Journalist
Kim Dong-young and Han Jun-gu
davekim0807@ajupress.com
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Celltrion to invest 1.2 trillion won in new Songdo plant, expanding drug substance capacity to 571,000 liters SEOUL, March 24 (AJP) - Celltrion announced plans to invest about 1.23 trillion won ($821 million) to build two new drug substance manufacturing plants at its Songdo campus in Incheon, as it moves to meet rising global demand for its biosimilar and novel drug products. The new Plants 4 and 5 will add 180,000 liters of drug substance (DS) production capacity to Celltrion's existing network, the company said Tuesday. Combined with a separately announced expansion at its Branchburg, New Jersey facility — where planned capacity has been increased to 75,000 liters from 66,000 liters — the company's total DS capacity is expected to reach 571,000 liters, up from the current 316,000 liters. The phased investment will run from this year through 2030 and encompasses facilities in South Korea and the United States. Celltrion said the new Songdo plants will be equipped with advanced automation and smart factory technology to enable both small-batch and large-scale production. "This investment decision will serve as an opportunity to significantly improve profitability, backed by overwhelming cost competitiveness and supply stability," a company spokesperson said, adding that Celltrion aims to become a global top-tier company spanning biosimilars, novel drugs and contract manufacturing. On the drug product (DP) side, Celltrion said a new DP facility at Songdo — already more than 70 percent complete — is on track to begin commercial production next year, with annual capacity of 6.5 million liquid vials. A second DP plant is planned for the Yesan industrial complex in South Chungcheong Province, with design work set to begin this year. Once all domestic and overseas expansions are complete, Celltrion said it expects to internalize 100 percent of its DS production needs and about 90 percent of global DP requirements, significantly reducing reliance on external contract manufacturers. The company added that it would actively consider securing additional production facilities if market conditions or pipeline progress warrant further expansion. 2026-03-24 10:03:12 -
Korean cracking facilities shuttering amid naphtha crunch, Seoul reacting to crisis SEOUL, March 23 (AJP) - South Korea's major naphtha cracking facilities at the Yeosu Industrial Complex are shuttering as a worsening naphtha supply crunch triggered by the blockade of the Strait of Hormuz forces the industry into emergency measures. LG Chem, the country's largest petrochemical firm, said Monday it would suspend operations at its No. 2 naphtha cracking center (NCC) plant in Yeosu, which has an annual ethylene production capacity of 800,000 tons. The company will keep its larger No. 1 plant, with a capacity of 1.2 million tons per year, running to maintain baseline output. Yeochun NCC, a joint venture between Hanwha Solutions and DL Chemical, also halted its olefin conversion unit (OCU) and some downstream operations. Lotte Chemical is advancing maintenance shutdowns and reallocating supplies to sustain core production. The moves reflect mounting strain as feedstock costs surge and supply routes remain disrupted. The move is aimed at conserving limited naphtha stocks by curtailing production of lower-demand petrochemical products while keeping core ethylene output intact. Yeochun NCC is struggling to maintain its operating rate at about 60 percent as a drop below 50 percent would force a complete shutdown due to safety risks. Naphtha prices have surged since the blockade of the Strait of Hormuz cut off imports from the United Arab Emirates, Qatar and Kuwait. Domestic naphtha prices reached $1,068 per ton as of March 18, roughly double the level at the start of the year. Global benchmark naphtha prices climbed to $873 per ton on Monday from about $480 at the beginning of the year, according to Trading Economics. The spike has effectively eliminated refining margins between naphtha and ethylene, meaning petrochemical producers are incurring losses for every ton of output. The shutdowns have raised concerns over downstream supply disruptions. Ethylene and propylene are essential feedstocks for plastics and vinyl, while butadiene is used in synthetic rubber for tires and paraxylene serves as a base material for polyester textiles. With the industry facing cascading risks, the government moved to shore up supplies and contain the fallout. Yang Ki-wook, the Ministry of Trade, Industry and Resources director-general of industrial resource security, said at a daily briefing of the government's Middle East response task force on Monday that "the pace of international oil price increases has been steeper than during the 2022 Russia-Ukraine war." He added that there would be no major disruption to domestic crude oil supply in April. Speaking at the National Press Club in Australia's capital, International Energy Agency chief Fatih Birol said Monday compared the current energy crisis to those of the 1970s and the impact of Russia's 2022 invasion of Ukraine. "This crisis as things stand is now two oil crises and one gas crash put all together," Birol said. The industry ministry plans to redirect domestically produced naphtha from exports to the domestic market by coordinating with refiners, which account for about 55 percent of the country's naphtha supply. Yang said emergency supply adjustment orders could delay potential plant shutdowns until late April or May, and that the government would seek supplementary budget allocations to support the effort. He added that the refiners were securing alternative volumes by rerouting shipments around the Strait of Hormuz. Of 24 million barrels to be sourced from the UAE, about 4 million barrels are set to arrive in late March and early April, with the remaining 18 million barrels expected to begin arriving from early to mid-April. The government is also considering imports of Russian crude oil, made possible by a temporary easing of U.S. sanctions, but remains cautious due to concerns over quality, financial settlement risks and potential secondary sanctions. 2026-03-23 15:08:30 -
Kakao Mobility launches recruitment drive for end-to-end autonomous driving engineers SEOUL, March 20 (AJP) - Kakao Mobility announced it has launched a recruitment drive targeting engineers in four autonomous driving specialties as the South Korean mobility platform accelerates its push to develop in-house end-to-end self-driving technology. The company said Friday it has created a dedicated "Physical AI" tab on its hiring page and will recruit experienced engineers in autonomous driving AI, SLAM (Simultaneous Localization and Mapping), hardware, and electrical and electronic systems. Candidates are required to have at least five years of relevant experience, and the company said it has set no cap on the number of hires or the duration of recruitment, though it has designated March 29 as the end of an intensive intake period. The hiring push is part of a broader strategic pivot toward what Chief Executive Ryu Geung-sun has described as a "Physical AI-based future mobility company." Kakao Mobility said it has been refining its AI Planner — the core decision-making system of its autonomous vehicles — using complex urban driving data gathered from areas including Pangyo and Gangnam in Seoul. "Those who join now, at a moment when technological maturity, urban infrastructure and market demand converge, will directly write a new chapter in South Korean mobility," said Kim Jin-gyu, head of the Physical AI division. The four roles being recruited cover the full stack of autonomous vehicle development: AI engineers to build the integrated end-to-end neural system using Vision-Language-Action models; SLAM engineers for precision localization; hardware engineers for sensor packaging and control systems; and E/E engineers for high-speed in-vehicle data networks. Kakao Mobility said the recruitment drive is intended to further internalize core autonomous driving capabilities and accelerate its ambition to become a leading Physical AI company with global competitiveness. 2026-03-20 16:12:26 -
Kia targets 13 EV models by 2030, accelerates PBV and software pivot SEOUL, March 20 (AJP) - Kia outlined plans to expand its electric vehicle lineup to 13 models by 2030 and deepen its push into purpose-built vehicles and software-defined cars, as the automaker seeks to reposition itself amid a global slowdown in EV demand. President Song Ho-sung presented the strategy at the company's annual general meeting held at its headquarters in southern Seoul on Friday, identifying three priorities: EV mass-market expansion, growth of its purpose-built vehicle (PBV) business and a transition toward software-defined vehicles. The automaker said it will launch the compact EV2 this year to complete its affordable EV range, aiming to capture demand in the budget segment. The company will leverage production bases across South Korea, the United States, Europe and emerging markets to match regional demand. On the PBV front, Kia plans to roll out three models in sequence — the PV5, already unveiled last year, followed by the PV7 in 2027 and PV9 in 2029 — targeting logistics and commercial fleets. The company is building a dedicated PBV production line at its Hwaseong EVO plant and working with partners to develop specialized variants including box trucks and camper vehicles. "We will maintain our eco-friendly vehicle strategy despite uncertainties from rising protectionism and tariff variables," said Song. Shareholders also approved governance changes to comply with a revised commercial code, including the adoption of electronic shareholder meetings, mandatory cumulative voting for directors and expanded fiduciary duties for board members. In separate votes, Kim Seung-jun, head of the finance division, was elected as an inside director, and Jeon Chan-hyuk, chief executive of Cesco, was reappointed as an outside director. 2026-03-20 15:27:25 -
LG Energy Solution pivots to energy storage as EV battery demand slows SEOUL, March 20 (AJP) - LG Energy Solution announced it is accelerating a strategic shift toward energy storage systems as slowing electric vehicle demand reshapes the global battery industry, with the South Korean company moving to rebalance a business long anchored to the automotive sector. Chief Executive Kim Dong-myung told shareholders Friday at the company's annual general meeting in Seoul that the industry has entered a period of "value shift," in which growth is migrating away from electric vehicles and toward energy infrastructure. "We will seize new growth opportunities amid structural changes in power demand," Kim said. The remarks amounted to a formal acknowledgment that the battery sector's center of gravity is tilting from EVs to grid-scale storage, driven by rising electricity consumption from artificial intelligence data centers and the expansion of renewable energy generation worldwide. LG Energy Solution, one of Korea's largest battery maker, plans to raise ESS cell production capacity to more than 60 gigawatt-hours by the end of 2026. The company's ESS order backlog stood at 140 GWh at the end of 2025, and it is targeting an additional 90 GWh in new orders this year. North America is the centerpiece of the push. The company now operates five ESS production sites in the region, including standalone plants in Michigan and a facility run by its Canadian subsidiary NextStar Energy, as well as joint ventures with Honda in Ohio and partnerships with Ultium Cells in Tennessee. It is also converting existing EV battery lines to ESS use to minimize fresh capital spending. The North American focus carries a distinct policy advantage. Washington's Inflation Reduction Act restricts tax incentives for batteries and critical minerals sourced from Chinese supply chains, and LG Energy Solution's domestic manufacturing footprint positions it as one of the few non-Chinese suppliers of lithium iron phosphate cells in the United States. In Europe, the company is repurposing idle EV production capacity for ESS manufacturing, a strategy designed to contain investment costs while responding to regional demand. LG Energy Solution said it aims to raise the share of ESS and new businesses in its portfolio from about 20 percent at present to the mid-40 percent range, reducing its dependence on the volatile EV market. Industry analysts say companies that secure ESS production capacity and non-Chinese supply chains early are likely to gain a durable competitive edge as the battery market transitions from a single reliance on electric vehicles to a broader energy infrastructure model. 2026-03-20 13:48:40 -
Samsung Biologics reappoints CEO John Rim as inside director SEOUL, March 20 (AJP) - Samsung Biologics said Friday that shareholders reappointed Chief Executive John Rim as an inside director at the company's 15th annual general meeting. About 1,400 shareholders participated in the meeting, which was conducted both on-site and via online livestream. All five agenda items put to a vote were approved as proposed. In addition to Rim, Executive Vice President Lo Kun, who heads the EPCV Center, was also reappointed as an inside director. Kim Jung-yeon, a professor at Ewha Womans University Law School, was newly appointed as an outside director and audit committee member. Other approved items included the adoption of financial statements, amendments to the company's articles of incorporation and a cap on executive compensation. "This year marks our meaningful 15th anniversary," Rim said. "We will continue our efforts to enhance corporate and shareholder value while contributing to the growth of South Korea's bio industry and economy." 2026-03-20 12:12:30 -
BTS Live D-2: K-tech takes center stage for a show of the century SEOUL, March 19 (AJP) - South Korea is home not only to BTS but also to some of the world's most advanced technology — and it does not need the Olympics to prove it. Saturday's comeback spectacle is set to showcase both K-pop and K-tech prowess on a truly global stage. The K-pop supergroup will return after nearly four years in groundbreaking fashion — an open-air concert at Gwanghwamun, Seoul's historic government and palace district — staged free of charge for nearly 300,000 spectators and streamed live to audiences in 190 countries via Netflix. Netflix, which secured exclusive global broadcasting rights, is deploying its full content delivery arsenal for its first-ever live event from Korea. The streamer will use Emmy Award-winning video encoding that automatically adjusts quality to each viewer's network and device, along with a load-balancing system featuring triple-redundancy encoder failover. A dedicated live-operation mode will reprioritize infrastructure resources to keep the stream uninterrupted — all powered by Open Connect, Netflix's proprietary CDN built with more than 1,000 ISP partners worldwide since 2012. In plain terms, the live feed will run on a highly resilient, high-capacity system designed to deliver seamless streaming regardless of demand. "BTS live broadcasts have always functioned as global gatherings, with fans setting alarms, taking long lunch breaks or staying up late so they can experience the moment together," Netflix said on its Tudum platform. AI-powered network defense In wireless technology, South Korea is second to none. All three telecom carriers have mounted a full-scale network defense. SK Telecom will deploy its proprietary AI-driven system "A.One" for the first time at a live event, dividing the venue into three zones based on crowd density. The carrier has also installed temporary base stations and dedicated roaming infrastructure for foreign visitors. "This large-scale K-pop concert is a global event drawing worldwide attention, and we expect an ultra-high-density traffic environment. We will demonstrate Korea's world-class AI-powered network capabilities and deliver stable telecommunications services," an SK Telecom spokesperson said. KT is applying its AI-based traffic management solution "W-SDN" to automatically control base station overloads, while deploying six mobile base stations, 79 wireless units and 14 Wi-Fi access points across the venue. "KT has the country's largest international network and internet backbone, and has significantly expanded capacity for the BTS concert. Drawing on experience from major events such as the Olympics and the WBC, we will ensure stable and seamless connectivity," a KT spokesperson said. LG Uplus is leveraging autonomous network technology to predict traffic surges and has installed temporary relay equipment at more than 10 locations near the square. Smart security and crowd control An extraordinary crowd also requires highly digitized security and crowd management. Organizers have introduced a mobile ticketing system that links each ticket to a device's unique identifier, preventing unauthorized transfers and scalping. At entry points, 31 metal-detection gates will screen attendees, while a real-time crowd management system will monitor density levels and relay data instantly to safety personnel. Police have deployed counter-drone vehicles and explosive-detection dog units around the venue. Mapping the mega crowd Internet and messaging platforms are also stepping in to guide the unprecedented influx of visitors into Gwanghwamun — an area roughly the size of three soccer fields. Naver Map has reconfigured the concert zone into an indoor-style navigation system, highlighting restrooms, entry gates, screens and information centers. Kakao Map has launched a pilot service through March 22, providing ultra-precise bus location data across about 420 Seoul routes to help commuters navigate detours caused by the event. "We are working closely with the Seoul Metropolitan Government to provide accurate traffic information so citizens can travel safely and conveniently," said Lee Chang-min, head of Kakao's map business development team. A city turned into a stage Technology will extend beyond the venue into the city itself. The Seoul Metropolitan Government and BigHit Music are transforming the capital into a citywide media canvas under the "BTS The City Arirang Seoul" project, running from Friday through April 19. Media facades will illuminate Sungnyemun Gate and Namsan Seoul Tower on the album's release day, followed by a drone light show over Ttukseom Hangang Park. Dongdaemun Design Plaza will host synchronized music-and-light shows every 30 minutes through April 12. Built on a legacy of tech-driven performance Saturday's showcase builds on BTS's long history of pushing technological boundaries — from volumetric hologram displays at the 2020 MAMA to multi-view XR livestreaming during "Map of the Soul ON:E," and a 108-camera volumetric capture system that rendered the group as AR holograms alongside Coldplay on The Voice in 2021. The upcoming 82-date Arirang World Tour, launching April 9 at Goyang Stadium, will feature a 360-degree "in-the-round" stage across 34 cities in 23 countries. As RM told GQ: "The most important thing is just that we are here back together again. We're going to see the fans all over the world." And this time, they are doing it at a truly global technological standard. 2026-03-19 14:54:49 -
SK AX launches 'AXgenticWire' brand to drive agentic AI transformation in enterprise operations SEOUL, March 19 (AJP) - SK AX unveiled a new integrated brand called "AXgenticWire" on Thursday, signaling a push to accelerate agentic artificial intelligence adoption across corporate operations. The brand name combines "agentic AI" — systems capable of autonomous judgment and execution — with "Rewire," reflecting the company's ambition to fundamentally redesign how enterprises operate. SK AX said the platform is built to coordinate multiple AI agents across business functions, filling a gap left by piecemeal AI deployments that boost isolated task efficiency without lifting overall productivity. At its core, AXgenticWire runs on what SK AX calls "AI-readable data," a structured data format that AI models can process and learn from immediately. The platform layers in the company's accumulated AI Ops capabilities — which automate and intelligentize IT systems — to deliver a stable operating environment tailored to each enterprise's infrastructure. "The competitive edge in the agentic AI era lies not in model performance alone, but in the architecture that makes AI judgment actually function within real business operations," said Cha Ji-won, Chief AI Innovation Officer at SK AX. "We will expand our end-to-end enterprise AI full-stack execution framework — validated on the ground in real industries — to maximize corporate decision-making and operational efficiency." 2026-03-19 09:56:30 -
Naver, AMD sign MOU to strengthen AI GPU infrastructure cooperation SEOUL, March 18 (AJP) - South Korea's Naver and U.S. chipmaker Advanced Micro Devices (AMD) signed a memorandum of understanding to jointly develop next-generation GPU infrastructure aimed at expanding their artificial intelligence ecosystems. Under the agreement signed at Naver's 1784 headquarters Wednesday, the two companies will collaborate on building high-performance GPU computing environments optimized for Naver's proprietary large language model, HyperCLOVA X, and work to advance infrastructure technologies for stable AI model operations. The partnership also covers providing AI computing resources to academic researchers and launching joint research projects to broaden AI research outcomes across diverse infrastructure platforms. "The collaboration with AMD will serve as a meaningful opportunity to secure technological diversity and strengthen our AI infrastructure competitiveness," Naver CEO Choi Soo-yeon said. "We will continue to expand the potential of AMD platforms across Naver Cloud and our broader AI services, and pursue cooperation for next-generation technology stacks and service implementation." AMD CEO Lisa Su called Naver an optimal partner for implementing the chipmaker's next-generation AI GPU technologies, citing the Korean firm's AI capabilities and cloud platform. 2026-03-18 15:19:06 -
Korea's crackers edges toward shutdown as Hormuz blockade chokes naphtha supply SEOUL, March 13 (AJP) - South Korea's petrochemical plants are rapidly running out of naphtha as the closure of the Strait of Hormuz cuts off a major supply route, forcing producers to declare force majeure and slash operating rates to bare-minimum levels to avoid a full shutdown that could ripple through the country's manufacturing economy. Yeocheon NCC, LG Chem, Lotte Chemical and Hanwha Solutions have all warned customers of potential force majeure on product deliveries. GS Caltex, which shares the Yeosu industrial complex with several affected petrochemical producers, has postponed a scheduled maintenance turnaround at its Yeosu refinery from March to May in order to keep supplying naphtha to neighboring plants, industry officials said. The move underscores the urgency gripping the sector: halting refining operations now would almost certainly trigger a cascade of shutdowns downstream. About 54 percent of South Korea's naphtha imports and roughly 70 percent of its crude oil normally transit the Strait of Hormuz. Since Iran closed the waterway on Feb. 28 following joint U.S.–Israeli strikes, tanker traffic through the chokepoint has largely halted. "NCC operating rates across the region continue to decline as the Strait of Hormuz remains impassable, while prices of basic feedstocks such as butadiene and styrene monomer are surging on tighter supply and rising naphtha costs," said Kang Dong-jin, an analyst at Hyundai Motor Securities. "A recovery in NCC utilization hinges on the reopening of the strait." Naphtha prices have surged since the conflict escalated, hitting $883.40 per metric ton on Monday, up from $568.55 on Feb. 23, before easing slightly to $812.29 on Thursday, according to the S&P Global Platts Fujairah cargo assessment. Asia's steam cracker industry is overwhelmingly naphtha-based and structurally dependent on imports. Major petrochemical producers across the region — including India, Thailand, Indonesia, Malaysia, China, Japan, Singapore and South Korea — collectively imported 86.6 million tons of naphtha in 2025, according to Independent Commodity Intelligence Services (ICIS). As the supply shock spreads, petrochemical plants across Asia have begun cutting operating rates. Singapore's Petrochemical Corporation of Singapore has declared force majeure, citing disrupted naphtha deliveries, while Indonesia's PT Chandra Asri Pacific has followed with its own declaration. Korea's Yeocheon NCC has taken the same step. In China, the CNOOC and Shell Petrochemicals Company Limited has halted operations after crude supply to its integrated refinery was disrupted. Nearly 9 million tons per year of South Korean ethylene capacity is non-integrated and heavily reliant on imported naphtha, according to ICIS data. The price spike compounds an already dire situation for Korean producers, who are struggling to pass higher feedstock costs on to customers. Persistent oversupply from China has depressed ethylene and downstream product prices, compressing the ethylene spread — the margin between naphtha costs and ethylene selling prices — to about $100 per ton, far below the roughly $300 needed to break even. Korean petrochemical firms typically source about half of their naphtha from domestic refiners and import the rest. With the strait sealed off, those seaborne cargoes have stopped arriving and inventories are rapidly dwindling, leaving producers little choice but to conserve feedstock. Operating rates have been cut to what the industry calls "zombie mode." Yeocheon NCC, a 50-50 venture between Hanwha Solutions and DL Chemical, has reduced utilization to 60 percent and is reportedly considering a further cut to 50 percent, its turndown limit. Lotte Chemical has lowered utilization to 70 percent, while LG Chem has trimmed operations at its Daesan complex to about 54 percent. Once a plant falls below its turndown ratio — the minimum operating rate at which equipment can safely function — it must shut down entirely. Restarting a steam cracker typically takes up to two weeks. Domestic producers currently hold only about two weeks of naphtha inventories, according to the Ministry of Trade, Industry and Energy. A full shutdown would send shockwaves far beyond the chemical sector. Ethylene and propylene are core feedstocks for a wide range of industries, from automotive plastics and consumer electronics components to construction materials such as PVC piping and insulation, as well as synthetic fibers used in textiles. Logistics networks are already beginning to buckle. HMM, South Korea's largest shipping line, suspended new bookings on Middle East routes on Wednesday, while Korean Air has extended the suspension of its Incheon–Dubai flights through March 28. Rising freight and fuel costs are adding pressure to industries already weakened by a prolonged downturn, including steel, batteries and cement. The crisis has also complicated a government-led restructuring effort aimed at addressing structural overcapacity in the petrochemical sector. The Ministry of Trade, Industry and Energy and creditor institutions led by the Korea Development Bank had set an end-of-March deadline for companies in the Yeosu complex to submit voluntary ethylene capacity reduction plans. The war, however, has injected deep uncertainty into those negotiations. Analysts say the situation echoes the early stages of the 2022 Russia-Ukraine conflict, though the impact on Asia could prove more severe given the region's far heavier reliance on Middle Eastern feedstock. If the Hormuz blockade drags on, utilization rates at South Korea's three major petrochemical hubs — Yeosu, Daesan and Ulsan — could fall below 60 percent across the board, with ripple effects spreading through electronics, automotive, construction and consumer goods industries nationwide. 2026-03-13 14:30:45