control zone in the Strait of Hormuz on the day of the accident, although the Namu itself was not inside the restricted area. Four other HMM vessels remained anchored near the control line alongside hundreds of ships awaiting passage clearance. Speculation over a possible external strike quickly emerged, but industry officials and union representatives cautioned against premature conclusions, noting the absence of visible structural damage consistent with a missile or drone attack. “If a fire had been caused by an external factor, there would have to be signs of damage to the hull, but no such signs have been reported,” said Jeon Jeong-geun, head of HMM’s seafarers’ union. “Nearby vessels have also reported no major visible damage.” Jeon added that further inspection would still be required to determine whether the vessel sustained damage below the waterline. “Whether a strong shock wave was transmitted can only be determined after checking the condition of the underwater hull,” he said. He also directly challenged U.S. President Donald Trump’s characterization of the incident. “President Trump’s remarks are far from the facts,” Jeon said. “Our vessels were anchored, not sailing, when the damage occurred.” South Korea’s Foreign Ministry said the exact cause would only be determined after the vessel undergoes inspection at port. The Iranian Embassy in Seoul on Wednesday denied any involvement by Iranian armed forces in the incident, saying Tehran “firmly rejects and categorically denies” allegations linked to the damage to the Korean vessel. It said safe passage through the Strait of Hormuz requires compliance with Iranian regulations, warnings and designated routes, adding that disregarding such requirements “may lead to unintended incidents.” Trump, however, has repeatedly used the incident to intensify pressure on Seoul. “Their ship was smashed yesterday. But the ships protected by the U.S. were not attacked,” Trump said on Tuesday, arguing that South Korea should join Project Freedom. The U.S. launched Project Freedom on Sunday to escort commercial vessels trapped in the Strait of Hormuz. A merchant ship operated by Danish shipping giant Maersk became the first stranded vessel to successfully transit the strait under U.S. naval escort. Yet the operation’s future quickly became uncertain after Trump abruptly announced its suspension on the second day, fueling questions over Washington’s next move. Some analysts interpreted the reversal as part of Trump’s familiar negotiating strategy of maximizing pressure before pursuing talks, while others suggested the mission may have imposed greater operational burdens on the U.S. military than initially anticipated. For Seoul, the crisis presents a far more complex challenge than previous overseas naval deployments. Unlike South Korea’s anti-piracy missions near Somalia under the Cheonghae Unit in 2020, the Hormuz situation involves an active war environment, including risks from Iranian drone attacks and naval mines whose locations may not be fully identified. Trump has repeatedly singled out South Korea while calling for allied naval participation, and U.S. Defense Secretary Pete Hegseth has also publicly urged allies, including Seoul, to shoulder greater military responsibilities. But joining U.S.-commanded operations carries significant diplomatic risks. If South Korean naval forces operate directly under U.S. command in the strait, Seoul could be perceived as assuming a more active role in the conflict itself, according to an industry official. At the same time, South Korea has been participating in a separate U.K.-French initiative involving roughly 40 countries aimed at supporting the eventual postwar reopening of the strait. Discussions began with a France-hosted virtual meeting of military chiefs in March and have since continued at the general officer level, with broad agreement on the need for international coordination to maintain freedom of navigation. Domestic politics pose another obstacle. Expanding the Cheonghae Unit’s operational mandate from the Gulf of Aden to Hormuz — or altering its mission area entirely — would likely require parliamentary approval, transforming the issue into a politically sensitive national debate rather than a purely military decision. For now, Seoul appears inclined toward more limited contributions, such as dispatching liaison officers to multinational headquarters or strengthening intelligence-sharing arrangements. Such measures would allow South Korea to respond to allied pressure while minimizing direct military exposure. Still, the European-led framework remains largely focused on postwar maritime stabilization, leaving unresolved the immediate dangers facing Korean crew members and vessels trapped inside the Gulf. With the U.S.-Iran standoff continuing, market expectations suggest normalization of Hormuz shipping traffic could take far longer than initially hoped. As of 4 p.m. Wednesday Korean time, prediction market Kalshi estimated a 60.8 percent probability that shipping operations through Hormuz would return to normal by Oct. 1. Analysts say the crisis has evolved beyond a simple question of naval deployment into a broader test of South Korea’s diplomatic balancing strategy between its alliance obligations with Washington and its preference for multilateral risk management. “For Trump, this is an incident that is very easy to use politically at a time when no country other than Israel is openly siding with the war,” said Jeong Kyung-woon of the Korea Military Studies Association. Jeong added that any deployment of South Korean military assets would likely remain limited for now. But if tensions in the Middle East worsen or the blockade drags on, pressure on Seoul to assume a more active military role is expected to intensify. 2026-05-06 16:57:21
  • Japan Begins Talks to Export Used Destroyer Escorts to the Philippines
    Japan Begins Talks to Export Used Destroyer Escorts to the Philippines Japan has begun full-scale talks with the Philippines on exporting used Maritime Self-Defense Force destroyer escorts, the first such ship-export discussions since Tokyo effectively allowed exports of defense equipment with lethal capability last month. The move comes as Japan accelerates defense sales and security ties in Southeast Asia, raising the prospect of competition with South Korean defense firms. The Yomiuri Shimbun, Nikkei and Asahi Shimbun reported Tuesday that Japanese Defense Minister Shinjiro Koizumi met Monday in Manila with Philippine Defense Secretary Gilberto Teodoro. They agreed to set up a working-level group to discuss exporting used MSDF destroyer escorts and signed a joint statement to expand cooperation on defense equipment and technology. The ships under consideration include the Abukuma-class destroyer escorts, a six-ship class commissioned from 1989 to 1993. The multipurpose vessels can carry anti-submarine and anti-ship missiles and torpedoes. With more than 30 years in service, Japan’s Defense Ministry is moving to retire them in stages. The working group will also discuss the transfer of the MSDF’s TC-90 training aircraft, along with training, maintenance and operations support. The talks follow Japan’s April 21 revision of guidelines for its “Three Principles on Transfer of Defense Equipment and Technology,” which had limited exports to five categories — rescue, transport, warning, surveillance and minesweeping — known as the “five types.” With that restriction removed, exports of destroyer escorts with lethal capability became possible in principle. Asahi said that if the export is realized, it would be the first case since the rules were eased. Koizumi said the revision would “further strengthen Japan’s contribution to peace and stability in the region and the world,” and Teodoro expressed support and expectations, the reports said. Japan and the Philippines have been tightening security cooperation amid China’s expanding maritime activities. In their joint statement, the two sides named China and said they shared “serious concerns” about “coercive activities” in the East China Sea and South China Sea. They also reaffirmed strong opposition to attempts to unilaterally change the status quo by force. Nikkei said the cooperation could extend beyond arms exports to Japan’s broader strategic posture. If the Philippines adopts Japanese destroyer escorts, Japan could build local facilities capable of maintaining MSDF ships, expanding its operational base in Southeast Asia. It could also help disperse MSDF forces in an emergency, the paper said. Japan has rapidly expanded security cooperation with the Philippines. Coastal surveillance radar provided through Japan’s Official Security Assistance program has been deployed in the Philippines this year, and the two sides are coordinating a possible export of information processing and command-and-control systems, Asahi reported. The Philippines is also said to be interested in the Ground Self-Defense Force’s Type 03 medium-range surface-to-air missile, which intercepts enemy aircraft and cruise missiles. Institutional hurdles remain before any ship transfer. The Philippine side is reported to want a free or low-cost transfer, which would require revising Japan’s Self-Defense Forces law. Yomiuri and Asahi said the Japanese government plans to pursue legal changes in next year’s regular Diet session. Japan’s push to broaden security ties is not limited to the Philippines. Prime Minister Takaichi held a summit in Australia on Sunday and agreed to proceed smoothly with a project to jointly develop new Australian Navy ships based on an improved version of Japan’s Mogami-class destroyer escort. Also Sunday in northern Philippines, the Self-Defense Forces took part in a large-scale U.S.-Philippine exercise, Balikatan, in what was described as its first full participation. A total of 17,000 personnel from seven countries — Japan, the United States, the Philippines, Australia, New Zealand, France and Canada — joined the drills, with Japan dispatching about 1,400 troops. As Japan expands defense exports, some analysts see likely competition with South Korea’s defense industry. Renato De Castro, a professor at De La Salle University in the Philippines, told Asahi that Japanese products are expensive and that South Korean firms already have a foothold in the Philippines, making competition unavoidable. He also cited the challenge of building maintenance systems for exported weapons. South Korea has expanded defense cooperation with the Philippines by exporting FA-50 light attack aircraft and warships, among other items. In Japan, critics have also voiced concern about a government more willing to export weapons. Asahi reported that at a pro-constitution rally held Saturday on Japan’s Constitution Memorial Day, Japanese Communist Party leader Tomoko Tamura criticized Japan for becoming a “merchant of death” nation. Some participants also warned that Japan’s postwar principle of exclusively defense-oriented policy under its pacifist constitution is being undermined.* This article has been translated by AI. 2026-05-06 16:57:20
  • Seoul mayoral rivals Jung Won-oh and Oh Se-hoon trade barbs over housing supply
    Seoul mayoral rivals Jung Won-oh and Oh Se-hoon trade barbs over housing supply Democratic Party candidate Jung Won-oh and People Power Party candidate Oh Se-hoon, both running for Seoul mayor, campaigned for older voters on May 6 by each calling himself “Seoul’s eldest son,” while continuing to clash over housing supply. The two appeared together in the morning at the Seoul chapter’s 54th Parents’ Day event of the Korea Senior Citizens Association at Jangchung Arena in Jung-gu. Oh arrived first, and Jung came in slightly after the opening time. They greeted each other with smiles and a handshake, but competed in their remarks. Jung said he remembered seniors’ contributions to the country and society, adding, “When I was Seongdong district mayor, you called me Seongdong’s eldest son. Now I will become Seoul’s eldest son.” After Jung left for another schedule, Oh told the audience, “The real eldest son of Seoul greets you,” and said his first pledge was a “healthier, higher-quality-of-life special city, Seoul.” He said he would pursue “healthy longevity” and make Seoul “the world’s longest-living city.” The rivals also kept up their dispute over how to expand housing supply in Seoul. Oh announced an afternoon pledge he called a “comprehensive plan to expand a housing mobility safety net” aimed at stabilizing housing for residents without homes. The plan’s centerpiece is supplying 123,000 public rental units and 6,500 public for-sale units by 2031. For the public for-sale portion, Oh proposed a “Baro Nae Jip” model that includes land-lease apartments priced at about half of nearby market levels and installment-plan apartments requiring a 20% upfront payment. He also pledged to expand long-term jeonse housing — which he said carries no risk of jeonse fraud — from 37,000 units to 106,000 by 2031. “With an overwhelming expansion of supply, we will lower the barriers for residents without homes to enter homeownership and greatly increase safe housing options without worries about jeonse fraud,” Oh said. Oh also launched what he called a “Real Estate Hell Citizens Countermeasures Committee,” criticizing the real estate policies of the Lee Jae-myung government and Jung. At the committee’s kickoff news conference, Oh took aim at Jung’s pledge to expand non-apartment supply, including villas, saying many Seoul residents want newly built apartments. “Policies that ignore reality are bound to fail,” he said. Jung’s campaign quickly pushed back. Kim Gyuhyun, a spokesperson for Jung’s election committee, said in a statement that Oh’s side was “recklessly trying to divide” residents who live in apartments and those who do not. Kim questioned whether an apartment supply plan that takes 10 years until move-in could address the urgency of residents facing jeonse contract expirations as soon as next year. Kim said Jung would shorten redevelopment project timelines to within 10 years and use villas, urban lifestyle housing and purchased rental housing together to pursue long-term supply while responding in the short term. He also said Jung would build “high-quality villa models” with safety, security and community features to broaden stable housing options for young people, newlyweds, one-person households and older single-person households. Jung’s campaign also criticized Oh’s “Real Estate Hell” committee. Spokesperson Park Kyung-mi pointed to Oh as responsible for what she called failures in Seoul’s real estate policy, saying, “The more he tries to mislead public opinion with provocative words, the noose will only tighten around himself.” She added, “Distorting facts and blaming others cannot cover up the failures of a four-term mayor.”* This article has been translated by AI. 2026-05-06 16:55:34
  • Korea Mint’s ‘Money Pollock’ Magnet Draws Buzz for Upcycled Banknote Dust
    Korea Mint’s ‘Money Pollock’ Magnet Draws Buzz for Upcycled Banknote Dust A currency-themed merchandise item released by the Korea Minting and Security Printing Corp. is drawing attention online. Posts on online communities and social media have highlighted a “money magnet” sold through the mint’s online store, with particular focus on the “money pollock magnet.” Pollock has long been regarded as a symbol of protection, with its clear eyes said to watch over the home and its open mouth associated with welcoming good fortune. A tradition of wrapping pollock with silk thread is also described as a folk practice wishing for physical and mental well-being. The product is made as a magnet that can be attached to refrigerators or other metal surfaces. The mint operates an upcycling brand that uses currency byproducts generated during banknote production, including defective notes, offcuts and leftover paper. The product is said to contain about 2 grams of dust from 50,000-won notes. Online commenters wrote, “I bought it as a gift — it’s cute and seems meaningful,” “Recycling real money makes me feel like I’m doing something good,” and “I’ll keep it as a talisman.” Others said they waited a long time to buy it, were disappointed it was already sold out, or said they would wait for a sixth round of sales. The mint’s online store sells not only gold and silver products but also commemorative coins and medals, along with a range of goods using currency designs.* This article has been translated by AI. 2026-05-06 16:52:08
  • KOSME Selects 10 Teams for In-House AI Transformation Challenge
    KOSME Selects 10 Teams for In-House AI Transformation Challenge The Korea SMEs and Startups Agency, known as KOSME, said it is stepping up efforts to strengthen employees’ artificial intelligence skills and data-use capabilities as organizations move into an era of AI transformation. KOSME said Tuesday that 10 teams have advanced to the finals of its in-house AI transformation, or AX, challenge. The selected teams will begin developing AI-based services aimed at solving on-the-job problems. The AX challenge is an internal innovation competition in which employees identify inefficiencies in their work and build AI-based services to address them, or use AI coding tools to improve tasks. KOSME said the program is designed so nonprofessional developers can lead service development. The challenge is being held in two categories — improving work efficiency and enhancing customer service — and drew 41 submissions. After an internal review, KOSME selected 10 projects it said showed strong creativity and potential for practical use and wider adoption. Selected projects include an “AI-based program to check performance indicators for policy loans,” an “AI-based assistant for corporate evaluation work,” and an “upgrade of the safety and health management system through AI-based ad hoc risk assessments.” KOSME said it will run an intensive training program from May through August to improve AI skills for the 10 teams and provide one-on-one coaching by experts to support implementation and service upgrades. It plans to conduct user testing and verify service stability through October, then select and reward four best cases in November. KOSME previously received the top rating in the Ministry of the Interior and Safety’s “2025 data-based administration evaluation.” It also won a minister’s award at a government innovation competition and received a citation for contributions to promoting the data industry. Lee Byeong-cheol, KOSME’s vice president, said the agency will “strengthen employees’ ability to use AI and continue to produce tangible results in work innovation that the public can feel in everyday life.”* This article has been translated by AI. 2026-05-06 16:51:17
  • South Korea Tightens State Contract Rules After Serious Accidents, Raises Bond Requirements
    South Korea Tightens State Contract Rules After Serious Accidents, Raises Bond Requirements Contractors sanctioned after a serious industrial accident will have to post a higher contract bond if they sign a state contract after a court grants a temporary suspension of the sanction. The government will also tighten safety requirements at the bidding stage, allowing only companies with safety-related certification to bid on some contracts.  The Cabinet on the 5th reviewed and approved a partial revision to the Enforcement Decree of the State Contract Act reflecting those measures. The revision focuses on easing management burdens through more rational payment procedures, strengthening safety management to ensure stable performance of state contracts, and improving fairness by supplementing contract rules.  Earlier, the Ministry of Economy and Finance submitted to the National Assembly a report on follow-up actions to the 2024 National Assembly audit and said it planned to revise the enforcement decree. The move is seen as raising bond requirements for sanctioned firms while reducing burdens on contracting agencies.  To strengthen safety from the outset, the revision creates a legal basis to limit eligibility for contracts requiring specialized safety standards to companies with safety certification and the necessary professional staff and technology.  Firms sanctioned for serious violations — including serious accidents and bid rigging — will face higher bond requirements. If a sanctioned company signs a contract after a court accepts an injunction suspending the sanction’s effect, the contract bond rate will rise to 20% from 10%.  The payment process will also be adjusted. Previously, when a competitive bid failed and a contract was then awarded through a private contract, only turnkey projects could reflect price changes by adjusting the total project cost and then revising the contract amount. Under the revision, contract amounts may also be changed when a private contract is signed after a basic-design technical proposal bid.  To reduce companies’ burdens, the contract bond rate for construction contracts will be lowered to 10% from 15%. A new provision will also allow the bond for long-term construction contracts to be eased to 5% from 10% in an economic crisis such as a disaster or recession. The government also added measures to improve fairness. In cases where it was not possible to determine provisional prices for some cost items that make up the estimated price before bidding, agencies could sign contracts subject to a post-contract cost review. Citing concerns that oversight could be insufficient, the revision requires a resolution by the contract review committee when the combined share of such items is 20% or more, and requires both a contract review and notification to the Board of Audit and Inspection when the share is 50% or more. A ministry official said the government will continue working to reduce companies’ management burdens while strengthening safety management in the performance of public contracts, adding that it will keep improving the contract system by reflecting difficulties in the field. * This article has been translated by AI. 2026-05-06 16:48:17
  • Report: China Targets 70% Domestic Silicon Wafers for Chipmakers This Year
    Report: China Targets 70% Domestic Silicon Wafers for Chipmakers This Year China is aiming for domestic products to supply more than 70% of the silicon wafers used by its semiconductor manufacturers this year, according to a report. Nikkei Asia reported on May 5 (local time), citing multiple anonymous sources, that the target is part of an aggressive push to localize China’s semiconductor supply chain. The sources said the goal is being treated among Chinese chipmakers as an unspoken directive to use domestically made 12-inch (300mm) wafers. Unlike other self-sufficiency targets, they said, this one appears achievable and could become a major milestone in China’s semiconductor self-reliance strategy. One industry official said “only 30% of the market will still be open to foreign companies,” adding that some Chinese chipmakers are pursuing advanced chip production and that segment still needs support from leading foreign suppliers. For China’s domestic market focused on mature processes and legacy semiconductors, the official said, Chinese-made silicon wafers can already meet demand and required standards. Silicon wafers are the substrate used to produce most logic and memory chips and are considered a key semiconductor material. Twelve-inch wafers are mainly used for advanced logic and memory chips, while traditional 8-inch wafers are used for older-generation chips and some power semiconductors. China is widely seen as already able to supply a significant share of its needs for 8-inch wafers. Xi’an ESWIN Material Science and Technology, a Chinese silicon-wafer maker, said it expects to secure monthly capacity of 1.2 million wafers by 2026, enough to meet 40% of China’s demand for 12-inch silicon wafers. It also forecast its global market share would exceed 10%. Sources said ESWIN is building new plants in Xi’an, Shaanxi province, and Wuhan, Hubei province, and plans to add monthly capacity of 700,000 wafers this year. China’s foundries SMIC and Hua Hong Semiconductor, and memory makers YMTC and CXMT, are among ESWIN’s major customers. ESWIN said domestically made wafers are becoming the default option as new semiconductor plants are built and expanded in China. ESWIN also said it already supplies products to multiple global customers, including Micron and TSMC, and that Samsung Electronics and SK hynix, which have large production bases in China, are testing its products. David Dai, an analyst at Bernstein Research, said China was able to meet about 50% of its demand for 12-inch silicon wafers last year and that the share is expected to keep rising this year. Bernstein Research said Chinese companies’ share of the global silicon-wafer market by production capacity rose from 3% in 2020 to about 28% last year and is projected to expand to about 32% this year. The silicon-wafer market has traditionally been led by Japan’s Shin-Etsu Chemical and Sumco, Taiwan’s GlobalWafers, and some South Korean and European companies. But the market is shifting as Chinese firms rapidly catch up on the back of a large domestic market. Some observers have warned that aggressive capacity expansion by Chinese companies could lead to oversupply. However, demand is also rising due to increased investment in artificial intelligence infrastructure and growing demand for advanced packaging. SEMI forecast global silicon-wafer shipments will rise 13% this year from a year earlier.* This article has been translated by AI. 2026-05-06 16:45:16
  • Stocks on unfettered rally, bonds dip as Seoul markets bet on inflation-driven rate hike
    Stocks on unfettered rally, bonds dip as Seoul markets bet on inflation-driven rate hike SEOUL, May 6 (AJP) — The rationale for higher interest rates gained ground in South Korea as inflation, long subdued by lethargic demand, accelerated at the fastest pace in 21 months in April after the blockade of the Strait of Hormuz triggered a surge in imported prices, while the benchmark stock index nearly tripled from a year earlier to touch a new four-digit milestone. According to data released by the Ministry of Data and Statistics (MDAS) on Wednesday, consumer prices rose 2.6 percent year-on-year in April, breaking out of the months-long range around 2 percent. Fuel was the primary driver, as South Korea relies heavily on Middle Eastern crude and gas for energy and manufacturing. Petroleum prices alone soared 21.9 percent from a year earlier and 7.9 percent from the previous month, contributing nearly 1 percentage point to headline inflation. Gasoline prices jumped 21.1 percent year-on-year, while diesel prices surged 30.8 percent. Kerosene prices also climbed 18.7 percent. As fuel prices rose, transportation costs followed suit. International airfares climbed 15.9 percent from a year earlier. The Baltic Dry Index (BDI), a benchmark for global shipping rates, surged more than 27 percent from 2,140 on Feb. 27 — before the conflict escalated — to 2,730 as of May 1. Economic authorities say the impact of the blockade reached the domestic market with a time lag. While vessels that cleared the Strait of Hormuz in February arrived at Korean ports by late March, supply chains began rupturing in April as shipments were cut off. And the pain may only be beginning. “The squeeze from the blockade will be reflected in second-quarter data,” Lee Dong-won, director general of economic statistics at the Bank of Korea (BOK), said during a press briefing on first-quarter GDP growth on April 23. At the time, Lee said the modest 2.2 percent rise in March inflation was temporary. “The impact remained minimal through the first quarter as vessels that passed through the strait before the closure arrived in Korea by late March,” he warned. That warning has now become reality. International oil prices have continued to climb steadily. As of Wednesday afternoon, the three major oil benchmarks — West Texas Intermediate (WTI), Brent and Dubai crude — were all trading above $100 per barrel. Dubai crude, which accounts for about 70 percent of South Korea’s crude imports, has maintained its upward trend even after the United Arab Emirates (UAE) withdrew from OPEC and other members announced production increases. Given the tense tug-of-war between the United States and Iran over control of the strategic chokepoint, oil prices are unlikely to normalize anytime soon. The National Assembly Budget Office (NABO) estimated that South Korea’s economic growth could slow to 1.2 percent from its initial estimate of 2 percent if international oil prices remain above an annual average of $100 per barrel. It also projected inflation to average 2.9 percent, well above the central bank’s 2 percent target. Following stronger-than-expected 1.7 percent GDP growth in the first quarter and a red-hot streak in chip earnings and stocks, major investment banks have sharply raised their forecasts for Korea this year. JPMorgan Chase lifted its growth estimate to 3.0 percent from 2.2 percent, BNP Paribas raised its forecast to 2.7 percent from 2.0 percent and Citigroup increased its projection to 2.9 percent from 2.2 percent. Higher growth and inflation forecasts could further fuel inflation expectations at a time when price pressures are already becoming entrenched. Bond prices hit fresh annual lows on expectations that rates may move higher. The yield on the three-year government bonds retreated to 3.595 percent after hitting annual high of 3.641 percent in the morning while the ten-year yield ended at 3.932 percent after flirting close at 4.00 percent in earlier session, building pressure around the benchmark interest rate, which has stayed unchanged at 2.5 percent since May last year. Pessimists warn that the chip and stock frenzy may be overheating, particularly as leveraged investment accelerates. The KOSPI continued to stun markets, ending Wednesday up 6.45 percent at 7,384.56, outpacing the S&P 500 index’s Tuesday close of 7,259.22. “The prolonged Middle East war could lower South Korea’s economic growth rate by 0.9 percentage point,” Albert Park, chief economist of the Asian Development Bank (ADB), said during a press conference at the ADB annual meeting in Samarkand, Uzbekistan. The ADB nevertheless raised its growth forecast for South Korea to 1.9 percent from 1.7 percent earlier in April. 2026-05-06 16:45:00
  • Ace Bed Releases Omniscient Sleep View Video With Science-Based Sleep Tips
    Ace Bed Releases 'Omniscient Sleep View' Video With Science-Based Sleep Tips Ace Bed has released a street-interview video series, 'Omniscient Sleep View,' on its YouTube channel in collaboration with science communicator Orbit, aiming to offer practical, science-based advice to South Korean office workers struggling with sleep deprivation. The company said on the 6th that the content meets people on the street to hear their sleep concerns and suggest solutions. It focuses on office workers who feel a slump around 2 p.m. and on the everyday experiences of the MZ generation, capturing public reactions and on-the-spot conversations. Orbit appears as “Director Gwe,” head of a sleep science lab in Ace Bed’s TV commercial universe, 'ACE in the Strange Land of Science.' In the video, he meets office workers at Yeouido Park to analyze why they feel drowsy after lunch and to share tips for better sleep. At the Gyeongui Line Forest Park in Yeonnam-dong, he offers tailored guidance to young adults whose sleep patterns vary with different lifestyles. To keep the pace lively, the series includes a “Beat Director Gwe” game with passersby, a sleep-myth “this-or-that/OX” quiz, and a “five words, 30 seconds” segment designed to deliver key points quickly. During location changes, the video also introduces Ace Bed’s mobile “Sleep Engineering Research Lab” vehicle, presenting a service that uses advanced measuring equipment to recommend a customized bed. Ace Bed said its partnership with Orbit began in April 2024 on Orbit’s science YouTube channel, 'Unlikely Science.' The company later named him a brand model and released the August 2024 TV commercial 'The Sleep Formula Everyone Knows: Bed = Science,' followed by the March 2025 digital campaign ad 'The Law of Conservation of Good Sleep.' According to OECD statistics, South Koreans sleep about 6 hours and 30 minutes a day on average, placing them near the bottom among OECD member countries. The OECD average is 8 hours and 22 minutes. An Ace Bed official said the company planned the content to extend the sleep science it has explored with Orbit into everyday life and to share concerns many people can relate to. The official said the company hopes the mix of expertise and entertainment will help it connect more closely with customers.* This article has been translated by AI. 2026-05-06 16:42:17
  • Kurly to Sell 33 Billion Won in New Shares to Naver, Raising Stake to 6.2%
    Kurly to Sell 33 Billion Won in New Shares to Naver, Raising Stake to 6.2% Retail tech company Kurly is moving to deepen its partnership with Naver. Kurly said in a regulatory filing on the 6th that it will carry out a third-party allotment paid-in capital increase for Naver. Kurly will issue 498,882 new common shares at 66,148 won per share. Naver will subscribe to all of the newly issued shares, Kurly said. The issue price was set by mutual agreement based on Kurly’s most recent fundraising round, the company said. Based on that, Kurly’s overall valuation is estimated at about 2.8 trillion won. After the capital increase is completed, Naver’s stake in Kurly will rise to 6.2%. Kurly said it plans to use the 33 billion won raised to support mid- to long-term growth, including expanding logistics infrastructure, a key to delivery competitiveness, and funding new businesses. Kurly and Naver signed a strategic partnership in April last year and have expanded cooperation, including opening the “KurlyN Mart” grocery section on the Naver Plus Store in September of the same year. Kurly Nextmile, Kurly’s logistics subsidiary, handles dawn delivery for products sold through Naver Smart Store and Brand Store, the company said. Kurly CEO Kim Seul-a said, “With this investment as a turning point, the two companies plan to further strengthen cooperation as strategic partners and achieve meaningful synergy and rapid growth.” Kurly said its consolidated revenue last year rose 7.8% from a year earlier to 2.3671 trillion won. Operating profit came to 13.1 billion won, swinging to a profit from an 18.3 billion won operating loss a year earlier. Gross merchandise value increased 13.5% to 3.5340 trillion won. The company attributed improved profitability to balanced growth in its core fresh food business and its Beauty Kurly cosmetics unit, as well as results from KurlyN Mart. Samsung Securities said KurlyN Mart’s monthly transaction volume has increased by more than 50% each month since launch. * This article has been translated by AI. 2026-05-06 16:39:16