Journalist

Hoang Phuong Ly
  • South Korea deploys CAS500-2 satellite in milestone for domestic space technology
    South Korea deploys CAS500-2 satellite in milestone for domestic space technology SEOUL, May 3 (AJP) — South Korea successfully launched its next-generation midsized Earth observation satellite on Sunday, marking a major step forward in the country’s push to strengthen homegrown space technology and private-sector satellite capabilities. The satellite, known as CAS500-2 or Next-Generation Mid-Sized Satellite No. 2, lifted off aboard SpaceX’s Falcon 9 rocket from Vandenberg Space Force Base in California at 4 p.m. Korea time Sunday, according to the Korea AeroSpace Administration (KASA). CAS500-2 separated from the launch vehicle about an hour after liftoff and later established its first communication with a ground station in Svalbard, Norway, confirming that onboard systems were operating normally. Developed primarily by Korea Aerospace Industries under South Korea’s next-generation satellite program, CAS500-2 is designed for high-precision Earth observation missions including land resource management, disaster monitoring and agricultural analysis. The satellite will orbit Earth at an altitude of about 498 kilometers in a sun-synchronous orbit. It is equipped with domestically developed optical imaging technology capable of identifying objects as small as 0.5 meters in black-and-white imagery and 2 meters in color imagery. KASA said the successful launch demonstrated a significant advancement in South Korea’s satellite independence, as key satellite body systems and payload components were developed using domestic technology. The satellite is expected to undergo about four months of initial operational testing before beginning full-scale missions later this year alongside CAS500-1, which was launched in 2021. The project was originally scheduled to launch aboard a Russian Soyuz rocket in 2022, but the plan was delayed for nearly four years following Russia’s invasion of Ukraine and the resulting disruption in the global launch market. SpaceX said the mission, dubbed “CAS500-2,” carried a total of 45 payloads for multiple international customers including KAI, Planet Labs and other commercial operators. The company also noted that the Falcon 9 first-stage booster used for the mission was making its 33rd flight before successfully landing at Landing Zone 4 at Vandenberg Space Force Base. “The successful launch of CAS500-2 is an important milestone opening the era of private-led New Space,” KASA Administrator Oh Tae-seok said in a statement. “By independently securing ultra-high-resolution imagery needed for land and disaster management on the Korean Peninsula, we have significantly strengthened the technological competitiveness of Korea’s satellite industry.” The Ministry of Land, Infrastructure and Transport, which will utilize the satellite’s imagery services, said the launch would improve the country’s ability to provide faster and more diverse geospatial information services through the combined operation of national satellites. The Falcon 9 mission also carried 44 additional payloads, including “BusanSat,” a cube satellite jointly developed by the city of Busan, the Korea Astronomy and Space Science Institute and Nara Space Technology. 2026-05-03 18:34:08
  • Three in four young Koreans say they are nonreligious
    Three in four young Koreans say they are nonreligious SEOUL, May 03 (AJP) - Three out of four South Koreans in their 20s now identify as having no religion, highlighting a deepening generational shift that is accelerating the aging of the country’s faith communities and clergy. According to a recent report by Gallup Korea titled Religion of Koreans 1983–2025, only 24 percent of adults in their 20s said they currently practice a religion last year, meaning more than 75 percent described themselves as nonreligious. The figure compares with 29 percent among people in their 30s, 37 percent in their 40s, 45 percent in their 50s and 52 percent among those aged 60 and older. Overall, 40 percent of South Korean adults said they had a religion in 2025, including 18 percent Protestant, 16 percent Buddhist and 6 percent Catholic. The share of religious adults had climbed from 44 percent in 1983 to a peak of 54 percent in 2004 before entering a long decline. It fell to 37 percent in 2022 during the final stages of the COVID-19 pandemic before rebounding slightly last year. The generational divide, however, remains stark. Among respondents in their 20s who said they had no religion, 58 percent cited simple lack of interest as the main reason. Another 20 percent said they lacked the mental or time capacity for religious life, while 9 percent pointed to distrust or disappointment with religion and another 9 percent said they preferred to rely on themselves. Gallup Korea said the decline in religious affiliation over the past two decades has been driven primarily by younger generations. “The main cause behind the decline in religious populations over the past 20 years was among young people,” the report said. “Not only has the inflow of new young believers decreased, but existing followers have also left organized religion, weakening overall religious communities and accelerating population aging.” The trend is reshaping the demographic structure of South Korea’s major religions. Among adults identifying as Buddhists, 56 percent were aged 60 or older, according to the Gallup survey. The proportion stood at 34 percent among Protestants and 32 percent among Catholics, indicating broad aging across faith groups. Data released last month by the Catholic Bishops' Conference of Korea showed the number of Catholic believers aged 29 or younger fell 34 percent over the past decade, while believers aged 65 and older surged 80.4 percent between 2015 and 2025. Senior citizens accounted for 28.9 percent of all Catholics in South Korea last year, exceeding the country’s overall elderly population ratio of 21.2 percent. The report said the Korean Catholic Church had effectively entered a “super-aged society” as early as 2019. The aging trend is also spreading among clergy. The proportion of diocesan priests aged 65 or older rose steadily from 11 percent in 2015 to 19.7 percent this year, according to Catholic Church statistics. Over the same period, the number of seminarians fell 41.9 percent while newly ordained diocesan priests declined 42.1 percent, suggesting further strain on future clergy recruitment. Korea’s largest Buddhist sect, the Jogye Order, is facing similar pressures. The number of new monastic entrants has reportedly fallen to about one-third of levels seen two decades ago, while more than 30 percent of monks are now elderly. 2026-05-03 15:28:20
  • Samsung family completes $9 bn inheritance tax payment as AI boom reshapes empire
    Samsung family completes $9 bn inheritance tax payment as AI boom reshapes empire SEOUL, May 03 (AJP) -The family of late Samsung Group patriarch Lee Kun-hee has completed payment of a record 12 trillion won ($8.8 billion) inheritance tax over five years, concluding what is widely regarded as the largest inheritance settlement in South Korean history while underscoring the dramatic resurgence of the Samsung empire during the artificial intelligence semiconductor boom. According to business industry sources on Sunday, Jay Y. Lee, along with his mother Hong Ra-hee and sisters Lee Boo-jin and Lee Seo-hyun, recently finalized the last installment of inheritance taxes first reported in April 2021 following the death of the late chairman in October 2020. The estate included stakes in key affiliates such as Samsung Electronics, Samsung Life Insurance and Samsung C&T, along with extensive real estate holdings. At the time of the filing, the family stated that “paying taxes is a natural duty of citizens,” pledging to fulfill the obligation in accordance with legal principles. Using South Korea’s installment payment system, the family paid the tax in six installments over five years. The 12 trillion won levy exceeded the government’s total inheritance tax revenue of 8.2 trillion won collected in 2024, making it one of the largest inheritance tax payments ever recorded globally. The completion of the payment also marks a sharp reversal from the uncertainty surrounding Samsung’s succession transition in 2020 and 2021. At the time of Lee Kun-hee’s death, the combined market capitalization of Samsung Group’s major listed affiliates was estimated at roughly 500 trillion won to 600 trillion won ($430 billion to $520 billion at the time), weighed down by the COVID-19 pandemic, a prolonged semiconductor downturn and leadership uncertainty surrounding the succession process. Samsung Electronics alone was valued at roughly 350 trillion won to 400 trillion won during that period. When the inheritance tax bill was announced in 2021, some analysts questioned whether the Lee family would be forced to dilute its control over Samsung through large-scale share sales to meet the payment obligations. Instead, the global AI semiconductor rally fundamentally transformed the conglomerate’s fortunes. Today, the Samsung empire’s combined listed market value has swollen to roughly 1,500 trillion won to 1,600 trillion won ($1.1 trillion), meaning the group’s value has nearly tripled in less than six years as Samsung Electronics emerged as one of the world’s core AI infrastructure suppliers. Samsung Electronics alone has approached or exceeded a market capitalization of 1,000 trillion won during peak periods amid explosive demand for high-bandwidth memory chips and AI data-center semiconductors. The AI-driven rally sharply improved both asset valuations and dividend income, allowing the family to preserve most of its core holdings while completing the unprecedented tax burden. According to the Bloomberg Billionaires Index, the Lee family’s combined fortune climbed to about $45.5 billion this year from roughly $20 billion levels during the succession crisis. Samsung’s economic influence has also expanded alongside the rally. Combined revenue from seven key Samsung affiliates reached the equivalent of 19.3 percent of South Korea’s gross domestic product in 2025, up from 15.1 percent a decade earlier, according to Bloomberg calculations. Alongside the tax payments, the Samsung family pursued one of the country’s largest private philanthropic campaigns rooted in the late chairman’s long-standing philosophy of “contribution to humanity.” In 2021, the family pledged 1 trillion won in medical donations, including 700 billion won to the National Medical Center to strengthen infectious disease preparedness and support construction of South Korea’s first dedicated national infectious disease hospital, scheduled for completion in 2030. Another 300 billion won was donated to Seoul National University Hospital for treatment of pediatric cancer and rare diseases, with Samsung saying roughly 28,000 children benefited from the program over the past five years. The family also donated about 23,000 artworks and cultural assets — collectively known as the “Lee Kun-hee Collection” — to institutions including the National Museum of Korea and the National Museum of Modern and Contemporary Art. The collection, estimated by the art world at up to 10 trillion won at the time of donation, has since toured globally, including exhibitions at the Smithsonian National Museum of Asian Art and the Art Institute of Chicago, with another scheduled at the British Museum later this year. 2026-05-03 15:13:24
  • Korean refiners estimate bumper Q1 but beyond uncertain
    Korean refiners estimate bumper Q1 but beyond uncertain SEOUL, May 03 (AJP)-South Korea’s four major refiners are estimated to have posted combined first-quarter operating profits nearing 5 trillion won ($3.6 billion) on spike in export margins from cheaper inventories due to the blockade of the Strait of Hormuz, though the windfall is expected to be short-lived once cheaper crude inventories are exhausted. According to market consensus compiled by brokerages, SK Innovation is estimated to have turned out an operating profit of about 2.36 trillion won for the January-March period, sharply rebounding from an operating loss of 44.6 billion won a year earlier. S-Oil is forecast to have earned around 1.08 trillion won, while GS Caltex and HD Hyundai Oilbank are projected to report operating profits in the mid-1 trillion won range and around 200 billion won, respectively. The earnings surge came as refining margins spiked after the outbreak of the Middle East conflict in late February disrupted oil flows and tightened fuel supply across Asia. Singapore complex refining margins — a key profitability benchmark for Asian refiners — jumped from $5.7 per barrel in February to $16.5 in March, more than tripling the industry break-even level of around $4-$5 per barrel. The rise in margins coincided with a sharp rally in global crude prices. Dubai crude, the benchmark most relevant for Asian refiners, climbed to $100.46 per barrel as of April 30 from $61.08 at the end of last year, a gain of 64.5 percent. Brent crude surged nearly 94 percent over the same period to $118.03, while U.S. benchmark WTI advanced 86 percent to $106.88. The widening spread between crude procurement costs and refined fuel prices effectively turned South Korean refiners into one of the few major beneficiaries of the regional supply shock. “Amid the Iran war, Korean refiners became virtually the only suppliers in the Asia-Pacific region capable of securing relatively cheaper feedstock for domestic supply while exporting products at elevated margins,” said Jeon Woo-je, an analyst at KB Securities. “The favorable market cycle could continue beyond previous boom periods through the end of next year.” South Korean refiners, which rank among the world’s top five in refining capacity, generate roughly 50 to 70 percent of sales from exports, allowing them to capitalize aggressively on overseas shortages of gasoline and diesel. The headline earnings may overstate the sector’s underlying profitability. Market estimates suggest that roughly 40 to 50 percent of first-quarter operating profit stemmed from inventory-related gains rather than structural improvement in refining operations. Refiners typically hold three to four months of crude inventories, while imported oil takes four to eight weeks to arrive and enter production. During periods of rising oil prices, refiners process cheaper crude purchased earlier while selling refined products based on current elevated market prices. The timing effect temporarily inflates margins, but the reverse occurs once crude prices begin to decline. The concern is that refiners are now replenishing inventories at sharply higher prices. Because refining is a continuous-process industry requiring uninterrupted crude purchases regardless of market conditions, companies are reinvesting first-quarter profits into substantially more expensive replacement barrels, particularly as alternative crude supplies command steep premiums following disruptions to Middle Eastern shipments. Analysts estimate that every $1 change in crude oil prices affects the combined earnings of the four refiners by more than 100 billion won. Domestic policy pressure has also challenge their profitability. Under a government “maximum price guideline” introduced in March to contain inflation, refiners were required to cap domestic fuel prices despite surging global energy costs, limiting margins in the local market compared with exports. Industry estimates suggest cumulative losses linked to the pricing measure have already exceeded 3 trillion won. Although the government pledged compensation, disputes are expected over reimbursement calculations as a 4.2 trillion won emergency reserve fund nears depletion. 2026-05-03 13:11:43
  • Second Korean tanker reroutes via Red Sea as Seoul presses Iran on Hormuz safety
    Second Korean tanker reroutes via Red Sea as Seoul presses Iran on Hormuz safety SEOUL, May 03 (AJP) - A second South Korean tanker carrying crude oil has safely passed through the Red Sea and is en route to South Korea, authorities said Sunday, underscoring Seoul’s growing reliance on alternative shipping routes as the blockade of the Strait of Hormuz continues to disrupt global energy logistics. The Ministry of Oceans and Fisheries said Sunday the vessel had safely transited the Red Sea as of 10 a.m. after loading crude at Saudi Arabia’s Yanbu port. It marks the second confirmed Korean tanker to use the Red Sea corridor since the Hormuz blockade intensified following the outbreak of war between the United States and Iran on Feb. 28. The ministry said it provided around-the-clock monitoring and operational support during the passage, including real-time communication channels with the shipping company and vessel, as well as navigation safety updates. “We supported the safety of the vessel and crew through 24-hour monitoring, provision of maritime safety information and real-time communication systems between the ministry, the shipping company and the vessel,” the ministry said in a statement. “We will continue to make every effort to stabilize domestic crude oil supplies.” The latest voyage highlights how South Korea, heavily dependent on Middle Eastern crude imports, is cautiously testing alternative routes while many vessels remain stranded or delayed around the Persian Gulf amid lingering security concerns. Seoul’s diplomatic efforts also intensified over the weekend. The Foreign Ministry said Foreign Minister Cho Hyun held a phone call Saturday with Iranian Foreign Minister Seyed Abbas Araghchi to discuss the regional situation and maritime security. It was the third ministerial-level communication between Seoul and Tehran since the U.S.-Iran conflict erupted earlier this year. According to the ministry, the call was requested by the Iranian side. During the talks, Araghchi explained Tehran’s position regarding ongoing negotiations with Washington, while Cho stressed the urgent need for regional stability given its impact on global security and the economy. Cho also raised concerns over multinational vessels, including Korean ships, that remain anchored near the Strait of Hormuz, emphasizing the necessity of restoring safe maritime transit for all commercial shipping. The two sides agreed to maintain close communication. The diplomatic exchanges came as uncertainty deepened over cease-fire negotiations between Washington and Tehran. U.S. President Donald Trump said Saturday he was reviewing Iran’s latest proposal but doubted it would be acceptable, signaling that prospects for a durable cease-fire remain fragile. “I can’t imagine that it would be acceptable,” Trump said on Truth Social, a day after saying he was “not satisfied” with Tehran’s latest offer. Trump later clarified that he had only been briefed on the “concept of the deal” and was awaiting the precise details. Iran’s latest proposal reportedly softens its previous demand that Washington lift the Hormuz blockade before direct negotiations resume. According to senior Iranian officials cited by U.S. media, Tehran is now willing to reopen the strategic waterway before formal talks proceed. The Strait of Hormuz previously handled roughly one-fifth of global oil shipments, making its disruption one of the most consequential supply shocks since the outbreak of the war. Trump has repeatedly insisted Iran must permanently halt uranium enrichment and abandon any path toward nuclear weapons capability, while Tehran continues to defend what it calls its sovereign right to nuclear enrichment. Iranian Deputy Foreign Minister Kazem Gharibabadi said Friday that “the ball is now in the United States’ court,” warning that Tehran remained prepared for renewed military conflict if diplomacy failed. 2026-05-03 11:07:05
  • Why AKMU’s ‘Paradise of Rumors’ Is Striking a Nerve in an Exhausted Korea
    Why AKMU’s ‘Paradise of Rumors’ Is Striking a Nerve in an Exhausted Korea “Weary and sick traveler, lonely traveler, your incurable illness cannot exist there.” (omitted) “Walk slowly, for a long time, to Paradise of Rumors.” (lyrics excerpt from ‘Paradise of Rumors’) One of the quietest songs to move people lately is, unusually, very slow. There are few trendy electronic sounds and no punchy hook. Instead, there is an old guitar tone and a voice that feels like wind. It settles on the listener, very gradually, like late-afternoon light slipping through a window. That is the story of ‘Bloom,’ an album by sibling duo AKMU. It has 2.5 billion cumulative streams on Melon, and a single track has appeared on the daily chart for 1,046 consecutive days. Those striking numbers point, with unusual precision, to what people in South Korea are worn down by. “After joy comes sadness — it’s a beautiful heart. Don’t be afraid; sit and face it. It becomes a brilliant painting. Your laughter, and your tears in harmony.” (lyrics excerpt from ‘Joy, Sadness, a Beautiful Heart’) Listeners say the song makes them choke up. Some write that it comforted them during chemotherapy; others say thoughts of wanting to die have eased, even a little. In an era defined by artificial intelligence, an intensely analog song is being embraced. People now live in a time of abundance and convenience. With a swipe, they can watch almost anything. AI can draw, make music and even write. Algorithms analyze tastes and show what users are likely to want. Life keeps getting faster and easier. Yet faces look more tired. On the subway, people stare at screens. In cafes, at crosswalks and in bed just before sleep, they keep watching something. Bodies stop, but minds do not. Information overflows, while emotions feel increasingly dry. Somewhere along the way, people lost the ability to simply be still. Even rest is expected to be productive. Exercise must be logged, travel must become photos, reading must be posted as proof. Doing nothing is treated like laziness. Even a moment without activity can feel unsettling. That may be why Seoul has seen a curious new scene. Not long ago, Gwanghwamun Square hosted a “spacing-out contest.” Participants had to sit still for 90 minutes without looking at their phones. On weekends, the Han River has hosted a “sleeping contest,” judging who can fall into the deepest, calmest sleep. Staring into space and sleeping — once among the most natural human acts — have become competitions. People submit applications and beat out others just to earn the right to do nothing. It is funny, and also sad. Why would people choose to sit blankly in the middle of a city, or lie down by the Han River to sleep in front of strangers? Perhaps because they have gone too long without real rest. National statistics show South Koreans’ average sleep time continues to fall, while the number of people who cannot sleep is rising. Students cut sleep between cram schools and entrance exams. Office workers stay up late amid endless tasks and anxiety. Self-employed people cannot relax even after closing their shops. Parents find time for themselves only after putting children to bed. Everyone is tired, but few can rest at ease. Lee Chan-hyuk’s lyrics do not offer loud, easy hope. They acknowledge sadness. “After joy comes sadness — it’s a beautiful heart.” At first, the line can sound strange, because many people learned to treat sadness as failure. Depression is something to hide, anxiety something not to reveal, and being shaken something that means falling behind. But the song argues that sadness is proof the heart is still alive — and that joy and sadness were never truly separate. Memories that last are rarely made of joy alone. Love includes pain. Youth can be radiant and anxious at once. A parent’s back can feel steady yet lonely. Summer vacation in childhood can be happy, but the evening it ends is often sad. Life holds joy and sorrow together, yet people may have been pushed for too long to show only happiness. That is why listeners break down in front of the song: they do not have to pretend they are fine. What deepens the impact is that the music was made by passing through real wounds. Lee Su-hyun spent a period largely cut off from the world amid a long slump, depression, insomnia and panic. There were times when her weight rose sharply and she could not leave her room. Her brother, Lee Chan-hyuk, tried to bring her back to life by walking with her, traveling and getting her into sunlight. They walked the Camino de Santiago and also went to Uganda for volunteer work. ‘Bloom’ is not just an album; it reads like a record made to help someone live again. That may be why the music carries a sincerity that feels rare today. This is an age that tries to make everything efficient: fast answers, fast delivery, fast relationships, fast consumption. AI keeps reducing the time needed for tasks, yet people feel busier. In technologies built to save time, many end up losing themselves. What people need may not be more speed. It may be a brief, forced logoff: putting down the phone and watching the Han River breeze for a long time; eating dinner slowly with someone; listening to one song all the way through at night. Turning pages until drowsiness arrives. Walking for no reason and catching the smell of dusk. That kind of old-fashioned humanity. As the AI era advances, those moments may become even more valuable. The ability to rest well, to be quietly alone, and to look inward may become a distinctly human strength. That may be why people are looking for ‘Paradise of Rumors.’ “Walk slowly, for a long time, to Paradise of Rumors.” Perhaps people are not only listening to the song — they are briefly imagining the road that leads there. 2026-05-03 10:29:21
  • Samsungs AI chip bonanza fuels bitter divide inside Koreas biggest company
    Samsung's AI chip bonanza fuels bitter divide inside Korea's biggest company SEOUL, May 03 (AJP)-Inside Samsung Electronics, the celebration over record-breaking first-quarter earnings is rapidly turning into a battle over who deserves the spoils of the AI boom. The South Korean tech giant, now ranked among the world’s largest technology companies alongside Apple, Microsoft and Nvidia by market value and profit scale, posted an all-time quarterly operating profit of 57.2 trillion won ($41 billion) for the January-March period. But the numbers exposed an increasingly fractured company: the semiconductor division generated nearly all of the earnings windfall, while workers in smartphones, TVs and appliances braced for restructuring and possible layoffs. The widening imbalance has now spilled into open labor conflict. Samsung’s majority union, dominated by semiconductor workers in the Device Solutions (DS) division, is threatening a general strike while demanding uncapped bonuses equivalent to 15 percent of divisional operating profit. The union argues that engineers and production staff behind the company’s AI memory boom deserve unprecedented compensation after helping Samsung capitalize on soaring demand for high-bandwidth memory (HBM) chips used in AI data centers. Yet the aggressive push has triggered backlash from employees outside the semiconductor business, particularly in the Device eXperience (DX) division that oversees smartphones, TVs and home appliances. According to industry officials Sunday, requests to withdraw from the union have surged in recent days, with internal bulletin boards flooded with resignation posts and criticism that the labor group has effectively become a “chip workers’ union” rather than a companywide representative body. Daily withdrawal requests reportedly jumped from fewer than 100 to more than 1,000 at one point last week. The anger intensified after the union announced it would provide up to 3 million won in strike activity payments for staff participating more than 15 days in labor action, following an earlier decision to raise monthly union fees fivefold during collective bargaining. Non-chip employees accuse union leadership of using broader membership dues to finance a strike agenda centered almost entirely on semiconductor workers. “They only talk about DS bonuses while DX employees are worried about survival,” one employee wrote on an internal forum. The contrast between Samsung’s two core businesses has become increasingly stark under the AI-driven semiconductor supercycle. The DS division posted 53.7 trillion won in operating profit in the first quarter alone, nearly 50 times higher than a year earlier, driven by explosive demand for AI memory chips and continued price increases across the memory market. Industry estimates suggest DS operating margins reached roughly 66 percent, with memory profitability approaching 75 percent. Under the union’s proposal, some semiconductor employees could theoretically receive bonuses approaching 600 million won per person this year if Samsung’s annual earnings continue at the current pace. Meanwhile, the DX division generated only 3 trillion won in quarterly operating profit, down 36 percent from a year earlier despite the launch boost from the Galaxy S26 smartphone lineup. Profit margins in the consumer electronics business have collapsed to around 6 percent as rising semiconductor costs, weaker global demand and U.S. tariff pressures squeeze earnings. Some analysts are even warning that Samsung’s consumer electronics operation could slip into annual losses for the first time. The company has already begun shutting low-profit appliance production lines, outsourcing parts of manufacturing and conducting management reviews across domestic sales operations. Persistent speculation about partial withdrawals from China’s TV and appliance market has further fueled anxiety among DX employees. The labor dispute is now exposing a deeper structural issue inside Samsung: the company increasingly resembles two vastly different businesses operating under one corporate roof. One side is riding the global AI infrastructure boom and generating historic profits. The other is struggling with slowing demand, margin compression and fears of restructuring. Industry observers say the internal division carries broader implications for Samsung’s long-term cohesion. “For years, profits from smartphones and appliances helped sustain semiconductor investment during downturns,” an employee said, requesting anonymity. “Now the roles have reversed, but employees are questioning whether the rewards and burdens are being shared fairly.” Samsung management has so far resisted the union’s demand to remove bonus caps, partly out of concern that extreme compensation gaps could deepen resentment across divisions. But the conflict is becoming harder to contain as the semiconductor boom reshapes internal power dynamics inside South Korea’s most important company. Even within the chip division itself, tensions are reportedly intensifying between union members and non-members as the prospect of a walkout approaches. “People barely talk to each other anymore depending on whether they support the union,” another Samsung employee said. “Everyone says we are one company, but right now it doesn’t feel that way.” 2026-05-03 09:02:34
  • No One Is Selling: Leverage Surges as South Korea’s KOSPI Rallies
    No One Is Selling: Leverage Surges as South Korea’s KOSPI Rallies "Sell in May and go away." It is one of Wall Street’s oldest sayings, built on the idea that returns tend to lag from May through October. The phrase traces back to 19th-century London, when aristocrats left the market during the social season. In South Korea’s market in 2026, the saying lands differently: There is no one eager to leave, because many investors believe prices will keep rising. The KOSPI surged 30.61% in April, quickly recouping losses from an earlier drop tied to the war involving the United States and Israel and Iran. It pushed past 6,700 intraday to set a new record. Combined operating profit at Samsung Electronics and SK hynix topped 95 trillion won, and expectations of an AI semiconductor “supercycle” have helped lift the broader market. The issue is not the rise itself, but the speed. Stocks are climbing while the won and bonds are unsettled. The won-dollar exchange rate has remained highly volatile around 1,480 won. Government bond yields are rising again. Gasoline prices in Seoul have topped 2,000 won per liter, and the consumer sentiment index has slipped below 100 for the first time in a year. Manufacturing output growth slowed sharply, to 0.3% from 5.3%, nearly stalling. As the real economy cools and equities race ahead, the gap leaves the market on weaker footing. Leverage stands out. Outstanding margin loans in the domestic stock market hit a record 35.6895 trillion won, rising for 13 straight trading sessions. About 2.7 trillion won was added in April alone. Retail investors are not just buying shares; they are borrowing to chase the rally. NH Investment & Securities, KB Securities and Korea Investment & Securities have moved to restrict credit, a sign that market heat is outpacing brokerages’ risk controls. The combined market capitalization of the KOSPI and KOSDAQ has climbed to about twice South Korea’s gross domestic product. The so-called Buffett indicator is nearing 200. Warren Buffett has called the measure “the best single measure of where valuations stand.” Some note that U.S. stocks have also sustained a high Buffett indicator since the era of ultra-low rates. Still, the key point is less the level than how quickly the market got there. Only weeks ago, the Korean market was rattled by fears tied to war, oil prices, the exchange rate and slowing growth. Now even the war is being treated as a positive. Investors have grown comfortable with the idea that “a market that rises on bad news is strong.” As prices keep climbing, confidence hardens — and that confidence can invite more borrowing. Bubbles often begin with psychology, not numbers. The “sell in May” strategy is not a rule. Over the past 33 years, U.S. stocks rose 25 times during the May-to-October period, and Deutsche Bank has dismissed the approach as a “coin toss.” This rally also has an earnings foundation: Profit growth at Samsung Electronics and SK hynix is real, and the AI-driven expansion in power and memory demand looks closer to a structural shift. Even so, markets often get excited before fundamentals fully catch up. Financial markets repeatedly overheat in familiar ways: belief that “this time is different,” debt starting to look normal, and rising prices dulling a sense of risk. Economist Hyman Minsky described the dynamic as “stability breeds instability,” arguing that long periods of calm encourage greater risk-taking until a small shock can topple an overleveraged system. That does not mean South Korea’s market is on the verge of collapse. A further rally toward 7,000 on the KOSPI remains possible. The concern is the pace, not the direction. Markets rarely climb in neat steps; more often they sprint on enthusiasm and then, without warning, regain caution. What is needed now is neither fear-driven selling nor the belief that the AI era guarantees endless gains. It is a willingness to question the speed. * This article has been translated by AI. 2026-05-02 08:18:21
  • If the Strait of Hormuz Becomes the New Normal, the Global Economy Loses Its Exit
    If the Strait of Hormuz Becomes the New Normal, the Global Economy Loses Its Exit May 1 is approaching, the first major test of the 60-day limit for a U.S. president to continue a war without congressional approval. The deadline is near, but the outcome remains unclear. A stalemate that is neither war nor peace, delays that are neither talks nor breakdown, and pressure that is neither blockade nor all-out conflict are squeezing the Middle East and the global economy. At the core is a deadlock. The United States is pressing Iran to halt its nuclear program first, while Iran is demanding the lifting of restrictions on the Strait of Hormuz as a precondition. Both sides appear to believe time is on their side. But as time passes, the party paying the price is not the combatants — it is the world economy. The Strait of Hormuz is more than a shipping lane. It is a main artery for crude oil, liquefied natural gas, petrochemical feedstocks and metal raw materials. If disruption there drags on, higher oil prices spread through freight costs, electricity bills, food prices and factory costs, hitting the real economy broadly. Inflation that had begun to cool can flare again, central banks may be forced to shelve rate-cut plans, and emerging economies can face a double squeeze of fiscal stress and foreign-exchange pressure. That is why Reuters and other foreign media have reported that, just two months into the war, developing countries’ inflation and trade indicators have moved into “red alert.” The United States is the world’s largest oil producer and has a service-heavy economic structure. For countries such as South Korea, Japan and India — more dependent on imported energy and more manufacturing-driven — an oil shock is not a wave but a tsunami. The paradox is that those who must endure the war can fall first, not those who started it. If disruption around Hormuz becomes a “new normal” rather than a temporary shock, it stops being distant foreign-policy news and becomes a kitchen-table issue. South Korea’s core industries — semiconductors, autos, shipbuilding and steel — all rest on energy and logistics. Even if exports hold up, if import costs rise faster, the national economy’s resilience can be drained quickly. Assigning blame to only one side misses the point. Iran’s attempt to control the strait is a risky gamble that shakes international maritime order. Prolonged U.S. military pressure can also end up holding the global economy hostage. Security requires principles, but those principles must be matched with restraint. Force is a tool; it cannot be an exit by itself. The May 1 deadline carries symbolism beyond procedure. The U.S. War Powers Act limits military operations without congressional approval to 60 days. If that process is bypassed or hollowed out, the situation can spiral — with the purpose of the war and the conditions for ending it left undefined, and a cycle of restrictions and retaliation turning into a war of attrition. The tragedy of a game of chicken is not only two drivers refusing to turn the wheel. It is the bystanders on the road who are smashed first. That is the position of the global economy now: oil, shipping, food and exchange rates are all tied to a single narrow strait. South Korea needs a clear-eyed response. It should review energy stockpiles and diversify import sources, secure alternative logistics routes, and test industry-by-industry scenarios for cost shocks. Diplomatically, it should work within the alliance framework while clearly stating to the international community the scale of the economic damage. The principle is freedom of navigation; the practical goal is a swift end to the war. The fighting may not stop after May 1. The deeper risk is that the world becomes accustomed to an abnormal situation. Stock markets in Seoul, New York and Tokyo are already showing signs of that, continuing an unusual rally. But the moment disruption in Hormuz becomes a constant rather than an exception, the global economy will not be passing through a crisis — it will be living on top of one. The first countries to buckle will not be those with energy, but those that built growth on energy they must import. South Korea would not be an exception. 2026-04-28 14:42:31
  • Trump Survives Gunfire at Washington Dinner as U.S. Political Violence Grows
    Trump Survives Gunfire at Washington Dinner as U.S. Political Violence Grows "No one told me this job was this dangerous." Trump said it that night at a news conference, wearing a tuxedo. It was less than two hours after gunfire erupted at a dinner. It sounded like a joke, but it was not. He has faced gunfire three times. This time, the shots came without warning at the Washington Hilton Hotel ballroom. Amid tuxedos and evening gowns at a "Washington night," an unfamiliar sound cut through the room. Trump said he first thought a tray had fallen. Melania noticed first. "That's a bad sound." She was right. Agents secured the stage. Cabinet members ducked under tables. In one corner, a waitress screamed in Spanish: "I don't want to die here." On the floor were half-eaten salad, crumpled napkins and a single high heel. Trump survived again. But survival is no longer the ending. In 2024, a bullet grazed his ear at a campaign stop in Pennsylvania. Later that year, a sniper hid in bushes at a Florida golf course. This time, an armed man sprinted toward a security checkpoint at the dinner venue. Trump said, "The more influence you have, the more you get attacked." That may be true, but it does not capture what has changed. In the United States, it is not only a leader at risk; politics itself has become more dangerous. A sitting member of Congress was shot. A conservative commentator died at a lecture hall. The husband of a former House speaker was attacked with a hammer. A Democratic governor's home was set on fire. Sorting out which side is threatened is increasingly beside the point. The irony is stark: The president of the world's most powerful military was attacked at a dinner in his own country. Trump said the incident showed the need for a new White House banquet hall: bulletproof glass, drone defenses and a fully controlled space. The plan carries a $400 million price tag and is in litigation. Security is necessary. But when a space meant to symbolize openness turns into a fortress, questions follow about how open the system can remain. It is a paradox of a democracy closing itself to protect itself. The strain did not arise in a vacuum. Immigration enforcement, alliance realignments and clashes with the media have drawn sharp reactions at home and abroad to Trump administration policies. Policy disputes do not justify violence. But as politics runs on extreme language, the threshold for action drops. What once seemed unthinkable becomes imaginable, and sometimes becomes real. The war with Iran is now in its second month. In joint U.S.-Israeli operations, about 1,200 Iranians and six U.S. troops have been killed. Trump canceled a negotiating delegation's trip to Pakistan just before takeoff, saying, "We have all the cards." Iran said it would not sit at the table as long as the blockade continues. The structure is simple: Neither side yields, and each waits out the other. Iran's foreign minister, leaving Pakistan, said, "We'll have to see whether the United States is truly serious about diplomacy." Trump said later that night Iran's proposal was "much better but still not enough." The talks appear to continue, but in practice remain stuck. Investigators believe the suspect, Cole Thomas Allen, 31, acted alone. Trump said he agreed and drew a line under any likely Iran connection. "He has very serious mental problems," Trump said. One agent was shot but survived because of a bulletproof vest. The suspect's apartment is being searched. The motive remains unclear. Like the gunfire at the dinner, like the stalemate with Iran, the moment was loud but the outcome is uncertain, and nothing is resolved. Trump joked that no one told him the job was this dangerous. What no one can say yet is where this war and this tension end. Washington and Tehran do not have that answer. 2026-04-26 16:54:19