Samsung Biologics to invest 7 trln won in third bio-campus SEOUL, December 01 (AJP) - Samsung Biologics plans to invest about 7 trillion won ($4.76 billion) to build a third campus in Songdo, diversifying its contract manufacturing business beyond antibody drugs into emerging therapeutic modalities. The South Korean biopharmaceutical manufacturer said Monday it signed a land purchase agreement with the Incheon Free Economic Zone authority for about 187,427 square meters of industrial site in Songdo International City. The company will pay 248.7 billion won for the plot, located in the advanced industrial cluster of the city's 11th district. Samsung Biologics plans to build its third campus on the newly acquired land, housing research and production facilities for cell and gene therapies, antibody vaccines, and peptides alongside existing antibody drug capabilities. The expansion aims to diversify beyond the company's current antibody-focused CDMO business while building foundational capabilities in next-generation modalities including mRNA, antibody-drug conjugates, and organoids. The third campus will be designed to integrate with existing operations at the company's first and second campuses through linked process, quality, and technical functions. Samsung Biologics expects the integrated approach to enhance production efficiency, reduce customer project lead times, and strengthen global regulatory compliance. "We have completed our transformation into a pure CDMO company through the spin-off, and now secured next-generation growth engines through entry into new modalities, allowing us to accelerate toward our goal of becoming a global top bio company," said John Rim, CEO of Samsung Biologics. 2025-12-01 11:52:58

Naver plays down Nasdaq talk as it moves to absorb crypto exchange Dunamu SEOUL, November 27 (AJP) - Naver has pushed back on speculation that its fintech arm could seek a Nasdaq listing after absorbing Dunamu, operator of South Korea's largest cryptocurrency exchange Upbit, as it must address regulatory hurdles before taking the big step. "We have no confirmed plans to pursue a Nasdaq listing for Naver Financial at this time," CEO Choi Soo-yeon said Thursday at a press briefing at Naver's headquarters in Seongnam. "Even if we consider going public in the future, we will prioritize enhancing shareholder value and contributing to the development of capital markets." Her remarks came a day after the board approved a stock-swap deal giving Naver Financial full ownership of Dunamu. Under the terms, each Dunamu share will be exchanged for 2.54 shares of Naver Financial, valuing Dunamu at roughly 15 trillion won and Naver Financial at about 5 trillion won. The transaction—about $14 billion in implied value—faces extensive regulatory scrutiny. The Financial Supervisory Service will review whether the merger could infringe shareholder rights or create financial-stability risks by combining mobile payments with cryptocurrency services. The Fair Trade Commission is expected to assess whether integrating Naver's vast user-data network with Dunamu's crypto-trading data could create undue market power. Meanwhile, South Korea's digital-asset rulebook remains unsettled. A bill governing stablecoin issuance and the broader Digital Asset Basic Act has been held up amid disagreements between the Bank of Korea and ruling-party lawmakers, injecting further uncertainty into the approval process. Regulators may take a year or longer to complete their review. If the merger is cleared and the combined unit seeks an IPO, listing venue will be a pivotal decision. A Nasdaq debut is considered plausible: Naver already trades on the KOSPI, and leaving Dunamu shareholders with non-voting, unlisted shares would likely trigger opposition. Naver also has recent U.S. market experience through last year's listing of Webtoon Entertainment. "A Nasdaq listing would significantly boost Naver Financial's credibility and open doors to global institutional investors," said Hwang Suk-jin, professor at Dongguk University's Graduate School of International Affairs and Information Security. "The timing may not be now, but the opportunity remains open." Mirae Asset Securities, previously the second-largest shareholder of Naver Financial with a 30 percent stake, declined to comment on potential IPO plans but welcomed the merger decision. Dunamu said it had no information to share regarding listing intentions. Upon closing, Dunamu Chairman Song Chi-hyung is expected to become the largest shareholder of the combined entity with about 19.5 percent. Naver's stake in Naver Financial would fall from 69 percent to roughly 17 percent. Shareholders vote May 22, with the deal slated to close by June 30 if approved. The merger news was tempered Thursday when Dunamu disclosed that about 54 billion won in Solana-based assets had been transferred to an undesignated wallet early that morning, prompting Upbit to suspend all crypto deposits and withdrawals. The company said it would cover any losses with its own assets and stressed that customer funds would not be affected. 2025-11-27 15:41:44

Naver Financial, Dunamu vow to seize global market with AI-Web3 synergy SEOUL, November 27 (AJP) - Naver Financial and cryptocurrency exchange operator Dunamu on Thursday declared their intent to dominate the global digital finance landscape by fusing artificial intelligence with blockchain technology, as the two Korean tech powerhouses formalize their corporate alliance. Top executives from Naver, Naver Financial and Dunamu gathered at Naver's second headquarters in Seongnam to unveil their vision a day after approving a merger that brings Upbit operator Dunamu into the Naver group. The three firms pledged to invest about 10 trillion won ($6.82 billion) over five years to cultivate domestic AI and Web3 ecosystems. "Naver's AI capabilities must create synergy with Web3 to capture the next-generation market," Naver founder Lee Hae-jin said. "We must pursue ventures that global players have yet to attempt if we are to survive the competition." Naver CEO Choi Soo-yeon said the convergence of mainstream blockchain adoption and the emergence of agentic AI — systems capable of autonomous decision-making — presents a critical technological inflection point. She emphasized that the combined entity would build a "full lineup" of users, data, technology, services and capital to mount an aggressive push into the global Web3 arena. Web3 is an umbrella term for technologies like blockchain, decentralizing data ownership to give users more control over their data and online interactions. Dunamu Chairman Song Chi-hyung said the three companies aim to architect next-generation financial infrastructure that bonds AI with blockchain, spanning payments, broader financial services and everyday life. Vice President Kim Hyung-nyun added that the partnership would position South Korea at the forefront of the borderless digital asset market as tokenization gains traction worldwide. Following the integration, the firms plan to prioritize overseas expansion and improved capital market access. The companies said they would forge a collaborative culture centered on global growth rather than pursue further governance restructuring. Dunamu CEO Oh Kyoung-suk said the deal's core objective lies in leveraging the global technology inflection point as an opportunity rather than a threat, enabling both companies to achieve a greater leap forward together. 2025-11-27 10:40:37

NPS can stall — but hardly a joker card in Korea's FX defense SEOUL, November 26 (AJP) - Hedging maneuvers and central bank lifelines — South Korea's National Pension Service has several cards it can play to help authorities fend off pressure on the Korean won, but any relief is likely to be temporary, as the fund's core mission is safeguarding old-age coffers, not defending the currency. The NPS has been asked to join fiscal and monetary authorities in a joint response council as the won drifts toward the once-unthinkable 1,500 threshold. The world's third-largest pension fund, managing 1,322 trillion won in assets as of August, has become a critical presence in the FX market not by policy choice but because of the sheer scale of its overseas holdings. Overseas equities alone amount to 486 trillion won — already exceeding its medium-term target — compared with 196 trillion won in domestic stocks. The fund has been especially aggressive in U.S. big tech. SEC filings show the NPS held $128.8 billion worth of U.S. equities through September, booking around 33.5 trillion won in paper gains this year. It owns about 0.2 percent of Nvidia and sizable stakes in Apple, Microsoft and Broadcom, positions that have delivered hefty returns and elevated the fund's global influence. But that global tilt is a double-edged sword. To sustain its offshore investments, the NPS buys an estimated $2 billion to $3 billion in the domestic market every month, making it one of Korea's largest structural buyers of dollars and a steady source of downward pressure on the won. The currency traded at 1,465.8 won per dollar on Wednesday afternoon — slightly firmer than the Nov. 21 peak of 1,475.2 won after strong verbal intervention — but still nearly 100 won weaker over four months despite a current account surplus nearing $83 billion through September. The won has approached levels previously seen only during extreme stress, including the 2009 global financial crisis and this April's political turbulence. Stock Market Dilemma for FX This year's roaring domestic stock rally adds to the FX pressure. Korean shares returned an average 36.4 percent in the first eight months of the year, far outpacing foreign equities at 8.6 percent and positioning the NPS to rebalance by locking in domestic gains and reallocating abroad. Pension funds sold roughly 800 billion won in local stocks from September to early November as the KOSPI hit a record 4,221.87. A three-percentage-point reduction in domestic equity allocation alone would require shifting about 48 trillion won — or $32.7 billion — reinforcing the fund's role as a structural dollar demander. In the near term, the NPS still has cards it can play. The simplest is adjusting the timing of its dollar purchases. While its long-term strategy requires continued expansion overseas, it faces no obligation on when it converts won into dollars. Delaying purchases by several weeks or accelerating the repatriation of overseas returns can temporarily ease FX pressure without altering its portfolio strategy. A second lever is recalibrating hedging ratios. Under internal rules, the fund can hedge up to 10 percent of its overseas assets when the won trades significantly above its long-term average — a mechanism known as strategic currency hedging. Analysts expect the fund to return to that stance as the 1,480-won level emerges as a short-term ceiling. When the NPS adopted this posture in January, the won strengthened by 20 to 30 won within days, easing into the mid-1,300s by May. The fund can also tighten cash-flow management, temporarily holding more contributions in won or delaying scheduled FX transactions. But the most powerful institutional lever remains the currency swap line with the Bank of Korea, which allows the NPS to borrow dollars directly from foreign reserves rather than sourcing them in the spot market. The ceiling stands at $65 billion, up from $50 billion, and could be expanded or extended. Borrowed dollars must eventually be repaid, but the mechanism smooths sudden spikes in demand and reduces market volatility. Analysts note that both the swap arrangement and strategic hedging have proven to be the most effective tools in past episodes. Still, the NPS cannot be treated as Korea's joker card. The fund's mandate is to maximize long-term returns for an aging society, not to steer currency markets. "The NPS is certainly a major player in the FX market, but it operates under fundamental principles," said Park Sang-hyun of iM Securities. "Mobilizing pension funds for currency defense at the expense of those principles is a different matter entirely." Reducing its overseas investment ratio, while technically possible, contradicts its core mandate and requires multiple layers of approval — making it infeasible as a short-term defense instrument. "For short-term exchange rate adjustments, currency hedging is realistically the optimal approach," Park added. 2025-11-26 16:02:42

S-Oil foundation honors young scientists with 368 million won in research grants SEOUL, November 26 (AJP) - S-Oil Science Prodigy and Culture Foundation on Wednesday presented awards to promising researchers in basic sciences, distributing a total of 368 million won (about $250,000) in research funding at its Seoul headquarters. The foundation, chaired by Hong Suk-woo, held the 15th Dissertation of the Year Awards and the 7th Next-generation Scientist Fellowship Awards ceremony at the company's Gongdeok-dong office. The Korean Academy of Science and Technology and the Korea University President Association co-hosted the event. Twelve young scientists and their academic advisors received 168 million won for exceptional doctoral dissertations across six fields including mathematics, physics, chemistry, life sciences, chemical and materials engineering, and information technology. Five researchers were also granted 200 million won under the Next-Generation Scientist Award for work in physics, chemistry, physiology and medicine, chemical and materials engineering, and IT. "Korea's scientific future is bright, with researchers gaining global recognition for outstanding papers in basic sciences," S-Oil CEO Anwar A. Al-Hejazi said. "S-Oil will continue supporting Korean scientists so they can focus on their research with stability." The company established the independent foundation in 2011 to bolster basic science research in South Korea. Beyond its annual awards, the foundation operates various programs including international academic forums to nurture scientific talent. 2025-11-26 15:54:56

Meet my new partner AI: Korea deploys AI on police and defense front SEOUL, November 25 (AJP) - South Korea is rapidly deploying artificial intelligence to reinforce law enforcement, public safety and national defense, accelerating the use of advanced technologies across frontline agencies. Police authorities are increasingly integrating AI into forensics, cold-case investigations and public-safety surveillance, while the Defense Ministry is building a large-scale AI data center equipped with up to 50,000 GPUs to support next-generation defense capabilities. AI arrives as a timely tool amid the rise of complex digital crimes — from last year's deepfake pornography crisis to intensifying crypto-scam networks. The National Police Agency rolled out its generative AI-powered investigation support system, KICS-AI, to police stations nationwide on Nov. 17. Built on LG's Exaone model, the platform is integrated with the police's internal criminal-justice information system. Roughly 36,000 investigators can now use the AI tool to summarize witness statements, analyze evidence and draft search-warrant applications. Drawing on internal crime data, the system helps investigators retrieve case-relevant precedents without relying on external services. Plans are underway to extend AI assistance to arrest and detention-warrant applications. The police agency also announced Sunday that it will establish a permanent AI division under the Future Policing Policy Bureau by year-end, consolidating AI-related staff scattered across multiple departments. The new unit will oversee AI deployment strategies, ethical standards and training programs. In addition, the agency is developing a 10 billion won ($6.78 million) AI chatbot service called "Everyone's Police Officer" to handle public inquiries around the clock. Once fully operational in 2028, police expect the service to raise the ratio of complaints processed within five days from 69 percent to 85 percent. On the traffic front, the police will begin pilot testing AI-powered cameras next month to catch vehicles blocking intersections. The trial will run through February at a major intersection in Seoul's Gangnam district, with nationwide expansion planned starting in 2027. AI is already proving its worth in cracking long-dormant cases. Police recently credited advanced DNA microanalysis for solving the Sinjeong-dong serial murder case after two decades — a breakthrough that has renewed hopes for nearly 500,000 cold cases that have remained unresolved for more than 20 years. "Police are likely to adopt AI even further, as modern security is based on statistics. AI could provide faster and more accurate predictions on cases," said Lee Yun-ho, professor emeritus of police and criminal justice at Dongguk University. "For instance, AI could quickly analyze crime patterns by region, time and victim profile, allowing police to be deployed more strategically for enhanced public safety." Beyond policing, the government is ramping up AI capabilities for national defense. On Monday, the Ministry of National Defense announced plans to build an integrated AI data center equipped with up to 50,000 GPUs, reflecting the view that future warfare will depend on linking drone and satellite command systems through unified AI infrastructure. The ministry aims to drive AI transformation across all operations — from unmanned autonomous systems to administrative support. Seven pilot projects are under way, including an "AI combat adviser" that analyzes battlefield information in real time to support decisions on fighter-jet deployment and missile launches. "Safety nowadays comes through advanced technology and specialization. It's not the number of enforcers that counts anymore — we need specially trained forces and the right technology to stay ahead," Lee said. 2025-11-25 15:19:29

Naver Financial, Dunamu to merge in $13.5 billion deal creating Korea's fintech giant SEOUL, November 25 (AJP) - Naver Financial, the country's top mobile payment provider, and Dunamu, operator of South Korea's largest cryptocurrency exchange Upbit, will merge in a landmark deal valued at around 20 trillion won ($13.5 billion). The boards of both companies are set to convene on Wednesday to approve the merger, with a joint press conference scheduled for Thursday at Naver's headquarters in Seongnam, south of Seoul. The combined entity would become Korea's largest fintech company. Naver founder Lee Hae-jin and Dunamu Chairman Song Chi-hyung are expected to attend the announcement, with other executives from both firms, including Naver CEO Choi Soo-yeon and Dunamu Vice President Kim Hyung-nyun, will also be present. The transaction will be structured as a comprehensive stock swap, with Dunamu shareholders exchanging their stakes for newly issued Naver Financial shares. Upon completion, Dunamu will become a wholly-owned subsidiary of Naver Financial. Market observers estimate a swap ratio of one Dunamu share for three Naver Financial shares, based on Dunamu's valuation of about 15 trillion won and Naver Financial's valuation of about 5 trillion won. The merger faces regulatory scrutiny from South Korea's Fair Trade Commission, which will examine whether the combination of the nation's leading payment platform and dominant crypto exchange could stifle market competition. Financial regulators are also expected to assess potential systemic risks from integrating volatile cryptocurrency operations with mainstream payment infrastructure. Both companies are expected to frame the consolidation as a strategic imperative rather than a bid for market dominance, arguing that Korean platforms must scale up and integrate blockchain technology to compete against global technology giants expanding into financial services. The merged company aims to build a "Web3" financial ecosystem combining Naver's extensive platform reach with Dunamu's blockchain expertise, positioning itself as a formidable challenger in Asia's rapidly evolving digital finance landscape. 2025-11-25 10:26:35

Food inflation may be brewing as the dollar–won rate stays at crisis levels SEOUL, November 24 (AJP) - Kalguksu, flour dough cut by knife into noodles and served in a steamy broth, is one of the cheapest comfort meals for Korean office workers on cold winter days. But even this humble bowl is no longer cheap. A serving now averages 9,846 won ($7), up 5 percent from a year ago and more than 50 percent from a decade earlier. It is the latest addition to Korea's growing list of food-flation items, as the soaring dollar–won exchange rate raises the cost of imported ingredients and, eventually, finished products that reach shelves and restaurant tables. The U.S. dollar rose 4.50 won to 1,476.5 on Monday, despite the finance ministry's move to form an emergency FX council with the Bank of Korea and the National Pension Service. The NPS, the country's largest institutional investor, is also one of the biggest structural sellers of won due to its massive U.S. equity holdings. The won has averaged 1,453.9 this month, up 4.6 percent from August, pointing to stronger import-driven inflation pressure heading into the fourth quarter. Headline inflation rose 2.4 percent on-year in October, but pressure was stronger in key categories. Processed foods climbed 3.5 percent, petroleum products 4.8 percent, and dining-out prices 3.0 percent. Economists estimate that a 1 percent increase in the exchange rate typically adds 0.06 percentage point to consumer inflation. Flour prices illustrate the trend. The flour consumer price index jumped from 108.47 in December 2021 to 138.17 in December 2022 after Russia invaded Ukraine. It has since hovered in the 130 range, recording 137.59 in December 2023, 137.43 in December 2024 and 135.33 last month. Some food ingredients have eased since the Ukraine-related spikes. According to the Korea Agro-Fisheries & Food Trade Corporation, cocoa prices fell 41.38 percent from a year earlier to $5,084 per ton on Nov. 21. Raw sugar dropped 39.68 percent, milk 10 percent, wheat 3.57 percent and oats 16.79 percent over the same period. But others remain elevated. Soybeans traded around $412.27 per ton in November, up 12.27 percent from a year ago. Barley edged up 0.49 percent, tapioca starch rose 4.6 percent and Arabica coffee prices climbed 10.48 percent. Because Korea depends heavily on imported inputs, these global price trends pass quickly into local supply chains. Domestic food manufacturers used only 31.9 percent domestic ingredients in 2023, meaning roughly 70 percent of raw materials such as wheat, soybeans, corn, palm oil and raw sugar were sourced from overseas. Producer prices rose 0.2 percent month-on-month in October to 120.82, marking the second straight monthly increase. Import prices, based on the domestic supply price index, climbed to their highest level in 18 months. Household burdens are rising in fuel as well. Nationwide gasoline prices jumped 25.8 won per liter in the third week of November. Seoul posted the highest average at 1,799.1 won per liter, while Daegu averaged 1,706.5 won. International oil markets showed mixed movements. Dubai crude, Korea's benchmark, inched down 0.3 dollar to $64.6 per barrel, while international gasoline prices fell 1.4 dollars to $78.8. The Korea National Oil Corporation said global oil prices eased as the United States proposed a draft peace plan to end the Russia–Ukraine war and markets grew more confident that the Federal Reserve may skip a rate cut in December. However, it warned that domestic pump prices are likely to keep rising due to persistent exchange-rate pressure, despite softer crude. "Import prices no longer work as a double-edged sword as they used to. With the economy essentially running on low blood pressure, interest rates lower than the U.S., and excessive liquidity through vouchers, inflation is now fueled by a weak currency," said Cho Dong-geun, professor emeritus of economics at Myongji University. 2025-11-24 17:28:13

Korea's Celltrion to field quadruple-action obesity drug for preclinical approval next year SEOUL, November 20 (AJP) - South Korean drugmaker Celltrion is seeking a COVID antibody–style blowout as it takes a crack at the ever-ballooning anti-obesity market with a quadruple-action oral treatment it aims to ready for preclinical approval next year. The pharma plans to invest about 5.4 trillion won ($3.67 billion) in production facilities across South Korea and the United States to ramp up biosimilar manufacturing capacity and strengthen its novel drug pipeline. Part of the funding will be channeled into the development of "a quadruple-action obesity drug that is one step more advanced than existing GLP-1 and dual- and triple-agonists," said Celltrion Chairman Seo Jung-jin, referring to blockbuster therapies such as Novo Nordisk's Ozempic and Wegovy. "I don't believe the Wegovy era will last forever," Seo said during an online briefing Wednesday. Seo said the company expects to complete derivation of three candidate compounds by year-end. The experimental drug, designated CT-G32, is designed to address limitations of earlier treatments, including variations in individual response and muscle-loss side effects. Obesity treatments have surged in demand after public figures — including Tesla's Elon Musk — publicly highlighted their effectiveness. The drugs have also shown utility in managing coronary heart disease, hypertension and kidney disease, far beyond their original purpose as diabetes medications. According to Morgan Stanley, the global obesity-drug market generated about $15 billion in sales in 2024 and could reach $150 billion by 2035, representing a nearly tenfold expansion. "We believe we are now at an inflection point for the broadening of obesity-drug use, which will extend beyond the U.S. to larger numbers of patients globally," said Morgan Stanley equity analyst Terence Flynn. To challenge front-runners Novo Nordisk and U.S.-based Eli Lilly, Celltrion is developing a quadruple-action mechanism it says can achieve about 25 percent weight reduction — higher than Ozempic's 5 to 15 percent and Eli Lilly's Mounjaro at 15 to 22.5 percent. It expects the drug to reduce non-response rates to below 5 percent. The treatment's oral formulation is expected to offer a convenient alternative for patients reluctant to self-inject or seeking a simpler regimen to maintain weight loss. Celltrion expects to complete animal testing by year-end and begin preclinical regulatory studies next year. Beyond obesity treatments, the company plans to spend up to 700 billion won expanding its U.S. manufacturing base as it navigates uncertainties over potential biosimilar tariffs and doubles down on American production capabilities. Celltrion is acquiring a 66,000-liter biopharmaceutical production facility owned by Eli Lilly in Branchburg, New Jersey. Including acquisition costs, about 1.4 trillion won will go toward securing U.S. manufacturing capacity. The company plans a phased five-year expansion, adding six 11,000-liter bioreactors to increase capacity by another 66,000 liters. "Considering upcoming new products and contract manufacturing volumes for Lilly, we determined rapid expansion was essential," Seo said. Domestically, Celltrion will invest about 4 trillion won in new facilities, including drug-substance plants in Songdo, a drug-product facility in Yesan in South Chungcheong Province, and a pre-filled syringe plant in Ochang, North Chungcheong Province. "As the new drug pipeline expands, R&D spending will reach about 800 billion won next year and 1 trillion won by 2027, but we can secure sufficient cash flow through sales expansion," Seo said. Analysts expect the company's fourth-quarter performance to maintain momentum. "New products including Stoboclo and Osenvelt for osteoporosis are expanding sales, while Omlyclo for urticaria and Avtozma for autoimmune conditions are launching with initial shipment volumes — which will drive sales growth in the new-product segment," said Lee Dal-mi, an analyst at Sangsangin Securities. Shares of Celltrion finished Thursday 0.9 percent higher at 186,800 won. 2025-11-20 15:51:45

Seoul tweaks rules on artisanal spirits but disappoints brewers hoping to ride the K-wave SEOUL, November 19 (AJP) - South Korea is home to the world's best-selling liquor — soju, a clear distilled spirit often dubbed Korean vodka — and the globally rediscovered rice wine, makgeolli. Authorities have finally moved to loosen regulations on traditional liquor tastings and wholesale licensing, but artisanal brewers find them fall short of their expectations on addressing the deeper structural barriers that prevent them from riding the rising K-food wave. The National Tax Service (NTS), which oversees liquor policy, announced Tuesday that the annual tasting-sample quota for traditional liquor will increase to 11,000 liters from the current 9,000 liters starting January. Limits for makgeolli and fruit wines will also rise to 10,000 liters. Under Korea's liquor tax law, "traditional liquor" refers to artisanal drinks made by designated holders of national intangible heritage or by using agricultural products sourced from local or adjacent regions. Korea's liquor categories broadly include makgeolli, rice wine, refined rice wine (cheongju), and soju. The NTS will also allow retail sellers to offer tastings at government-sponsored festivals and events, expanding beyond the current restriction that confines tastings to state-run promotional centers. Officials say the revised wholesale-license rules better reflect the consumption patterns of tourism-heavy regions, where demand for alcohol far exceeds population-based quotas. Under the old standards, popular tourist destinations struggled to secure new licenses despite thriving markets. "The National Tax Service will continue listening to industry voices and boldly improve regulations that do not match reality, becoming a strong supporter of revitalizing the domestic and international liquor industry," the agency said in a statement. Demand for tasting-sample approvals has surged — 5,190 cases in 2024, up from 1,018 in 2021 — prompting the quota increase. Product variety has also expanded nearly sixfold during the same period to 10,463 types of liquor in 2024. Other changes include doubling tax-label exemption thresholds to 1,000 kiloliters for fermented liquors and 500 kiloliters for distilled spirits. Small-scale brewers can also skip the requirement until the quarter following their initial licensing date. Policymakers say the easing mirrors earlier deregulation that fueled the craft-beer boom. The government approvals in 2014 for small breweries to sell at external venues and in 2017 to supply convenience stores were widely credited for igniting rapid market growth. But artisanal brewers argue the small tweaks in tasting quotas do little to strengthen their presence at promotional events. "At exhibition halls and trade shows, people mostly taste and rarely make offline purchases," said Lee Ye-ryeong, CEO of Joeunsoul Brewery, whose Cheonbihyang Yakju refined rice wine won this year's presidential award. "For small breweries like ours, providing tasting samples alone incurs significant cost. Sometimes we use more bottles for tastings than we sell on-site." What would help instead is to "limit the number of tasting glasses included with admission tickets, or allow separate fees for premium tastings," she said noting international wine companies often charge tasting fees, and customers who pay are more likely to make actual purchases. Brewers call for broader tax reform. Makgeolli is taxed at 44,400 won per kiloliter, while cheongju and soju are taxed ad valorem at 30 percent and 72 percent respectively — rates that weigh heavily on small distilleries. Confusion also persists over ambiguous classification rules. Some celebrity-backed distilled spirits qualify as "traditional liquor" simply by meeting regional-ingredient requirements, while many popular makgeolli brands fall outside the legal definition altogether. What are needed are practical steps, not gestures, said one brewer. 2025-11-19 13:45:11