US biotech firms urge Korea to ease restrictions on modified crops Getty Images Bank SEOUL, March 19 (AJP) - U.S. biotechnology companies are pressing South Korea to revise its laws governing living modified organisms (LMOs), arguing that the country’s approval process for agricultural imports is overly stringent and lacks transparency. The Biotechnology Innovation Organization (BIO), the world’s largest biotech trade group based in Washington, recently submitted a formal request to the Office of the United States Trade Representative (USTR), describing South Korea’s regulatory framework for LMOs as “non-tariff barriers that have remained unresolved for over a decade.” At the heart of the dispute is South Korea’s multi-agency risk assessment process, which requires approvals from various ministries — including the Ministry of Health and Welfare, the Ministry of Environment, and the Ministry of Oceans and Fisheries — depending on the intended use of the product. “Despite global standards and the Korea-U.S. Free Trade Agreement, South Korea imposes risk assessments for LMO agricultural imports, rendering the approval process unpredictable,” BIO stated in its submission. “Resolving this issue is impossible without amending Korea’s LMO law.” Among the companies affected is J.R. Simplot, an Idaho-based potato producer, which has been awaiting South Korean approval for three LMO potato varieties since 2016. The review process, now in its ninth year, underscores the challenges faced by American agricultural firms seeking access to the South Korean market. The renewed push for regulatory changes comes amid high-level trade discussions between the two nations. Agricultural sanitary and phytosanitary measures were reportedly a focal point in a March 14 meeting between South Korea’s trade minister, Cheong In-kyo, and USTR Representative Jamieson Greer. South Korean officials have acknowledged industry concerns but remain cautious. “If an official request regarding amendments to the LMO law is received, we will review the possibility of improvements after gathering opinions from relevant ministries,” a government official said. 2025-03-19 10:47:24

Korea's pavilion nears completion for Osaka Expo The media facade in front of the Korean Pavilion at the Osaka Expo/ Courtesy of Korea Trade-Investment Promotion Agency SEOUL, March 18 (AJP) - A delegation from the Korea Trade-Investment Promotion Agency (KOTRA), led by its chief executive, Kang Kyung-sung, has visited the site of Expo 2025 in Osaka, Japan, to assess preparations for the Korean Pavilion. Expo 2025, which will take place from April 13 to October 13 on the artificial island of Yumeshima in western Osaka, is set to explore the theme "Designing Future Society for Our Lives." South Korea’s Ministry of Trade, Industry and Energy, in collaboration with KOTRA, is overseeing the construction of the Korean Pavilion, a three-story structure spanning 954 square meters on a 3,501-square-meter plot within the expo grounds. The pavilion aims to present South Korea’s vision for a future society that integrates tradition, nature, technology and culture. The exterior of the pavilion, which features three exhibition halls, was completed and inspected on Dec. 27, with interior work currently underway to ensure readiness for the expo’s opening next month. Inside, visitors will encounter displays on artificial intelligence, renewable energy and future mobility solutions, as well as a massive media facade that combines spatial design with Hansan Mosi, a fine ramie fabric traditionally woven in South Korea, and cutting-edge digital media technology. A dedicated section of the pavilion will also highlight Korean cuisine, offering visitors a taste of the country’s culinary heritage. Organizers anticipate a daily attendance of roughly 200,000 people from approximately 160 nations. “The Korean Pavilion will serve as a platform to convey South Korea’s vision for the future and showcase our technological leadership on the global stage,” said Kang. He emphasized that the expo would provide an opportunity to strengthen trade and investment ties between South Korea and Japan, particularly as the two nations mark the 60th anniversary of their diplomatic relations this year. 2025-03-18 16:10:16

South Korea, US to begin talks on Alaska LNG project Venture Global's LNG facility/ AP-Yonhap SEOUL, March 18 (AJP) - South Korean Minister of Trade, Industry and Energy Ahn Duk-geun is set to meet with Alaska Governor Mike Dunleavy next week to explore potential South Korean investment in a large-scale liquefied natural gas (LNG) project backed by the Trump administration. Dunleavy is expected to visit South Korea between March 24 and 25 as part of efforts to attract investment in the Alaska LNG development project, which has gained prominence in U.S.-South Korea trade and energy discussions, industry sources said Tuesday. Trump underscored the potential involvement of South Korean and Japanese firms in the project during a recent congressional address. The multibillion-dollar Alaska LNG initiative includes the construction of a 1,300-kilometer gas pipeline to transport approximately 3.5 billion cubic feet of natural gas per day from the North Slope fields. If realized, the project would boost U.S. energy exports and reduce the trade deficit while providing South Korea with a new energy source to enhance supply diversification and energy security. South Korean steel, shipbuilding, and construction firms could benefit from contracts related to the project’s infrastructure. “This project, highlighted as a key administration priority, could become an important negotiation card if it materializes,” a South Korean government official said. However, the initiative presents significant financial and logistical challenges. Investment costs could reach the equivalent of 10 percent of South Korea’s annual budget, and Alaska’s harsh climate is likely to drive expenses even higher. The project also requires specialized icebreakers for Arctic navigation, an area where South Korean shipbuilders have expertise but are constrained by packed production schedules. The project’s long-term viability is also uncertain. Environmental concerns tied to Alaska’s sensitive ecosystem could pose regulatory hurdles in future administrations, while fluctuating global LNG demand and the shift toward renewable energy add further unpredictability. South Korean officials have indicated they will carefully assess both opportunities and risks before making any commitments. The LNG discussions come as the Trump administration prepares to implement reciprocal tariff measures next month, positioning the project as a potential bargaining chip in broader trade negotiations between Washington and Seoul. 2025-03-18 10:56:33

Hanwha Ocean lands $1.61 billion order for container ships LNG carrier Lebrethah delivered by Hanwha Ocean/ Courtesy of Hanwha Ocean SEOUL, March 18 (AJP) - South Korean shipbuilder Hanwha Ocean has secured a contract to construct six ultra-large container vessels for Taiwan’s Evergreen Marine, one of the world’s leading shipping companies. The deal, valued at 2.33 trillion won (approximately $1.61 billion), marks the highest price ever paid for container ships of this class, capable of carrying 24,000 twenty-foot equivalent units (TEUs). The vessels will be dual-fuel, designed to operate on both liquefied natural gas (LNG) and conventional marine fuel, a move aligned with tightening global environmental regulations. The order highlights Hanwha Ocean’s competitive edge over Chinese shipbuilders. Hanwha Ocean attributed its success to superior production efficiency and advanced engineering. The deal comes amid a shifting global trade landscape. Last month, the United States announced plans to impose steep fees on Chinese-built vessels entering American ports, a development that could further benefit South Korean shipbuilders. The contract also signals growing demand for next-generation vessels. In February, reports surfaced that German shipping giant Hapag-Lloyd was in negotiations with Hanwha Ocean for a separate order of six LNG dual-fuel container ships, valued at around $1.2 billion. “Hanwha Ocean has built more ultra-large container vessels than any other shipbuilder in the world,” said Kim Charles, the company’s chief executive. “We will continue to lead the eco-friendly ultra-large container ship market with our differentiated technological expertise.” 2025-03-18 10:47:27

Korea leads global patent race in hair loss cosmetics A customer browses cosmetics at a CJ Olive Young shop in Seoul, March. 12, 2025. Yonhap SEOUL, March 17 (AJP) - South Korea has emerged as the world leader in hair loss cosmetics patent applications, according to an analysis released Monday by the Korean Intellectual Property Office (KIPO). The study, which examined patent filings across major intellectual property offices over the past 22 years, found that South Korean entities accounted for 42.9 percent — 576 cases — of global applications, far surpassing Japan’s 20.2 percent (272 cases) and the United States’ 17.2 percent (231 cases). South Korean companies showed particular strength in baldness treatments based on natural ingredients and biomaterials, commanding 50 percent and 56.4 percent of patent applications in those categories, respectively. The country ranked second in patents for synthetic materials, trailing only the United States. The global hair loss cosmetics market, which includes functional products aimed at preventing hair loss by improving blood circulation and regulating hormones, is projected to reach approximately 31 trillion won ($21.4 billion) by the end of the year. Among individual companies, the South Korean biotech firm Caregen led with 115 patent applications, followed by cosmetics giant AmorePacific with 72 filings. LG Household & Health Care also secured a spot among the top 10 global applicants. “This patent analysis confirms that the hair loss cosmetics market represents a blue ocean opportunity where our country has secured a technological advantage,” said Lim Young-hee, director of KIPO’s chemistry and biotechnology examination bureau. “We will share these findings with industry stakeholders and continue fostering communication to ensure that our cosmetics industry thrives on the foundation of intellectual property,” Lim added. 2025-03-17 16:15:16

Korean firm to supply high-voltage cables to UK's National Grid High-voltage cables from Taihan Cable & Solution/ Courtesy of Taihan Cable & Solution SEOUL, March 17 (AJP) - South Korea's Taihan Cable & Solution has signed a agreement with Britain’s National Grid to supply high-voltage direct current (HVDC) cable systems. The agreement, finalized in February, grants Taihan eligibility to bid on National Grid’s HVDC cable system projects over a period that could extend up to eight years. The total project value is estimated at approximately 40 trillion won ($27.5 billion). National Grid, a British multinational electricity and gas utility company, pursued the agreement to ensure a stable supply chain for HVDC cable systems and transformers amid surging global demand. HVDC cable systems, essential for long-distance power transmission, are seeing increased demand due to the expansion of renewable energy infrastructure and the development of super grid networks connecting national power grids. "This agreement reflects the competitiveness of our HVDC cable technology in Europe, a key market in the power industry," said Song Jong-min, vice chairman and CEO of Taihan. The company previously secured its first HVDC project in the United States in September 2024, marking a significant step toward expanding its presence in European markets. "We will continue to enhance the reliability and technological capabilities of our HVDC cable systems to strengthen our foothold not only in Europe but also in global markets," Song added. 2025-03-17 13:56:20

Weak won fuels inflation fears as import costs rise Shops in Sinchon, Seoul/ Yonhap SEOUL, March 17 (AJP) - The value of the South Korean currency remains weak, raising concerns over potential inflationary effects despite broader trends of price stabilization. Economists warn that the prolonged depreciation of the won could push consumer prices higher in the latter half of the year, even as year-over-year inflation eased to 2.0 percent in February from 2.2 percent in January, according to data released Monday by Statistics Korea. Core inflation, which excludes volatile components such as food and energy, also edged down to 1.8 percent in February from 1.9 percent the previous month, reflecting persistent weakness in underlying price pressures. The Korea Development Institute (KDI) noted that subdued domestic demand has kept overall inflation in check. However, analysts caution that the won’s sustained weakness, which began late last year, could feed into consumer prices. “The exchange rate, hovering around 1,450 won per dollar, will inevitably continue to drive up import costs, particularly for energy and raw materials,” said Huh Jun-young, an economics professor at Sogang University. “Consumer price inflation could surpass 2 percent again in the coming months.” The won's struggles contrast sharply with the performance of other Asian currencies, including the Japanese yen and Chinese yuan, both of which have strengthened against a weakened U.S. dollar. The Bank of Korea projects inflation will average 1.9 percent this year, while the government and KDI forecast rates of 1.8 percent and 1.6 percent, respectively. Complicating South Korea's economic outlook are escalating trade policies under U.S. President Donald Trump, including a 25 percent tariff on steel and aluminum imports that took effect on March 12. Should these tariffs contribute to higher U.S. inflation, the Federal Reserve could respond by raising interest rates, potentially strengthening the dollar and exerting additional inflationary pressure on South Korea. Conversely, a slowdown in U.S. economic growth could dampen global demand, curbing Korean exports and alleviating price pressures domestically. “There is ongoing debate over whether Trump’s tariff policies will drive U.S. inflation higher,” said Jung Kyu-chul, head of KDI's macroeconomic analysis department. “For now, rising uncertainty appears to be suppressing economic activity and weighing on prices.” Even if overall inflation remains stable, consumers are likely to feel the impact of higher prices in key areas such as energy and imported goods. Processed food and other necessities may continue to see price increases despite the broader slowdown in inflation. 2025-03-17 10:17:11

Gold prices soar to record high on trade war concerns Getty Images Bank SEOUL, March 14 (AJP) - International gold prices breached the threshold of $3,000 per troy ounce on Friday, propelled by escalating trade tensions and investor anxiety stemming from the policies of the Trump administration. April gold futures on the New York Mercantile Exchange reached $3,000.5 per troy ounce as of 10:30 a.m. on Friday, a 0.31 percent increase from the previous session. Spot gold, meanwhile, had climbed 2.73 percent in the preceding five trading days, closing at $2,989.31 per troy ounce. The price of gold bullion has experienced robust growth, rising approximately 14 percent this year, following a 27 percent increase in 2024. Analysts attribute the ascent to heightened concerns over the Trump administration’s protectionist trade policies, which have reignited fears of a global trade war and increased market volatility. “Strong demand from exchange-traded funds and continued central bank purchases, coupled with geopolitical uncertainty and the uncertainty created by tariff changes, have fueled the appetite for gold,” said Suki Cooper, executive director of precious metals research at Standard Chartered Bank. Recent U.S. economic data, including February’s consumer and producer price indices, which fell short of market expectations, have bolstered anticipation of Federal Reserve interest rate cuts, further contributing to gold’s rise. The metal, traditionally viewed as a hedge against inflation and economic instability, has attracted significant investment as global tensions persist. “Gold is in a secular bull market,” said Alex Ebkarian, chief operating officer at Alliance Gold, a precious metals dealer, who expressed confidence that prices could trade between $3,000 and $3,200 this year. BNP Paribas, the French multinational bank, recently raised its 2025 average gold price forecast by 8 percent to $2,990 per troy ounce, reflecting increased institutional confidence in the metal’s trajectory amid global economic headwinds. “The gold market in the second half of 2025 will price in, or normalize, the trade risks led by President Trump,” said David Wilson, an analyst of commodity strategies at BNP Paribas. “If trade tensions do not persistently escalate, gold prices may struggle to maintain additional upward momentum in the second half of the year.” 2025-03-14 15:01:46

Korean automakers face high stakes as US tariffs reshape industry U.S. President Donald Trump speaks in front of a Tesla Model S with Tesla CEO Elon Musk in front of the White House in Washington D.C., March. 11, 2025. UPI-Yonhap Editor's Note: This is the second in a series of stories examining how the Trump administration’s economic policies affect South Korea's key industries. From trade restrictions to shifting global supply chains, we explore the challenges businesses faced, how they adapted, and the lasting effects on the country’s economy. SEOUL, March 12 (AJP) - South Korean automakers are navigating a precarious juncture as President Donald Trump’s aggressive "friend-shoring" policies send shockwaves through the global automotive landscape. The administration’s decision to impose a 25 percent tariff on Canadian and Mexican imports has left South Korean auto giants scrambling to recalibrate their North American strategies. The Alliance for Automotive Innovation, an industry group representing major manufacturers, including Hyundai Motor Company, sounded the alarm on March 4, warning that the tariffs would lead to significantly higher vehicle prices. "All automakers will be impacted," said John Bozzella, the alliance’s president. "Most anticipate that the price of some vehicle models will increase by as much as 25 percent." For Hyundai Motor Group, the stakes are particularly high. American manufacturers — General Motors, Ford, and Stellantis — secured a temporary reprieve from the tariffs under the U.S.-Mexico-Canada Agreement, but South Korean automakers face immediate financial pressure. Kia Corp., a Hyundai subsidiary, operates a manufacturing plant in Mexico with an annual production capacity of 400,000 vehicles, more than half of which are destined for the U.S. market. Analysts estimate that the new tariffs could add as much as $7,000 to the sticker price of Kia’s flagship K4 sedan. "The best way for us to navigate tariffs is to increase localization," said Hyundai Motor CEO José Muñoz. "We decided to invest heavily in America as the most important market." In response, Hyundai is accelerating the expansion of its Metaplant America in Georgia, a facility scheduled to begin operations in the first half of 2025. Initially designed for an annual output of 300,000 electric vehicles, Hyundai executives now say the site could eventually produce up to 500,000 units. By 2025, the company aims to boost its total U.S. manufacturing capacity to 1.2 million vehicles annually. Automobiles await to be shipped at Pyeongtaek-Dangjin Port, Feb. 19, 2025. Yonhap The shift comes at a cost. Hyundai’s Korean plants, which last year produced nearly one million vehicles for the U.S. market — more than half of the company’s American sales — may see a downturn in output. The transition raises concerns over potential job losses in South Korea as production shifts across the Pacific. Further adapting to the tariff pressures, Hyundai Motor Group and General Motors signed a memorandum of understanding in September 2024 for a wide-ranging supply chain alliance. Under the agreement, Hyundai and Kia would utilize GM’s 11 U.S. production facilities for Complete Knock Down (CKD) assembly, while GM would gain access to Hyundai’s factories to re-enter European and Indian markets. Beyond tariffs, South Korean automakers face additional headwinds in the electric vehicle sector. Recent changes to U.S. federal tax credits have reduced incentives for foreign manufacturers, impacting Hyundai’s ability to compete. In January, the company saw the number of its electric vehicle models eligible for federal incentives drop from five to two. In response to these shifts, Hyundai underscored its long-standing commitment to the American market. "For nearly four decades, Hyundai has been a driver of American growth and innovation," the company said in a statement. "Since entering the United States, Hyundai Motor Group has invested $20.5 billion, creating and supporting more than 570,000 American jobs." The company added that it was "closely monitoring new U.S. policy developments and reviewing various business strategies." As the American market grows increasingly unpredictable, Hyundai is looking to hedge its bets by strengthening its presence in China, where electric vehicles now command a 30.2 percent market share. The company’s luxury brand, Genesis, is spearheading the push, investing in collaborative research teams to develop locally produced EV models. With uncertainty looming over the industry, automakers and policymakers alike acknowledge the challenges ahead. As Honda stated following the tariff announcement: "You just can’t relocate automotive production and the supply chain overnight. That’s the challenge and the dilemma: auto tariffs in North America could end up increasing costs on consumers before jobs come back to the country." John Bozzella of the Alliance for Automotive Innovation echoed similar concerns, emphasizing the scale of investment required to adjust to shifting trade policies. "Automakers, battery makers, and suppliers are investing billions in American manufacturing to modernize the industrial base," he said. "But it’s worth remembering the sheer scale of the industry and the size of these automotive and advanced manufacturing facilities. They're massive." 2025-03-14 09:15:31

Homeplus extends discount promotions amid financial struggles Homeplus logo/ Yonhap SEOUL, March 13 (AJP) - Homeplus is extending its discount promotions until the end of the month, a move widely seen as an effort to counter deteriorating asset efficiency and mounting liquidity pressures under the private equity ownership of MBK Partners. The retailer’s fixed asset turnover ratio dropped to 0.96 as of Feb. 29, 2024, falling below the critical 1.0 threshold, according to industry sources citing the latest sales results. The figure indicates that Homeplus is struggling to generate sales proportionate to its asset base. The metric has been in steady decline since MBK Partners acquired Homeplus eight years ago. In February 2017, the ratio stood at 1.13, but it plunged to 0.73 in 2020 during the COVID-19 pandemic and has yet to recover to pre-pandemic levels. By contrast, market leader E-Mart maintained a robust 1.97 ratio as of December 2023, underscoring Homeplus’ underperformance in South Korea’s highly competitive retail sector. Analysts attribute the downturn to Homeplus’ sluggish response to the e-commerce boom and the sell-off of high-performing store locations, which has weakened its competitive standing. “We’ve been running encore sales events since launching our promotions in 2023,” a Homeplus spokesman said, dismissing speculation that the extended discounts are linked to the company’s ongoing financial struggles. However, market observers widely interpret the two-phase discount extension as a desperate attempt to bolster cash reserves amid concerns over unpaid commercial credit obligations. The retailer’s declining asset utilization has also complicated MBK Partners’ attempts to divest parts of the business. Efforts to sell the relatively profitable supermarket division have stalled, with no suitable buyers emerging since last year. 2025-03-13 13:46:12