Journalist

김동영
Kim Dong Young
  • Koreas largest chemical firm bets on next-generation materials to escape prolonged slump
    Korea's largest chemical firm bets on next-generation materials to escape prolonged slump SEOUL, September 09 (AJP) - LG Chem is drawing on its most valuable holdings and accelerating restructuring as South Korea’s largest chemical company struggles with an unprecedented downturn in its business, which has delivered four straight quarters of losses. The company is exploring ways to raise as much as 3 trillion won, or about $2.15 billion, through a financing arrangement tied to its majority stake in battery maker LG Energy Solution and a series of divestitures, according to people familiar with the matter. The urgency reflects the scale of the challenges confronting South Korea’s petrochemical industry, long a mainstay of the nation’s export economy but now under siege from Chinese overcapacity, weak global demand and fierce competition from Middle Eastern producers. “The oversupply situation has become critical,” Lee Jin-ho, an analyst at Mirae Asset Securities, told AJP. “Massive capacity expansions in China and the Middle East, along with earlier growth in the United States, have created a surplus the market simply cannot absorb.” LG Chem’s petrochemical division has lost 276 billion won since the third quarter of 2024, including a 29 billion won operating loss in that quarter. The slump has persisted through mid-2025, forcing the company to deploy what it once regarded as strategic reserves. Among the options under discussion is a price return swap, or PRS, contract using its 81.2 percent stake in LG Energy Solution as collateral. The instrument would allow LG Chem to secure funds without giving up ownership or voting rights. “We view our LG Energy Solution stake as a strategically deployable resource,” Cha Dong-seok, the company’s chief financial officer, said during its second-quarter earnings call. At the same time, the company has moved quickly to unload noncore businesses under what it calls a “selection and concentration” strategy. On Aug. 7, it agreed to sell its aesthetics unit, which makes dermal fillers, to VIG Partners for 200 billion won. In June, it sold its water treatment filter business to Glenwood Private Equity for 1.4 trillion won. LG Chem is also forging partnerships in growth areas. Last week, it announced that Toyota Tsusho Corporation had acquired a 25 percent stake in its Gumi cathode plant, a deal designed to help the company navigate U.S. clean energy subsidies under the Inflation Reduction Act. Cathode materials are a cornerstone of its expansion, with plants under construction in Tennessee and operating in South Korea and China. The company has also moved into renewable fuels. On Aug. 4, it began building South Korea’s first hydrotreated vegetable oil plant, which will convert used cooking oil and other plant-based feedstocks into low-emission fuel. 2025-09-09 16:45:01
  • US Homeland Security chief says detained Korean workers will be deported
    US Homeland Security chief says detained Korean workers will be 'deported' SEOUL, September 09 (AJP) - U.S. Homeland Security Secretary Kristi Noem said Korean workers detained in an immigration raid in Georgia last week will be "deported" — a statement that appears to contradict what South Korean officials say they had already negotiated. Speaking Monday (local time) in London during a meeting of security ministers, Noem said the workers caught in the raid “are going to be deported,” adding that some also face additional charges beyond immigration violations. “We’re following the law,” she said. “A few of those had criminal activity beyond just being here past final removal orders, and they will face the consequences for that.” Deportation typically carries heavy penalties, including bans on re-entering the United States. By contrast, South Korea has been pressing for “voluntary departure,” which would allow workers to leave without creating a formal record that could complicate future visa applications. South Korean officials insist they had reached a broad agreement with U.S. immigration authorities for that outcome. Now, Noem’s comments are raising questions over whether the deal is in jeopardy. Foreign Minister Cho Hyun left for Washington on Monday to coordinate with U.S. officials and ensure the detainees’ safe return. Cho is also expected to push for reforms to visa rules that Korean companies say have hampered their U.S. operations and left them vulnerable to enforcement actions. Roughly 300 of the 475 people arrested in the Sept. 4 raid at the Hyundai Motor–LG Energy Solution battery plant were South Korean nationals, though it’s not clear if Noem’s remarks apply to all of them. Noem defended the raid, saying it was “a great opportunity to make sure that every business knows what the rules of the game are when they come to America,” and insisted it would not deter foreign investment. 2025-09-09 14:53:33
  • E-cigarette users show higher nicotine addiction than traditional smokers, study finds
    E-cigarette users show higher nicotine addiction than traditional smokers, study finds SEOUL, September 08 (AJP) - Users of electronic cigarettes and heated tobacco products may be more dependent on nicotine than conventional cigarette smokers, according to a government-commissioned study released Monday, challenging industry claims that the alternatives are less addictive or less harmful. The research, conducted by the Korea Association on Smoking or Health at the request of the Ministry of Health and Welfare, surveyed 800 smokers between the ages of 20 and 69 nationwide. It found that 30 percent of liquid e-cigarette users reported reaching for their devices within five minutes of waking, compared with 18.5 percent of traditional cigarette smokers. Among heated tobacco users, 26 percent said they did the same. Public health experts regard immediate morning use as a key marker of addiction severity. The findings arrive as South Korea’s health ministry has intensified calls for tighter regulation of e-cigarettes, particularly liquid nicotine products. Jeong Eun-kyeong, the health minister, has argued that “synthetic nicotine liquid e-cigarettes are equally harmful to health as cigarettes and require the same regulations.” She has pledged to support legislation that would expand the legal definition of tobacco from “tobacco leaves” to “tobacco and nicotine,” effectively bringing e-cigarettes under the same regulatory framework as combustible cigarettes. The study also underscored differences in consumption patterns. Nearly 51 percent of heated tobacco users said they consumed the equivalent of 11 to 20 cigarettes per day, compared with 46 percent of traditional smokers. That disparity, the report noted, undermines marketing claims that heated products reduce harm. The Korea Association on Smoking or Health warned that the tools used in smoking cessation clinics are ill-equipped to measure nicotine dependence among new-generation tobacco users, because they do not account for factors such as e-liquid concentration, device voltage and irregular usage patterns. The group called for new standardized assessment indicators tailored to e-cigarettes and heated tobacco. International research has raised similar concerns. A 2025 study by Johns Hopkins Medicine found that many e-cigarette users may ingest more nicotine than conventional smokers by using high-strength cartridges or modifying devices to deliver stronger hits. While vaping exposes users to fewer chemicals than traditional smoking, researchers noted, many of those substances remain unidentified, and some products have been found to contain pesticides. The Johns Hopkins team also cautioned that e-cigarettes have not proven effective as smoking cessation tools in the United States, where they are often marketed as “healthier” options but remain especially popular among young people. 2025-09-08 14:39:14
  • Korean firms experiment with four-day workweek amid fierce debate
    Korean firms experiment with four-day workweek amid fierce debate SEOUL, September 08 (AJP) - Some of South Korea’s biggest corporations are experimenting with shorter workweeks and flexible schedules, as the nation debates sweeping labor reforms that include cutting the workweek to four days and extending retirement ages. President Lee Jae Myung has pledged to phase in a 4.5-day workweek as a first step toward a four-day schedule without a reduction in pay. Labor unions have embraced the idea: both the Korean Confederation of Trade Unions and the Federation of Korean Trade Unions have voiced support. Business leaders, however, warn that shorter schedules could erode competitiveness, particularly for smaller firms already struggling to match the resources of conglomerates. Still, early adopters suggest that flexibility can pay off. SK Telecom and its affiliate SK Square run a “Happy Friday” system that allows employees to log 80 hours over two weeks and take Fridays off. The companies also offer workers over 50 a two-year paid sabbatical to explore new opportunities before retirement. Samsung Electronics permits staff to design their own schedules as long as they meet a 40-hour weekly average, while LG Electronics has introduced self-directed time management, letting employees choose arrival and departure times within the same weekly limit. Both companies report positive feedback. Hunet, a corporate training firm, went further. In July 2022 it became one of the first South Korean companies to adopt a four-day week outright. The change boosted job applications threefold, raised first-half revenue by 20 percent year-on-year and delivered a 93.5 percent employee satisfaction rate. Local governments are also testing the waters. The provincial government of Jeju and Ulsan’s Jung-gu Office have introduced pilot 4.5-day schedules, while Gyeonggi's provincial government has signed agreements with dozens of firms to join a similar trial. Experts say the shift reflects changing social expectations but caution against rapid nationwide adoption. They point to uneven business conditions across industries, warning that what works for large conglomerates may not be sustainable for small and midsize firms. Some suggest that government incentives, rather than mandates, would be a better way to encourage voluntary adoption. Underlying the debate is a deeper concern about productivity. South Korea’s manufacturing output now stands at roughly 77 percent of the OECD average. As Chinese rivals dominate global markets, some economists argue that labor reform will fail unless paired with measures to improve efficiency and competitiveness. "Korea ranks 34th out of 38 OECD countries in work productivity, with the United States in first place. Korean workers could focus more on increasing output if four-day workweeks are implemented nationally," said Kim Dae-jong, professor of business at Sejong University. "In some sectors, the shortened work week could be implemented within a year." 2025-09-08 13:55:09
  • Matcha finds new home in Koreas old tea culture
    Matcha finds new home in Korea's old tea culture SEOUL, September 08 (AJP) - On a damp but sunlit Friday evening in Seoul’s Bukchon Hanok Village, a narrow stairway leads to a sleek three-story building tucked among winding alleys. As the door swings open, a cool breeze and a faint herbal scent rush out to meet the line of visitors. Inside, the walls are washed in green. Foreign tourists crowd the hall, perched on moss-colored couches and sipping lattes so vibrantly green they look almost painted. At the center of the room, a barista demonstrates the centuries-old ritual of brewing matcha: two grams of powdered tea leaves poured into a bowl, a thin stream of near-boiling water, a bamboo whisk spun until a delicate foam forms. The first sip, from a porcelain bowl, tastes grassy yet faintly tart. The latte version, sweeter and creamier, lingers with a thicker perfume of tea. “About 60 percent of our customers come from abroad, and most are here for matcha,” a barista at Osulloc, the teahouse chain run by South Korea’s Amorepacific Group, told AJP. “They’re looking for something calming that’s not easy to find outside Korea.” Matcha — or malcha in Korean — is a finely milled green tea that traces its roots to ancient China and Japan. Once the domain of monks and court officials, it has become one of the most recognizable health symbols of the 21st century. On Instagram and TikTok, celebrities pose with green lattes in hand; in Los Angeles and London, matcha cafés now rival coffee bars. The numbers mirror the craze. The global market, valued at $3.67 billion in 2025, is expected to top $6.2 billion by 2030. Yet demand is outpacing supply. In Japan, the largest producer, harvests are shrinking under record summer heat, while its tea-farming population is rapidly aging. Tariffs on Japanese exports have added to the strain, creating a shortage that producers elsewhere are eager to fill. That gap has created an opening for South Korea, where tea cultivation dates back more than a millennium. Green tea farming flourished as early as the 13th century in Hadong County, which today remains the country’s largest tea-growing region, accounting for half of all domestic output. Osulloc, with sprawling tea fields on Jeju Island, reported a more than tenfold increase in online matcha sales this March compared with a year earlier. On Amazon, its premium matcha sales climbed 170 percent. Smaller exporters are also riding the wave: Nousbo, which markets under the Seein Tea brand, credited overseas demand for boosting both sales and profits. Hadong’s county-run Tea & Bio Foundation has been exporting between 60 and 80 tons of powdered green tea to Starbucks in the United States since 2017, with plans to expand to 100 tons a year. The foundation is also opening a promotional teahouse in Manhattan and recently launched a training school in France’s Basque region to teach European growers Korean techniques. “We see this as a chance to share our heritage,” said Kim Jong-cheol, the foundation’s director. Domestic retailers, too, are rushing to capitalize. At convenience stores, 7-Eleven now sells matcha ice cream bars, chocolate sandwiches, and even a version of makgeolli, the traditional rice wine, infused with green tea powder. Rival GS25 has launched its own take on matcha makgeolli. Shelves are crowded with matcha-flavored cakes, chocolate crunches and moon pies. The government is also investing in innovation. The National Institute of Horticultural and Herbal Science recently developed a new varietal of tea plant, Geumda, which yields golden-tinted leaves with a richer, less astringent flavor. But the process is slow: tea trees require five to seven years to mature. “Like brewing tea itself, patience is key,” said Hong Ha-rim, a researcher at the institute. “But as more people turn from coffee to tea for health, we believe this culture will only grow.” 2025-09-08 13:50:23
  • Rare lung disease drug fails to secure health insurance coverage in Korea
    Rare lung disease drug fails to secure health insurance coverage in Korea SEOUL, September 06 (AJP) - A breakthrough medication for a rare lung disease has been denied health insurance coverage in South Korea, leaving desperate patients to bear the full cost of treatment. According to the Health Insurance Review & Assessment Service on Saturday, the Tyvaso inhalation solution was rejected on Thursday during its ninth pharmaceutical benefit evaluation committee meeting of 2025. The drug, developed by U.S. based United Therapeutics Corporation and domestic copyrights owned by Korean firm Antrogen, was seeking coverage for pulmonary hypertension associated with interstitial lung disease, a serious and progressive disease. The denial effectively blocks patients from accessing the only approved treatment for the fatal condition, which gradually hardens lung tissue while dangerously elevating blood pressure in pulmonary arteries. Patients suffer severe breathing difficulties and declining physical capacity before ultimately facing life-threatening heart complications. The disease carries a grim prognosis, with five-year survival rates hovering around just 30 percent. For most patients, lung transplantation remains the sole hope, though the path is fraught with obstacles and lengthy waiting periods. Clinical trials demonstrated that Tyvaso reduced the risk of clinical worsening by 55 percent, offering patients precious time to await transplants or extend their lives. The drug had emerged as the only therapeutic option for this devastating condition. Medical experts argue the medication meets all criteria for essential drugs under current regulations, including lack of alternative treatments and proven clinical benefits for life-threatening conditions affecting small patient populations. About 1,671 patients were on lung transplant waiting lists between 2009 and 2020, with 31 percent dying while awaiting procedures. The drug was first applied for insurance coverage in June of last year but faced rejection, prompting a second attempt in February targeting severely ill patients with similarly disappointing results. 2025-09-06 15:16:33
  • [K-Pop] aespas Rich Man album tops iTunes charts in 14 countries
    [[K-Pop]] aespa's "Rich Man" album tops iTunes charts in 14 countries SEOUL, September 06 (AJP) - South Korean girl group aespa claimed the top spot on iTunes Top Songs charts in 14 countries with their sixth mini-album "Rich Man," their agency SM Entertainment said Saturday. The album, released Friday, dominated charts in 14 countries including Thailand, Taiwan, and Russia. It also secured positions within the top 10 in 29 countries including the United States, France, and Japan. "Rich Man" swept China's digital music platforms, capturing first place on QQ Music's overall and EP digital album sales charts while earning "Platinum" certification for surpassing 1 million yuan (about $140 million) in sales revenue. The album also topped Kugou Music's digital album sales chart and Tencent Music's K-pop rankings. The title track of the same name climbed to 10th place on domestic streaming platform Melon's Top 100 chart as of 1:40 p.m. Saturday, also claiming the top spot on Japanese music platform AWA's real-time trending chart. The record features six tracks in a range of styles, including hip hop, R&B, and pop. The title track "Rich Man" is described as a dance song driven by rough electric guitar riffs and an addictive topline, paired with shifting band sounds meant to highlight the group’s vocals and energy. "We all really liked the fact that we didn’t portray the meaning of 'Rich Man' literally through money or through like luxury, and it was portrayed more creatively," aespa member Giselle told British music magazine NME on Friday. "It was more about being happy and confident with yourself, rich in a mindful way." 2025-09-06 14:20:18
  • South Korea-US trade complaints double as Trump tariffs undermine FTA benefits
    South Korea-US trade complaints double as Trump tariffs undermine FTA benefits SEOUL, September 06 (AJP) - South Korean exporters are grappling with mounting trade barriers as complaints about US market access surged to twice last year's levels, undermining benefits from the bilateral free trade agreement amid Washington's protectionist pivot. Trade grievances filed with South Korea's FTA support center jumped to 1,526 cases in the first seven months of this year, already surpassing the full-year 2024 total of 1,380 cases, according to data from the Ministry of Trade, Industry and Energy. The spike contrasts sharply with complaints about other major trading partners, which fell by half during the same period. China-related trade issues dropped to 1,787 cases while ASEAN concerns fell to 1,196 cases. U.S. trade complaints had been declining steadily from 1,746 cases in 2021 to 1,380 in 2023, before this year's dramatic reversal following President Donald Trump's return to the White House in January. Trump's administration has prioritized protectionist policies, wielding tariffs as a primary tool despite the Korea-U.S. FTA. While Seoul negotiated a reduction in reciprocal tariffs from 25 percent to 15 percent in July, Korean companies still face significantly higher barriers than the duty-free access they previously enjoyed. "Export companies' FTA utilization rates are steadily rising, but the gap between large corporations and small businesses still reaches 20 percentage points," said Democratic Party lawmaker Heo Jong-sik, who obtained the trade ministry data. The most common complaints involved certificate of origin issues, accounting for 3,870 cases, followed by product classification problems and tariff rate disputes, highlighting the complex bureaucratic hurdles now facing Korean exporters in their largest overseas market. 2025-09-06 11:01:56
  • US immigration raid at Hyundai Motor, LG Energy Solution battery plant comes amid ongoing economic cooperation
    US immigration raid at Hyundai Motor, LG Energy Solution battery plant comes amid ongoing economic cooperation SEOUL, September 06 (AJP) - U.S. immigration authorities arrested 475 people including about 300 South Korean nationals at a Hyundai Motor Group battery plant construction site in Georgia, creating diplomatic tensions just weeks after Seoul pledged billions in American investments. The sweeping raid Friday (local time) at the 3000-acre Hyundai Motor Group-LG Energy Solution joint venture facility came as the two countries were conducting follow-up negotiations on tariffs and investment plans following an Aug. 25 summit between Presidents Lee Jae Myung and Donald Trump. Homeland Security Investigations called it the largest single-site immigration enforcement operation ever conducted, targeting workers across multiple contractor levels at the electric vehicle battery manufacturing plant under construction. Hyundai Motor Group has committed to investing $26 billion across the United States over four years as part of Trump's push to revitalize American manufacturing. Chairman Chung Eui-sun personally announced the investment plan at the White House in March with Trump present. The timing has raised eyebrows among Korean officials and business leaders, coming amid Trump's broader campaign to use tariffs as leverage to attract foreign investment while simultaneously cracking down on illegal immigration. Most arrested South Korean workers allegedly entered on short-term visitor visas or through the visa waiver program but worked illegally at the construction site, violating immigration law despite the project's strategic importance to U.S.-Korea economic ties. The raid highlights a dilemma facing Korean companies: the U.S. government actively courts foreign investment while failing to provide sufficient work visas for overseas firms, forcing them to rely on limited pools of skilled American workers. Seoul responded swiftly to the crisis, with Foreign Ministry spokesperson and Deputy Minister Lee Jae-woong warning that "the rights and interests of our investment companies' economic activities and our nationals must not be unfairly violated during U.S. law enforcement processes." The ministry dispatched consular officials to the scene and established an emergency response team. Lee added Korea also conveyed its concerns and regret to the U.S. Embassy in Seoul, urging American authorities to ensure Korean nationals' legitimate rights are not violated during the enforcement process. Industry observers suggest the operation may signal to foreign investors that major investments don't guarantee immunity from immigration crackdowns, potentially complicating Trump's manufacturing revival strategy. Hyundai remained silent on the incident while LG Energy Solution said it was closely monitoring the situation and continuing cooperation with relevant authorities. Construction at the battery plant has been suspended, though Hyundai's electric vehicle production lines continue normal operations. Trump addressed the raid at a White House press conference, saying, "They were illegal aliens and ICE was just doing its job." "And we have, as I understand it, a lot of illegal aliens, some not the best of people, but we had a lot of illegal aliens working there." 2025-09-06 10:29:04
  • South Korea launches task force to develop AI-powered smart cities
    South Korea launches task force to develop AI-powered smart cities SEOUL, September 05 (AJP) - South Korea's Ministry of Land, Infrastructure and Transport has established a dedicated task force to spearhead the development of artificial intelligence-driven cities, marking a significant step beyond traditional smart city initiatives. The newly formed task force held its inaugural meeting on Friday, bringing together departments specializing in urban development, architecture, and mobility alongside key research institutes and public corporations. The ambitious AI city concept represents an evolution from existing smart city infrastructure, which has primarily focused on bus information systems, integrated urban control centers with CCTV networks, and smart crosswalks. Unlike conventional approaches, the AI city model aims to harness vast urban datasets to predict traffic congestion, energy consumption patterns and safety concerns before they emerge. The system would deliver personalized services across multiple sectors to citizens. The government has allocated 4 billion won (about $2.87 million) in next year's budget for selecting pilot city sites and developing comprehensive project blueprints for the AI-specialized demonstration cities. "The AI city represents a new future urban model that goes beyond simple technology adoption, where artificial intelligence takes the lead in urban planning and operations to revolutionize citizens' daily lives," said Lee Sang-joo, deputy minister for territorial and urban policy at the ministry. "Through this task force, we ask related agencies to work closely together so that policy formulation and implementation processes can be organically connected, and we will realize the Korean-style AI city vision by promptly creating results that citizens can experience." 2025-09-05 13:51:04