Journalist

Jo Seong-jun
  • Samsung Electronics Faces Growing Divide Between Chip and Device Units as Union Rift Deepens
    Samsung Electronics Faces Growing Divide Between Chip and Device Units as Union Rift Deepens Samsung Electronics is seeing an increasingly stark performance gap between its semiconductor business (DS) and its device business (DX), and the divide is now spilling into open friction inside its labor groups. According to industry officials on May 5, Samsung’s first-quarter results showed the DS division posting more than 53 trillion won in operating profit, accounting for most of the company’s earnings. The DX division, which covers mobile phones, TVs and home appliances, posted about 3 trillion won over the same period. DS operating margins were well above 60%, while DX margins were in the single digits. Some in the industry are even raising the possibility that DX could post an annual loss, and analysts say restructuring has already begun in parts of the home-appliance business. That imbalance has become a direct backdrop to labor tensions. A joint struggle committee led by an umbrella union has demanded that Samsung pay 15% of DS operating profit as performance bonuses and has signaled the possibility of a strike. That would amount to several hundred million won per person, a level some outsiders view as excessive. Amid the dispute, the Donghaeng union, made up largely of DX workers, formally withdrew from the joint committee on May 4. The union cited DS-centered agenda-setting and a lack of internal communication as reasons for leaving. Some observers say the split reflects more than a tactical disagreement, arguing that outsized compensation demands — raised as DS workers view the division’s results as their own achievement — have widened cracks across the organization. They also say a DS-driven labor campaign does not match the reality facing DX employees under restructuring pressure. Shin Je-yoon, chairman of Samsung Electronics’ board, recently posted a message on the company’s internal bulletin board urging the sides to close ranks. “For the semiconductor business, a foundational national industry, timing and customer trust are key,” he wrote, warning that development or production disruptions and missed delivery dates could “undermine fundamental competitiveness,” drive customers to rivals and erode market leadership. He added that it was time for employees to unite and resolve issues through “sincere dialogue.” There are also reports that some global customers are stepping up checks on delivery stability risks and monitoring the possibility of internal production disruptions. Many in the industry view the situation as more than a wage dispute, saying it reflects structural change and conflicting interests between business divisions. As long as DS continues to post strong results, the case for bigger bonuses may persist, but from a companywide perspective it could weaken internal cohesion. Experts say the semiconductor business now faces the need to manage internal conflict risks alongside external competition. An industry official said the DS union’s bonus push has spread beyond concerns about competitiveness to broader internal conflict, creating a crisis that could damage the strength of the Samsung brand.* This article has been translated by AI. 2026-05-05 18:04:09
  • Samsung Electronics board chair urges talks to resolve labor dispute
    Samsung Electronics board chair urges talks to resolve labor dispute Shin Je-yoon, chairman of Samsung Electronics' board, posted a public message to employees urging management and labor to resolve their dispute through dialogue. In a post on the company's internal bulletin board on the 5th, Shin said he was concerned about the situation and felt a strong sense of responsibility.  "Many people, including shareholders and customers, as well as the public, are deeply worried about the company's recent situation," he wrote. "As board chairman, I feel a heavy responsibility and I am sorry for causing concern." Shin warned that a worsening standoff could damage the company's overall competitiveness. "Both labor and management could lose their footing," he said, adding that the fallout could include weaker business competitiveness, loss of customer trust, losses for shareholders and investors, and "serious negative effects" on the national economy. He pointed to the semiconductor business as particularly vulnerable. "In semiconductors, a foundational national industry, timing and customer trust are key," Shin wrote. He said disruptions in development and production, or missed delivery deadlines, could undermine core competitiveness and lead customers to shift to rivals, eroding market dominance. Shin also warned of broader economic consequences if a strike leads to heavy losses and customer departures. If the company's value falls, he said, it would cause serious losses for shareholders, investors, employees and local communities. He added that exports could drop by "hundreds of billions of dollars" and tax revenue by "tens of trillions of won," and that a weaker currency could reduce GDP. Inside Samsung Electronics, tensions have continued over wages and the performance-based pay system, with some unions leaving open the possibility of labor action. The standoff has persisted as the sides have failed to narrow differences in negotiations. Shin called for cooperation and talks. "Now is the time for all employees to unite for sustainable growth amid relentless competition and to resolve issues through sincere dialogue," he wrote. He urged employees to work together so the current conflict can become a foundation for a more constructive labor-management relationship, adding that he would do his best to work with management to find a solution. The message is notable as a case of the board directly stating its position on the labor dispute, and it could influence the course of negotiations.* This article has been translated by AI. 2026-05-05 13:33:04
  • LG Electronics Again Ranks in S&P Global’s Top 1% for ESG, Third Straight Year
    LG Electronics Again Ranks in S&P Global’s Top 1% for ESG, Third Straight Year LG Electronics has again placed near the top of major global ESG assessments, underscoring its sustainability management results. The company said Monday it was named to the “Top 1%” in S&P Global’s Corporate Sustainability Assessment for a third consecutive year. The assessment covered 9,243 companies worldwide, with only the top 1% in each industry group classified separately. LG Electronics scored 77 points in the household durables and leisure equipment category, the highest score in that industry group. Across all industries, only 70 companies made the “Top 1%” list, and just two were South Korean firms, including LG Electronics. S&P Global’s assessment reflects performance across environmental, social and governance factors. LG Electronics received consistently strong marks in key areas including environmental policy, human rights management, supply chain management and board independence, the company said. LG Electronics also said it has been included in the Dow Jones Sustainability Indices World Index for 14 consecutive years, indicating it has maintained sustainability performance in the global top 10%. Other evaluators reported similar results. In MSCI’s ESG rating, LG Electronics moved up one notch to “AA” from “A.” In EcoVadis’ assessment, it maintained a platinum rating for a second straight year, placing it in the top 1%. In Sustainalytics’ ESG risk rating, it received a “low” risk grade. The company said it is accelerating efforts to shift to renewable energy and expand resource circulation. It is pursuing a goal of converting 100% of electricity used at all business sites to renewable energy by 2050, while also improving packaging by increasing recycled plastic use and introducing paper cushioning materials. It is also seeking carbon-reduction certification using high-efficiency heat pumps, it said, as part of broader greenhouse-gas reduction efforts. On governance, LG Electronics said it is working to strengthen independence and transparency by appointing a board chair drawn from outside directors. “Recent ESG assessments are moving beyond image management and are increasingly tied directly to supply chain risk and cost structures,” an industry official said. “LG Electronics’ ability to maintain top-tier ratings is likely to translate into real business competitiveness.”* This article has been translated by AI. 2026-05-05 10:10:17
  • Blue House Monitors Samsung Electronics Strike Risk; Taiwan Growth, Iran Warning, LG Energy Deal, Nobel Field
    Blue House Monitors Samsung Electronics Strike Risk; Taiwan Growth, Iran Warning, LG Energy Deal, Nobel Field Blue House watches Samsung Electronics closely as strike deadline nears As a union-planned general strike at Samsung Electronics draws closer, the presidential office is closely tracking developments. Yonhap News reported on April 30 that the Blue House policy office recently prepared a report analyzing the potential impact on the South Korean economy if a strike materializes. Samsung Electronics has helped drive economic growth and a strong stock market during a semiconductor boom cycle, and officials are reviewing how a walkout could ripple across multiple sectors. A Blue House official called it a routine reporting process on social issues, saying the office regularly prepares reports on major public matters. Earlier, President Lee Jae-myung said at a meeting of senior aides that if some organized workers make excessive or unfair demands to protect only themselves and draw public criticism, it would harm not only that union but other workers as well. Senior presidential spokesperson Kang Yu-jeong said the remarks were not about any specific company. Taiwan posts 13.69% first-quarter growth, highest since 1987 Taiwan’s economy logged growth in the 13% range in the first quarter, boosted by surging demand for artificial intelligence semiconductors. Yonhap reported on April 30 that Taiwan’s statistics agency, the Directorate-General of Budget, Accounting and Statistics, said first-quarter gross domestic product rose 13.69% from a year earlier. It topped the previous quarter and marked the highest level since 1987, far exceeding market expectations in the 11% range. Semiconductors were the main driver as demand for AI, high-performance computing and cloud infrastructure lifted exports and investment. First-quarter exports jumped 51% from a year earlier. Results at Taiwan Semiconductor Manufacturing Co., the world’s largest foundry, also weighed heavily on the broader economy. TSMC posted a record performance, with net profit up 58% over the same period. Iran’s top leader calls U.S. attack a defeat, formalizes Hormuz control plan Iran’s top leader, Mojtaba Khamenei, described U.S. military involvement as a “defeat” and declared plans to build a new order around the Strait of Hormuz. Yonhap reported on April 30 that Khamenei, in a message marking “Persian Gulf Day,” said the U.S. attack ended in a “shameful failure” and that it was time to fully remove outside influence from the region. He said Iran would establish a new management system for the strait to block its use by hostile forces. Iran views the Strait of Hormuz as a strategic chokepoint tied directly to its security. Khamenei criticized the U.S. military presence, saying U.S. bases are vulnerable and do not guarantee regional stability. The remarks were seen as a hard-line message following U.S. and Israeli airstrikes in February. The strait is a key route for about 20% of global oil shipments, and analysts say rising tensions could affect international oil prices and maritime logistics. LG Energy Solution set to supply BMW batteries worth more than 10 trillion won LG Energy Solution posted a first-quarter loss despite expectations for large orders, but is seeking a rebound by expanding its electric-vehicle battery and energy storage system businesses. Yonhap reported on April 30 that LG Energy Solution is expected to supply BMW with cylindrical EV batteries worth more than 10 trillion won. The batteries are expected to be used in next-generation EVs, and the contract period is projected to run as long as 10 years. On a conference call, the company said it secured more than 100 gigawatt-hours in new orders for its 46-series cylindrical batteries and that its total order backlog exceeds 440 GWh. In the first quarter on a consolidated basis, LG Energy Solution posted an operating loss of 207.8 billion won, swinging to a loss from a year earlier. Revenue fell 2.5% to 6.555 trillion won. The company said it aims to lift the share of ESS sales to the mid-30% range by year’s end to improve profitability. Nobel Peace Prize field set at 287 nominees; South Korean citizens, Trump mentioned The Nobel Peace Prize field this year totals 287 nominees, reflecting a broad range as global conflicts expand. Yonhap and foreign media reported on April 30 that the Norwegian Nobel Committee designated 287 nominees for the 2026 Nobel Peace Prize: 208 individuals and 79 organizations. The list is kept confidential for 50 years, but some nominations become known through outside disclosures. South Korean civil society may be among the nominees, after it emerged that figures in South Korea’s political science community recommended “citizens as a whole,” citing a nonviolent overcoming of a martial law crisis. U.S. President Donald Trump was also mentioned as a possible nominee. The committee said the peace prize remains important even as international cooperation weakens. The winner will be announced on Oct. 9.* This article has been translated by AI. 2026-04-30 21:53:44
  • ECB, Bank of England Hold Rates as Middle East War Clouds Inflation Outlook
    ECB, Bank of England Hold Rates as Middle East War Clouds Inflation Outlook The European Central Bank and the Bank of England kept their benchmark interest rates unchanged, as the Middle East war added uncertainty to energy prices and inflation while concerns about slowing growth also mounted. According to Yonhap on April 30, the ECB held its deposit rate at 2.00%, its main refinancing rate at 2.15% and its marginal lending facility rate at 2.40% after a policy meeting that day (local time). The ECB said recent information broadly matched its previous assessment of the inflation outlook, but that “upside risks to inflation and downside risks to economic growth have increased.” Eurozone consumer inflation in April rose to 3.0% from 2.6% a month earlier. In contrast, eurozone economic growth in the first quarter was just 0.1% from the previous quarter, heightening concerns about stagflation. The ECB said the war’s impact on inflation and economic activity would depend on the size and duration of the energy price shock, warning that a longer conflict and sustained high energy prices could weigh more heavily on both prices and growth. Reuters reported that some in the market expect the ECB could raise the deposit rate three times over the next 12 months, to 2.75%. Britain’s central bank also held rates steady the same day, keeping its benchmark rate at 3.75%. Eight of the Bank of England’s nine Monetary Policy Committee members backed no change, while one favored a 0.25 percentage-point increase to 4.00%. Britain’s consumer inflation rate stands at 3.3%, well above the central bank’s 2% target. The Bank of England said the Middle East conflict has made the outlook for global energy prices “highly uncertain,” and it is ready to take whatever steps are needed to meet its inflation goal. The bank outlined three scenarios depending on the severity of the energy price shock. In the worst case, inflation could rise to 6.2% in early next year, which could require strong monetary tightening. Gov. Andrew Bailey called the decision to hold rates “reasonable” given the unpredictability of economic conditions and the situation in the Middle East, and said the bank would watch developments closely.* This article has been translated by AI. 2026-04-30 21:52:31
  • Nobel Peace Prize Field Set at 287 Nominees; South Korean Citizens and Trump Mentioned
    Nobel Peace Prize Field Set at 287 Nominees; South Korean Citizens and Trump Mentioned The field for this year’s Nobel Peace Prize has been tallied at 287 nominees, reflecting a broad mix as global conflicts spread. According to Yonhap News Agency and foreign media reports on the 30th, the Norwegian Nobel Committee registered 287 nominees for the 2026 Nobel Peace Prize — 208 individuals and 79 organizations. The total reflects an increase in new nominees from a year earlier. The committee does not release the list, keeping nominations confidential for 50 years, though some names become known when nominators disclose their recommendations. In South Korea, there is speculation that the country’s civil society could be among the nominees after it became known that figures in the political science community recommended “all citizens,” citing what they described as a nonviolent overcoming of an emergency martial law situation. President Donald Trump is also being mentioned as a possible nominee after leaders in some countries, including Israel and Pakistan, said they intended to nominate him. The Nobel Committee has stressed that the peace prize remains important even as international cooperation weakens. Some foreign media have also suggested that, with the war in Gaza and the situation in Ukraine dragging on, this year’s award could be more likely to go to a humanitarian aid group or to an individual who played a mediating role. The Nobel Peace Prize winner will be announced Oct. 9, and the award ceremony will be held Dec. 10 in Oslo, Norway.* This article has been translated by AI. 2026-04-30 21:09:18
  • Hanwha Solutions Rights Offering Delayed Again After Regulator Seeks More Disclosures
    Hanwha Solutions Rights Offering Delayed Again After Regulator Seeks More Disclosures Hanwha Solutions’ plan for a paid-in capital increase has been delayed again after South Korea’s financial regulator demanded further revisions, saying more investor-protection disclosures are needed even after the company reduced the deal size. According to Yonhap News Agency on Wednesday, the Financial Supervisory Service again asked Hanwha Solutions to submit an amended securities registration statement for its rights offering. It was the second such request, following an earlier one on April 9. The filing has not been accepted and its effectiveness has been suspended, leaving the subscription schedule and other issuance procedures uncertain. The watchdog said key information was missing or unclear, raising concerns it could hinder investors from making a reasonable judgment. If the company fails to address the issues within a set period, the filing will be deemed withdrawn. Hanwha Solutions had initially sought a rights offering of about 2.4 trillion won, but after controversy cut the plan by 600 billion won to about 1.8 trillion won and resubmitted it. The revised filing still did not clear the regulator. The issue has moved beyond a procedural dispute to broader questions of market confidence in the purpose and structure of the fundraising. Analysts have pointed to shareholder backlash fueled by the size of the offering aimed at debt repayment and what they described as insufficient prior communication. A securities firm official said regulators have become more conservative as scrutiny of rights offerings tightens, adding that large deals are increasingly reviewed through the lens of governance and shareholder value. Hanwha Solutions said it “takes the FSS request seriously” and will “faithfully prepare” an amended filing.* This article has been translated by AI. 2026-04-30 20:48:16
  • Korea Mine Agency Sells Mexico Boleo Stake for $2 After Trillions of Won Invested
    Korea Mine Agency Sells Mexico Boleo Stake for $2 After Trillions of Won Invested Korea Mine Rehabilitation and Mineral Resources Corp. said it has effectively ended an overseas resource development project after investing more than 3 trillion won, selling its Mexico mining interests for a total of $2. The exit amounts to a withdrawal without recovering its investment after years of accumulated losses. The agency said Thursday it sold all of its equity stake and bonds in the Boleo copper mine in Mexico on Nov. 27 last year for $1 each, or $2 in total. While structured as a sale, the transaction was closer to a transfer of liabilities, with the buyer taking on the remaining debt, it said. The Boleo mine, a large project involving key minerals such as copper and cobalt, initially drew high expectations. But weak geological conditions, local political and social risks, and high production costs led to annual losses of hundreds of billions of won, the agency said. In 2022, it decided that confirming losses through a sale was more reasonable than making additional investments. The deal was completed after three failed auctions. The sale reduced debt by about 849 billion won and slightly improved capital, the agency said, but the investment is viewed as an almost total loss in terms of recovery. Critics say the case highlights structural limits, noting that only a limited number of the agency’s overseas resource development projects have generated profits. Only some projects are known to have increased in asset value among the overall investments. Some in the industry said the outcome points to the need to reassess public-led overseas resource development strategies. A resource development industry official called it “a typical case where risk assessment at the exploration stage and withdrawal standards were insufficient.” The government is reviewing an expanded role for the agency to secure critical minerals such as rare earths, but concerns persist that similar problems could recur without stronger expertise and independence.* This article has been translated by AI. 2026-04-30 20:42:15
  • Iran’s Supreme Leader Calls U.S. Attack a ‘Defeat,’ Vows New Control System for Strait of Hormuz
    Iran’s Supreme Leader Calls U.S. Attack a ‘Defeat,’ Vows New Control System for Strait of Hormuz Iran’s Supreme Leader Mojtaba Khamenei called U.S. military involvement a “defeat” and declared plans to build a new order around the Strait of Hormuz, a key global energy shipping route. The remarks come as tensions in the Middle East rise again and competition intensifies over control of major transport corridors. According to Yonhap on the 30th, Khamenei said in a message marking “Persian Gulf Day” that “the U.S. attack ended in a humiliating failure” and that it was time to “completely remove foreign influence” from the region. He singled out the Strait of Hormuz, saying Iran would “build a new management system” to block its use by “hostile forces.” Iran views the strait as a strategic point directly tied to its security. Khamenei said the Persian Gulf is tied to the identity of Iran and the Muslim world, and he sharply criticized the U.S. military presence. He also claimed U.S. bases are vulnerable and do not guarantee regional stability. On future operations of the strait, he signaled an intent to tighten legal and military control. He said Iran would mobilize scientific and technological resources and military capabilities to defend its territory and maritime sovereignty, while building an order that shares economic benefits with countries in the region. The statement was seen as his first hard-line message since U.S. and Israeli airstrikes in February. After becoming supreme leader following his father’s death, Khamenei had largely avoided public remarks, but issued this message directly. Foreign media have focused less on feasibility than on potential impact. The Strait of Hormuz is widely regarded as a vital passageway, with about 20% of global oil shipments passing through it. Analysts warn that any rise in tensions could quickly affect international oil prices and maritime logistics. Experts also say that if Iran moves to strengthen control over the strait, it could trigger responses from the United States and Gulf countries, raising the risk of broader military tensions.* This article has been translated by AI. 2026-04-30 20:36:18
  • People Power Party By-Election Nominations Draw 25 Applicants Across Nine Districts
    People Power Party By-Election Nominations Draw 25 Applicants Across Nine Districts Competition for the People Power Party’s nominations in upcoming by-elections is intensifying, with applications heavily concentrated in a handful of districts. Yonhap News Agency reported Thursday that the party’s nomination committee received 25 applications across nine districts by the close of registration that day. The largest field was in South Chungcheong’s Gongju-Buyeo-Cheongyang, with seven applicants. Gyeonggi’s Hanam Gap drew six, emerging as a key battleground in the Seoul metropolitan area. Ulsan Nam Gap had four applicants. Other districts drew little interest. Jeju’s Seogwipo and Gwangju’s Gwangsan Eul each had a single applicant, and Incheon’s Gyeyang Eul saw no additional candidates enter the race. Several prominent figures also applied. In Gongju-Buyeo-Cheongyang, Chung Jin-suk, a former National Assembly deputy speaker, filed for the nomination. In Busan Buk Gap, Park Min-sik, a former minister, applied. In Daegu’s Dalseong County, Lee Jin-sook, a former Korea Communications Commission chair, also entered the contest. Within the party, some have called for strategic nominations to strengthen competitiveness in the capital region. Hanam Gap has been at the center of speculation about recruiting Yoo Seung-min, a former lawmaker, though it remains unclear whether the party is seriously considering it. Some party members have warned that crowded fields could fuel internal disputes over nominations, while others say single-candidate districts may signal weakened local organization. The committee is set to begin interviews May 1, hold primaries May 3-4 and confirm final nominees May 5.* This article has been translated by AI. 2026-04-30 20:15:17