AJU PRESS - ASIA NEWS HUB

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Kim Dong Young davekim0807@ajupress.com

Hanwoo beef gets legislative backing as Korea aims to modernize cattle farming SEOUL, July 22 (AJP) - South Korea has enacted a new law aimed at strengthening the nation's hanwoo beef industry. The Ministry of Agriculture, Food and Rural Affairs announced Tuesday that the so-called “Hanwoo Act” has been officially promulgated and will go into effect on July 23 next year. The legislation mandates that the government devise rolling five-year development plans for the premium Korean beef industry and provide direct financial support to cattle farmers. The move revives a version of the law that was previously scrapped and reflects growing recognition of hanwoo beef’s central role in the rural economy. “Hanwoo production ranks third in agricultural output after pork and rice,” said Ahn Yong-deok, director general of the ministry’s livestock policy division. “The number of cattle farms is the largest in the livestock sector, making it a key sector for the rural economy. This law will serve as a catalyst to upgrade our support system and strengthen competitiveness while discovering new measures for farm management stability.” The new law requires the agriculture ministry to conduct research to improve breeding techniques and meat quality, while also offering slaughter and shipment incentives to farmers to help stabilize supply and demand. As of last month, South Korea was home to approximately 3.29 million hanwoo cattle. North Gyeongsang Province accounted for the largest share, with more than 716,000 cows, followed by South Jeolla Province with roughly 604,000. In the months ahead, the ministry will work to finalize detailed subordinate regulations before the law’s implementation. Hanwoo beef, known for its marbling and high-quality flavor, commands premium prices domestically. 2025-07-22 16:08:11
Hyundai's electric vehicle exports plunge 88 percent amid US setbacks SEOUL, July 22 (AJP) - Hyundai Motor Group’s electric vehicle exports plunged nearly 90 percent in the first five months of 2025, as softening demand and looming policy shifts in the United States threaten the automaker’s global electrification strategy. Data released Tuesday by the Korea Automobile & Mobility Association showed that Hyundai and its affiliate Kia shipped just 7,156 EVs between January and May, an 88 percent decline from 59,705 units during the same period last year. The slump marks the group’s lowest EV export volume since 2021, when it first rolled out its dedicated electrification push. Hyundai Motor, which includes its upscale Genesis brand, recorded an 87 percent drop in exports, down to 3,906 units. Kia’s EV shipments fell even more steeply, tumbling 89.1 percent to 3,250 vehicles. The downturn comes despite expanded local production in the U.S., where Hyundai began operating its first dedicated EV facility — the Hyundai Motor Group Metaplant America — in Georgia earlier this year. The plant produced nearly 29,000 Ioniq 5 models and more than 4,000 units of the new Ioniq 9 in the first half. Kia, for its part, assembled over 14,800 EV6 and EV9 vehicles for the American market. Still, the production ramp-up has yet to yield gains in U.S. sales. Combined Hyundai and Kia EV deliveries in the United States declined 28 percent year-over-year to 44,555 units in the first half, according to data from Wards Intelligence, part of the research firm Omdia. Over the same period, the broader U.S. EV market grew 5.2 percent. Analysts warn that the second half of the year may prove even more challenging. Under U.S. President Donald Trump’s recently enacted "One Big Beautiful Bill Act," federal tax credits for EV purchases are set to expire on October 1. The Korea Economic Research Institute projects the change could cost Hyundai up to 45,828 units in lost annual sales in the United States. In response to faltering global demand, Hyundai has begun scaling back domestic production. The company temporarily halted operations at its Ulsan Plant 1 — which manufactures the Ioniq 5 and Kona EV — from July 16 to 21, marking its fifth partial shutdown this year. The U.S. accounted for roughly 36 percent of Hyundai Motor Group’s total EV exports last year, making the American market a cornerstone of its international strategy. The recent slowdown threatens not only the company’s sales targets but also its broader vision of competing globally. 2025-07-22 14:23:22
South Korean retail investors dump gold as stocks rally SEOUL, July 22 (AJP) - South Korean retail investors have turned net sellers of gold for the first time in over a year, pivoting toward equities as the country’s main stock index soared to its highest level in nearly four years. Between July 1 and July 21, individual investors unloaded a net 15.9 billion won, or approximately $11.4 million, worth of gold on the Korea Exchange, with a sharp 11.1 billion won sold in a single day on July 21, according to exchange data. Proprietary trading firms also joined the sell-off, shedding nearly 11.4 billion won worth of gold over the same period. The shift ends a 15-month streak of net gold purchases that began in March 2023 and saw retail investors accumulate nearly 1.5 trillion won in the precious metal through June. Analysts say the reversal reflects growing confidence in the domestic equity market, where the benchmark KOSPI index crossed the 3,200 mark in mid-July — a level last seen in late 2021. The rally, driven in large part by surging semiconductor stocks and optimism surrounding the new government’s economic agenda, has lured capital away from traditional safe-haven assets. International gold prices, meanwhile, have remained rangebound around $3,370 per troy ounce after peaking at $3,487.94 in April. The recent plateau follows a months-long rally fueled by investor anxiety over U.S. trade policy and global economic uncertainty, as well as a weakening dollar that had amplified demand for gold earlier in the year. While South Korean investors pulled back, their Chinese counterparts were heavy buyers of gold in the first half of 2025, purchasing about 63 tons through exchange-traded funds. However, that demand has since cooled after Beijing launched a crackdown on speculative trading in May. 2025-07-22 11:20:33
Korea's new finance minister pledges swift tariff talks with US SEOUL, July 21 (AJP) - South Korea’s newly appointed Deputy Prime Minister and Finance Minister, Koo Yun-cheol, pledged on Monday to move swiftly in pursuing tariff negotiations with the United States, citing national interests and practical outcomes as top priorities. Speaking at his inaugural press briefing at the Government Complex in Sejong, Koo emphasized the urgency of the talks, which come amid a fast-approaching deadline for a proposed mutual tariff suspension by Washington. “We are coordinating with the United States,” Koo said in response to questions about a potential visit to Washington. “Once arrangements are finalized, I will meet with them as soon as possible to explain Korea's situation and seek understanding for successful tariff negotiations that serve our national interests.” South Korean officials are under mounting pressure to reach an agreement before the August 1 deadline floated by the U.S. According to government sources, Koo could travel to Washington as early as this week in a bid to meet the timeline. During his visit, Koo is expected to meet with U.S. Treasury Secretary Scott Bessent, with discussions likely to center on trade policy, foreign exchange issues and broader economic cooperation between the two allies. At home, Koo named taming inflation as his most pressing domestic challenge, pointing in particular to rising consumer prices driven by recent flood damage across the country. Earlier in the day, in a meeting with ministry officials, Koo urged public officials to act as “core employees of Korea Inc.,” encouraging them to embrace a problem-solving ethos and to build trust with the public through responsive and efficient service. He also promised incentives for civil servants who put forward innovative ideas with measurable impact, and committed to cutting back on formalities such as face-to-face reporting. He also added that artificial intelligence would be increasingly integrated into ministry operations. “I want to create an environment where any staff member, regardless of rank, can contribute ideas directly to leadership,” Koo said. 2025-07-21 16:23:18
SK Ecoplant under scrutiny over alleged accounting irregularities linked to IPO SEOUL, July 21 (AJP) - SK Ecoplant, the environmental services arm of South Korea’s SK Group, is under scrutiny by financial regulators over allegations it inflated revenues at its U.S. subsidiary to bolster its valuation ahead of a planned initial public offering. The Financial Supervisory Service (FSS) is set to hold a key audit committee meeting on Thursday to review the results of a months-long investigation into the company’s accounting practices. A preliminary hearing held last week ended without a decision. Regulators have already recommended criminal prosecution, the dismissal of former executives, and fines amounting to billions of won after concluding that SK Ecoplant intentionally violated accounting standards. According to the FSS, SK Ecoplant overstated revenues at its U.S.-based fuel cell subsidiary in 2022 and 2023, thereby generating misleading consolidated financial statements that were presented to both investors and oversight authorities. Investigators believe the alleged misconduct was driven by the company’s effort to inflate its corporate value ahead of a promised IPO. In 2022, SK Ecoplant secured roughly 1 trillion won, or $720 million, in pre-IPO funding on the condition that it would go public by 2026. The case comes amid a broader regulatory crackdown on financial misconduct. Recently, authorities have referred several high-profile corporate figures — including HYBE founder Bang Si-hyuk and former executives of Meritz Fire & Marine Insurance — to prosecutors. The Securities and Futures Commission has warned of “devastating” penalties for executives found guilty of intentional accounting fraud. If the committee endorses the FSS’s recommendations, the SK Ecoplant case could be referred for criminal prosecution, potentially derailing SK Group’s IPO timeline for SK Ecoplant and delivering a setback to the conglomerate’s expansion in the energy sector. 2025-07-21 14:46:35
[[K-Tech]] LG CNS partners with Honeywell to jointly develop AI-powered automation systems SEOUL, July 21 (AJP) - South Korean IT solutions provider LG CNS said Monday it has entered into a partnership with Honeywell of the United States to develop artificial intelligence-based automation technologies tailored for American manufacturing. The collaboration was finalized during a July 8 meeting in Houston between Hyun Shin-gyoon, chief executive of LG CNS, and Pramesh Maheshwari, president of Honeywell Process Solutions. The two companies will jointly develop automation platforms that harness AI to improve production efficiency across a range of industries, including semiconductors, batteries and petrochemicals. The initiative aims to integrate LG CNS’s expertise in automation consulting and service delivery with Honeywell’s global footprint in sensor and control systems. Honeywell’s Process Solutions unit specializes in providing automation tools and software for complex manufacturing environments, particularly in the petrochemical and pharmaceutical sectors. Under the partnership, LG CNS will deploy its AI agents to analyze data captured by Honeywell’s distributed control systems. The real-time data analysis is intended to detect anomalies and trigger immediate corrective actions, helping manufacturers minimize downtime and optimize operations. "This cooperation is the first step for both companies to jointly address business innovation needs of U.S. manufacturing customers and seek technological solutions," Hyun said in a statement. The two companies also plan to develop advanced manufacturing execution systems — platforms that oversee equipment, processes and personnel in real time — to support digital transformation across industrial supply chains. LG CNS and Honeywell said they intend to extend their jointly developed technologies beyond the United States to global markets, including Europe, leveraging Honeywell’s network of more than 100 corporate clients. 2025-07-21 14:07:03
[[K-Tech]] South Korea nears decision on landmark energy storage tender SEOUL, July 21 (AJP) - South Korea is poised to award its first large-scale energy storage system (ESS) tender this week, a 1 trillion won (approximately $720 million) project that has drawn fierce competition among the country’s top battery makers. The outcome could reshape the strategic priorities of an industry grappling with faltering global demand for electric vehicles. The Korea Power Exchange, under the Ministry of Trade, Industry and Energy, is expected to announce the winning bidder for the 540-megawatt ESS development project within days. The initiative forms a central pillar of the government’s plan to modernize the national power grid and bolster capacity for renewable energy integration. Consortiums led by LG Energy Solution, Samsung SDI, and SK On are expected to submit proposals featuring similar technical specifications but differentiated by cost structures, supply chain localization, and safety features. The tender arrives at a critical moment for South Korea’s battery manufacturers, many of which are contending with slowing EV sales globally. With growth plateauing as the sector moves from early adopters to more cost-sensitive mainstream buyers — a phenomenon some analysts call the “EV market chasm” — companies are increasingly eyeing ESS as a vital alternative growth engine. In response, the government has adopted a weighted evaluation framework that assigns 60 percent of scoring to pricing and 40 percent to non-price criteria. The latter includes domestic industrial contribution, fire and facility safety, and community acceptance, reflecting policymakers’ emphasis on supply chain security and public trust in grid infrastructure. LG Energy Solution and SK On are seen as competitive on both pricing and safety, thanks in part to their adoption of lithium iron phosphate (LFP) battery technology, known for its affordability and thermal stability. SK On, a relative newcomer to the ESS space, faces skepticism over its limited market experience and lack of a track record in high-volume grid deployments. Nevertheless, its LFP-based technology could offer advantages in safety and cost. Samsung SDI, in contrast, uses nickel-cobalt-aluminum (NCA) battery chemistry, which provides higher energy density but carries higher material costs and fire risk. Yet the company has emphasized its domestic manufacturing footprint — most ESS cells are produced at its Ulsan facility — and proprietary safety enhancements, potentially gaining ground in non-price categories, including community acceptance and domestic contribution. The project is the first of many under South Korea’s 11th Basic Plan for Electricity Supply and Demand, which calls for adding 23 gigawatts of ESS capacity by 2038. The stakes are high: the inaugural tender is expected to set benchmarks for future procurements, intensifying long-term competition among domestic battery firms. 2025-07-21 10:55:55
South Korea's special prosecutor indicts impeached president on martial law charges SEOUL, July 19 (AJP) - South Korea's special prosecutor team on Saturday indicted former President Yoon Suk Yeol on charges related to his failed attempt to impose martial law last December, marking the third time the embattled leader faces prosecution. The special investigation team, led by Special Prosecutor Cho Eun-suk, said it filed formal charges against Yoon while he remains in detention, including abuse of power and obstruction of rights. The charges stem from his brief declaration of emergency martial law on December 3, which sparked nationwide protests and ultimately led to his impeachment. The indictment alleges Yoon violated cabinet members' deliberation rights, ordered the retroactive drafting of martial law documents, and issued false public statements about the emergency decree. Prosecutors also accuse him of instructing the deletion of encrypted phone records and obstructing the execution of arrest warrants. Notably absent from Saturday's charges were allegations of foreign exchange law violations, which remain under active investigation. The special prosecutor's office indicated it would pursue those charges separately as the probe continues. This marks Yoon's third indictment since the martial law crisis began, following earlier charges by the prosecution's special investigation headquarters for leading an insurrection in January and abuse of power in May after his removal from office. Yoon began boycotting all criminal justice procedures after an arrest warrant was issued early on July 10 on charges including obstruction of official duties and abuse of power. He skipped a scheduled insurrection trial that morning citing deteriorating health and ignored the prosecution's summons for questioning on July 11. When Yoon refused to leave his solitary cell at Seoul Detention Center on Monday, the special prosecution team ordered forced extraction. However, detention center officials declined to use physical force against the former president, citing his previous presidential status. The team's next forced extraction attempt on Tuesday also failed due to the detention center's passive response. Prosecutors subsequently summoned detention center officials to investigate the circumstances of the failed attempts. On Wednesday, prosecutors visited Seoul Detention Center again to forcibly question Yoon directly, but postponed the attempt when Yoon filed an appeal against his detention. The court rejected Yoon's detention appeal on Friday, dismissing his legal team's claims about double jeopardy and health conditions, paving way for prosecutors to proceed with forced questioning. While some observers speculated that the special prosecution team would attempt forced extraction again for direct questioning of Yoon, prosecutors determined that further investigation attempts would be meaningless and opted for early indictment without extending the detention period. The decision also appears to be based on the judgment that prosecutors secured some statements related to the charges during Yoon's direct remarks at the detention appeal hearing. Park Ji-young, a deputy to Special Prosecutor Cho Eun-suk, said the team decided to file charges following internal discussions after the detention appeal rejection. "We determined that sufficient additional investigation and evidence collection from witnesses and others had been conducted since the arrest warrant was issued, and that extending the detention period would not guarantee effective questioning of former President Yoon," Park said. He added that the prosecution regrets that related investigation of Yoon could not be conducted after the arrest warrant was issued. "Former President Yoon's behavior during the investigation process will be presented at trial and reflected in sentencing," Park said. 2025-07-19 15:54:39
Lee administration's first cabinet hearings draw criticism over lack of scrutiny SEOUL, July 19 (AJP) - South Korea's first cabinet confirmation hearings under President Lee Jae Myung concluded Friday amid widespread criticism that the process lacked proper verification of ministerial nominees. The five-day ‘super week’ hearings examined 16 cabinet nominees from July 14 to 18, but opposition lawmakers and critics described the proceedings as ineffective and superficial. The ruling party focused on defending candidates while the opposition struggled with internal conflicts and special prosecutor investigations. The main opposition People Power Party labeled five nominees as "unqualified" and demanded their withdrawal, including Kang Sun-woo for gender equality, Chung Dong-young for unification, Lee Jin-sook for education, Kwon Oh-eul for veterans affairs and Kim Young-hoon for labor ministries. However, all nominees appear likely to be confirmed without withdrawals. Both parties reached consensus on five nominees, adopting hearing reports for Bae Kyung-hoon for science and technology, Koo Yun-cheol for economy and finance, Cho Hyun for foreign affairs, Kim Jung-kwan for trade and industry, and Yoon Ho-jung for interior ministries. The unanimous decisions came after the opposition agreed to cooperate on trade negotiations with the United States. Yoon Ho-jung's report was adopted on the hearing day itself due to concerns about disaster response gaps following recent flooding. Justice Minister nominee Jung Sung-ho's report was adopted through a party-line vote after partisan clashes, including only the ruling party's assessment of qualification. At Friday's floor leaders' meeting, ruling Democratic Party leader Kim Byung-kee said all nominees should proceed without withdrawals, stating there were "no disqualifying issues." The ruling party treated confirmations as foregone conclusions throughout the hearings, while the opposition showed resistance against the legislative majority. Some nominees adopted a strategy of avoiding direct answers during questioning. Education Minister nominee Lee Jin-sook was later found to have notes suggesting she avoid direct answers and give evasive responses to difficult questions. Gender equality Minister nominee Kang Sun-woo repeatedly apologized for staff abuse allegations, becoming emotional during testimony. However, additional controversies emerged regarding false explanations and property disclosure omissions. Health Minister nominee Jeong Eun-kyeong's hearing received less attention despite opposition attacks, with the ruling party defending her while dismissing alleged criticism of profiting from trading stocks related to the COVID-19 as "fake news." Three more confirmation hearings remain scheduled, including the Constitutional Court Chief Justice nominee Kim Sang-hwan on July 21 and Land Minister nominee Kim Yun-duk and Culture Minister nominee Chae Hwi-young on July 29, with real estate and wealth controversies expected to dominate discussions. 2025-07-19 13:41:08
South Korea braces for fourth day of torrential rains as casualties mount SEOUL, July 19 (AJP) - Torrential rains that began pounding South Korea's central regions four days ago continued to wreak havoc across the nation, with casualties and infrastructure damage mounting. The Central Disaster and Safety Countermeasures Headquarters reported Saturday morning that the death toll remained at four, with two people still missing. The fatalities occurred in Gyeonggi Province's Osan city and South Chungcheong Province's Seosan and Dangjin cities, while two residents remain unaccounted for in Gwangju's North District. Infrastructure damage surged dramatically as floodwaters paved destruction across the peninsula. Public facilities took massive blow with 729 reported incidents, including 388 flooded roads, 133 cases of soil erosion, and 57 collapsed river structures. Private property damage reached 1,014 cases, encompassing 64 flooded buildings and 59 inundated agricultural areas. The relentless downpour forced around 7,000 residents from nearly 5,000 households across 72 municipalities in 13 provinces to flee their homes temporarily. Of those evacuated, about 2,800 people from roughly 2,000 households remained unable to return home as of Saturday morning. The transportation network buckled under the assault as well, with seven major railway lines suspended including the Gyeongbu line connecting Seoul to Busan and the Honam line linking Daejeon to Mokpo. Rail authorities halted services on additional routes spanning the peninsula's key arteries. Road networks faced widespread disruption as floodwater submerged 57 riverside roads, 12 underground passages, and 302 small bridges. Authorities also restricted access to 255 riverside areas, 170 riverside parking lots, and 22 camping sites. "Currently, heavy rain advisories and warnings are in effect across most of the nation, with very intense rainfall of 30 to 80 millimeters per hour expanding and intensifying the alerts," the disaster headquarters said. 2025-07-19 10:13:08