AJU PRESS ASIA FIRST NEWS AGENCY

Journalist

Joonha Yoo
  • KOSPI closes at record high as Korea outperforms Asian markets
    KOSPI closes at record high as Korea outperforms Asian markets SEOUL, May 27 (AJP) - South Korean KOSPI lead the gain in major Asian markets Wednesday, with the KOSPI closing at a fresh record high above the 8,200 level, driven by a concentrated rally in semiconductor and artificial intelligence-linked large-cap shares. The benchmark KOSPI rose 2.25 percent, or 181.19 points, to close at 8,228.70. The index opened higher and climbed as much as 5.09 percent to 8,457.09, crossing the 8,400 level for the first time, before paring gains. Elsewhere in Asia, Japan’s Nikkei 225 ended nearly flat, rising 0.01 percent to 64,999.4. China’s Shanghai Composite fell 1.3 percent to 4,092.7, while Hong Kong’s Hang Seng Index dropped 1.2 percent to 25,289.3. On the main Seoul bourse, retail investors bought 406.5 billion won ($270.8 million) as institutions purchased 188 billion won. Foreign investors sold 449.8 billion won, extending their selling streak on the KOSPI to 14 consecutive sessions. The rally was led by Samsung Electronics and SK hynix. Samsung Electronics rose 2.68 percent to close at 307,000 won after its tentative wage agreement was approved in a union vote, easing immediate concerns over labor disruption. SK hynix jumped 9.31 percent to 2,243,000 won, pushing its market capitalization above $1 trillion for the first time. SK Square gained 8.04 percent to 1,276,000 won, as investors continued to seek indirect exposure to SK hynix through its parent company. Samsung Electronics’ preferred shares also rose 2.56 percent. IT service and software-linked shares advanced sharply. Samsung SDS soared 29.8 percent to 261,500 won, LG CNS jumped 14.1 percent to 94,600 won and Hyundai AutoEver surged 19.9 percent to 765,000 won. Hyundai AutoEver’s rally came as investors continued to price in expectations tied to Hyundai Motor Group’s robotics, software-defined vehicle and physical AI strategy. Other Samsung affiliates also gained, with Samsung Electro-Mechanics rising 3.69 percent and Samsung Life Insurance adding 1.87 percent. But the broader market remained weak. Hyundai Motor fell 1.16 percent to 681,000 won, Kia lost 1.38 percent and LG Energy Solution dropped 4.01 percent to 383,500 won. Doosan Enerbility declined 3.64 percent, HD Hyundai Heavy Industries slipped 0.13 percent, Samsung C&T edged down 0.12 percent and Hanwha Aerospace fell 0.56 percent. LS Electric dropped 8.3 percent to 261,500 won, while Samwha Capacitor fell 5.1 percent to 125,900 won and Daewoo Engineering & Construction declined 8.2 percent to 26,750 won. Despite the KOSPI’s record close, market breadth was extremely weak. Only 77 stocks advanced on the main bourse, while 826 declined, showing that the rally was concentrated in a narrow group of semiconductor, AI and IT service names. The junior KOSDAQ fell sharply as funds flowed out of smaller growth shares. The index dropped 3.36 percent, or 39.39 points, to close at 1,133.13. It opened at an intraday high of 1,173.80 but reversed course and fell as low as 1,128.75. Retail investors bought 642.5 billion won on the KOSDAQ, but foreign investors sold 85 billion won as institutions dumped 551.8 billion won. Battery, robotics and chip-equipment shares led the decline. EcoPro BM fell 2.95 percent to 313,500 won, while EcoPro lost 2.79 percent to 142,900 won. Rainbow Robotics dropped 5.18 percent, Ju Sung Engineering declined 2.35 percent, Sam Chun Dang Pharm fell 3.03 percent, HLB lost 2.67 percent and Leeno Industrial slid 7.49 percent. Jeju Semiconductor tumbled 11.6 percent to 105,100 won. Some biotech names bucked the downtrend. Alteogen rose 5.75 percent to 386,500 won, while D&D Pharmatech hit its daily upper limit. Peptreon climbed 6.28 percent and Nature Cell jumped 9.4 percent to 32,000 won after announcing three-year follow-up results for its degenerative arthritis stem-cell treatment. The Korean won strengthened slightly against the dollar. The dollar-won exchange rate was quoted around 1,500.9 won, down 0.4 percent from the previous session. Oil prices also moved lower. West Texas Intermediate crude fell 2.7 percent to $91.3 per barrel, while Brent crude declined 2.2 percent to $97.4. The session showed that Korea was the clear outperformer in Asia, but the KOSPI’s record close masked a deeply narrow rally driven mainly by semiconductor and AI-linked heavyweights. 2026-05-27 17:29:51
  • Historic folk festival set to return in Gangneung next month
    Historic folk festival set to return in Gangneung next month SEOUL, May 27 (AJP) - A folk festival with over 1,000 years of history, is set to return in Gangneng, Gangwon Province next month with eight days of ritual, performance and communal celebration along Namdaecheon, a stream running through the heart of the city. The festival, known as Gangneung Danoje, recognized as both a UNESCO Intangible Cultural Heritage of Humanity and a national intangible heritage of South Korea, runs from June 15 to 22 in the eastern coastal city. One of Korea's largest folk festivals, it draws around one million visitors each year. The weeklong festival centers on Dano, a traditional Korean holiday observed on the fifth day of the fifth lunar month, marking the height of spring. This year's theme is "Pulrini, Dano-da," a Korean phrase built around the idea of release and renewal during Dano. The concept reflects the festival's spirit of healing, with visitors traditionally letting go of sorrow and misfortune through shamanic rites and washing away bad luck with water infused with changpo or sweet flag, a plant traditionally believed to ward off evil spirits and bring good health. This year's program features over 70 events including ritual ceremonies, folk games and performances. A centerpiece is a silent mask play known as the "Gwanno mask drama," performed entirely through movement and gesture, with no spoken dialogue. The five-act performance tells the story of a masked nobleman and a young woman known as "Somaegaksi." Another highlight is a street parade on June 17, the third day of the fifth lunar month. The procession retraces the ritual journey of the festival's tutelary deity, moving through the central streets of Gangneung. Visitors are encouraged to wear hanbok, traditional South Korean gown, as this year’s official dress code. Those who do will receive a 10 percent discount at food courts and a commemorative badge. Gangneung Danoje traces its origins to harvest rituals and communal ceremonies of early Korean tribal states. Historical records including the Goryeosa chronicle and the collected writings of Joseon-era scholar Heo Gyun, document its more than 1,000-year history. The festival survived both the Japanese colonial period and the Korean War, preserving a layered tradition that blends Confucian rites, Buddhist elements and shamanic beliefs. In recognition of its historical depth and cultural value, Gangneung Danoje was inscribed on UNESCO's Representative List of the Intangible Cultural Heritage of Humanity in November 2005. 2026-05-27 13:55:09
  • Starbucks Korea boycott hits sales after Tank Day backlash
    Starbucks Korea boycott hits sales after "Tank Day" backlash SEOUL, May 27 (AJP)-Starbucks Korea under Shinsegae Group suffers commercial fallout on top of reputational damage from its “Tank Day” controversy, with payment volumes and new app installations dropping sharply in the week following the backlash over marketing tied to South Korea’s May 18 democratization movement. According to data released Wednesday by AI analytics firm IGAWorks’ Mobile Index, Starbucks Korea’s weekly payment volume fell to 23.69 billion won ($17.3 million) between May 18 and 24, down 26.3 percent from 32.16 billion won the previous week. The figure was also roughly 25 percent lower than the May 4-10 period. The U.S. coffee brand is South Korea’s largest coffee franchise, with annual sales exceeding 3 trillion won. New installations of the Starbucks app also dropped 23.6 percent over the same period to 36,994, with the brand falling from second to fifth place among food-and-beverage apps in weekly downloads. The data added to signs that the controversy has begun affecting consumer sentiment and brand trust, even as overall app users increased temporarily amid heightened public attention and customers checking notices, coupons and rewards balances. Executives also acknowledged the financial impact. Jeon Sang-jin, executive vice president overseeing corporate management, said sales had fallen “considerably” since the controversy, although the company declined to disclose specific figures. He said restoring public trust remained the priority. Amid deepening criticism, Shinsegae Group Chairman Chung Yong-jin on Tuesday delivered a second public apology in a nationally televised appearance, repeatedly bowing and pledging to rebuild trust “through actions, not words” following what the group described as a serious lapse in historical awareness. “I will not make any excuses. This is my fault,” Chung said during the five-minute apology. “We will regain the public’s trust not through words, but through actions.” The controversy erupted after Starbucks Korea promoted tumblers branded with the word “Tank” on May 18, the anniversary of the 1980 Gwangju Democratization Movement. Critics also condemned the use of the phrase “Tak! on the desk,” saying it evoked the infamous explanation once used to conceal the 1987 torture death of student activist Park Jong-chul. As public anger intensified, Starbucks Korea also temporarily eased refund rules for its prepaid Starbucks cards. The company said customers will be allowed to request full refunds on card balances regardless of usage conditions for two weeks from June 1 through June 14. Under existing terms, customers could only receive refunds after using at least 60 percent of the balance. Starbucks Korea said the temporary exception was introduced in response to growing refund demands following the controversy. The company added that some card-related convenience functions and recharge limits would be temporarily restricted to prevent abuse such as so-called “card cashing,” in which users load prepaid cards with credit cards and convert them back into cash. The backlash has also spread to online gift-card platforms. Starbucks gift certificates, long among the most popular products on KakaoTalk Gift, fell from the top two spots to sixth place in the platform’s exchange-voucher rankings over the weekend amid boycott campaigns linked to the controversy. Delivery app vouchers, Shinsegae gift certificates and Olive Young gift cards overtook Starbucks in the rankings. Starbucks products, however, still held the top three positions within KakaoTalk’s separate “cafe” category, indicating the brand retained substantial core demand despite the controversy. What initially appeared to be a marketing blunder rapidly escalated into one of the most serious reputational crises in Shinsegae Group’s recent history, triggering boycott campaigns, police complaints and criticism from political leaders, including President Lee Jae Myung. 2026-05-27 11:54:06
  • SM Entertainments sub-label releases compilation album ahead of Europe tour
    SM Entertainment's sub-label releases compilation album ahead of Europe tour SEOUL, May 27 (AJP) - ScreaM Records, a dance music label under talent behemoth SM Entertainment, released a compilation album on Wednesday ahead of a U.K. and Europe tour scheduled for next month. "K-POP ScreaM 3" reinterprets K-pop songs by SM Entertainment artists including RIIZE and NCT WISH into electronic dance music styles such as jungle, tech house, hard house, bass music and Jersey club. Jersey club is a percussion-driven genre that originated in New Jersey and gained wider popularity through club and online music communities. "K-POP ScreaM 3" is the third installment in the label's remix compilation series, which connects K-pop with club-oriented dance music. The latest release serves as a kickoff project for its planned tour of Europe. The album features four artists who will take part in the tour: ScreaM Records DJs IMLAY, 2Spade and Arkins, along with guest DJ yunji. According to SM Entertainment, the tracks serve as a kind of sneak teaser of the DJs' live mix sets in Europe. The tour will begin on June 2 with a showcase at XOYO, a London club, as part of SXSW London, the U.K. version of the annual South by Southwest music festival. The tour will then continue in the U.K. including stops in Sheffield and Brighton, before moving on to other European cities such as Barcelona in Spain and Cologne in Germany. ScreaM Records will also take part in live DJ mix broadcasts on U.K.-based independent radio stations including Planet Wax, Loose FM and MOT Radio during the tour. The label is also scheduled to join a session with electronic music label Anjunabeats and visit Armada Music Group as it seeks to build ties with the European dance music industry. 2026-05-27 11:18:02
  • Kim Soo-hyuns agency welcomes YouTubers arrest in defamation case
    Kim Soo-hyun's agency welcomes YouTuber's arrest in defamation case SEOUL, May 27 (AJP) - Korean Actor Kim Soo-hyun's management agency, Gold Medalist, said Wednesday that the arrest of the head of a controversial YouTube channel marked a turning point in the actor's yearlong effort to counter allegations linking him to the death of late Korean actress Kim Sae-ron. The agency said in a statement that it was grateful to investigators for their efforts to uncover the truth based on objective evidence, adding that the case had now entered a stage in which the facts could be verified through legal procedures and a thorough investigation. "Kim Soo-hyun said at a press conference a year ago, 'I will not ask you to believe me. I will prove it,'" the agency said. " The past year has been a time spent solely to keep that promise." Kim Se-ui, head of the YouTube channel Garosero Research Institute, was arrested Tuesday after the Seoul Central District Court issued a warrant, citing concerns that he could destroy evidence or flee. Garosero Research Institute, often referred to as Gaseyeon in Korea, is a YouTube-based outlet known for publishing allegations and commentary about celebrities, politicians and other public figures. Kim Se-ui is accused of spreading allegedly false claims through YouTube and other online channels, including allegations that Kim Soo-hyun dated Kim Sae-ron when she was a minor and that pressure from Kim Soo-hyun's side over debt repayment was directly linked to her death. Kim Se-ui is also suspected of using artificial intelligence to manipulate Kim Sae-ron's voice in a way that allegedly damaged Kim Soo-hyun's reputation. Gold Medalist said it viewed the arrest as a sign that authorities were treating the case seriously, while maintaining that the allegations and materials presented by Garosero Research Institute against Kim Soo-hyun were false. The agency also said the court had recognized the seriousness of the case, including allegations of defamation and coercion. Kim Soo-hyun held a press conference in March last year to address the allegations. He acknowledged that he had been in a relationship with Kim Sae-ron but denied that the relationship took place when she was a minor. Kim Sae-ron, a former child actress who appeared in films and television dramas, had largely withdrawn from public view following a drunk-driving incident in 2022. Her death later triggered intense online speculation and renewed scrutiny of her private life. Kim Soo-hyun and his agency later filed complaints against Kim Se-ui and members of Kim Sae-ron's family, accusing them of spreading false information and damaging his reputation. The arrest does not amount to a conviction or a final determination of guilt, but it represents a significant procedural development in one of South Korea's most closely watched celebrity defamation cases. 2026-05-27 10:22:27
  • BTS opens comeback awards year with three-trophy sweep at 2026 AMAs
    BTS opens comeback awards year with three-trophy sweep at 2026 AMAs SEOUL, May 26 (AJP) - BTS launched their comeback awards run in style on Monday, claiming three trophies at the 2026 American Music Awards in Las Vegas — including a second Artist of the Year win — in their first major awards showing since returning from a nearly four-year hiatus. The haul arrived less than a year after all seven members completed South Korea's mandatory military service, an obligation that effectively suspended full-group activity for roughly two years. Monday's result underscored that the group's global fanbase, known as ARMY, had remained mobilized through the pause. All seven members attended the ceremony at the MGM Grand Garden Arena, marking their first full-group appearance at the AMAs since 2021. "ARMYs, we made it once again," leader RM said in his acceptance speech. "Because this award is decided by fan votes, I sincerely express my gratitude and respect to ARMY, who have stood by us for 13 years." Busta Rhymes presented the top prize, with BTS edging a stacked field that included Bad Bunny, Bruno Mars, Harry Styles, Justin Bieber, Kendrick Lamar, Lady Gaga, Morgan Wallen and Sabrina Carpenter. Taylor Swift, the most-decorated artist in AMA history with 40 trophies, walked into the night with eight nominations and left empty-handed. J-Hope thanked fans around the world, while Jimin acknowledged the supporters who had joined the group's ongoing tour, switching to Korean to tell ARMY he was "truly grateful and full of love." BTS also won Song of the Summer for "Swim," the Billboard Hot 100-topping lead single from their comeback album ARIRANG. The group opened the broadcast with a pre-recorded performance of "Hooligan," filmed at Allegiant Stadium during their world tour. A third honor, Best Male K-Pop Artist, was announced after the main broadcast, bringing the night's tally to three. Accepting Song of the Summer, the members said they had spent the hiatus reflecting on what kind of music felt most authentic at this stage of their career. "The only thing we believed in was that we had to keep challenging ourselves and moving forward," they said. "To everyone who keeps swimming forward no matter the circumstances — we send our love and support." The AMA showing arrives amid sustained commercial momentum. ARIRANG debuted at No. 1 on the Billboard 200 in March with 641,000 equivalent album units in its first week, according to Luminate, giving BTS its seventh chart-topper on the U.S. albums chart. The record held the top spot for three weeks — the longest run for a group album since Mumford & Sons' Babel in 2012 — pointing to demand that has extended well beyond the initial wave of comeback interest. The accompanying ARIRANG World Tour has amplified that trajectory. Billed as the group's largest tour to date, the run spans 85 dates in 34 cities across 23 countries, having opened at Goyang Stadium on April 9 and completing 18 of its 85 shows to date, all to sold-out crowds, with the tour scheduled to continue through March 2027. The current Las Vegas residency at Allegiant Stadium overlapped with awards week, allowing the group to attend the ceremony mid-tour. Asia and Oceania legs are slated to follow later this year and into early 2027, with stops in Melbourne, Sydney, Kaohsiung, Bangkok, Kuala Lumpur, Singapore, Jakarta, Hong Kong and Manila. BTS's 2021 Artist of the Year win had marked the group's arrival as the first Asian act to claim the AMAs' top fan-voted honor. Introducing the band earlier in the evening, host Queen Latifah described them as "not just a big group — a global group," drawing a roar from the arena. Seven acts tied for the night's lead with three trophies each: Bruno Mars, BTS, Cardi B, KATSEYE, Sabrina Carpenter, HUNTR/X and Sombr. BTS was not the only Korean-linked act to make an impact. KATSEYE, the group formed through a HYBE–Geffen Records partnership, also took home three awards including New Artist of the Year, adding to a broader showing for K-pop and K-pop-adjacent acts at a ceremony where fan engagement carries unusual weight. The AMAs rank among the major U.S. music honors, with nominees determined by commercial metrics such as streaming, sales, radio airplay and touring, while winners — including Artist of the Year — are chosen through fan voting, a format that has historically favored acts with highly organized global fanbases. BTS first won at the show in 2018 with Favorite Social Artist, and later expanded their footprint into major categories including Tour of the Year and Favorite Pop Duo or Group. 2026-05-26 17:47:58
  • ARKO connects 15 performing arts festivals under summer series
    ARKO connects 15 performing arts festivals under summer series SEOUL, May 26 (AJP) - The Arts Council Korea will launch the 2026 ARKO SUM FESTA in July, bringing together 15 performing arts festivals across the country under a single brand, the council said Tuesday. ARKO SUM FESTA was introduced last year as an integrated brand for festivals selected under the council's national performing arts festival support program. This year's edition will focus on strengthening links among participating festivals and expanding audience access to local performing arts events. The festival series will run from July to September in cities and regions including Seoul, Busan, Jeju, Chuncheon, Miryang, Gwangmyeong, Hwaseong and Eumseong. Participating festivals span theater, dance, music and traditional arts. Theater events include the Korea Theater Festival in Busan, while dance programs include the Busan Ballet Festival and the Chuncheon Performing Arts Festival. Music events include the July Festival and the Seoul International Computer Music Festival, and traditional arts festivals include the Dongnae Folk Arts Festival in Busan's Dongnae-gu district. Ahead of the main festival period, ARKO will hold Preview Week programs in two rounds, from June 19 to 20 and from July 25 to 26. The preview programs will introduce participating festivals through showcases, workshops, exhibitions and hands-on programs. All Preview Week events will be free of charge, though some indoor performances and workshops will require advance reservations through Naver Booking. Advance registrants will receive ARKO SUM FESTA merchandise and a coupon book for participating festivals. The first Preview Week will begin with an opening event at the main hall of ARKO Arts Theater on June 19, featuring theater, dance, traditional arts and music performances from programs highlighted in last year's festival series. On June 20, additional showcases, workshops, exhibitions and public participation programs will be held at ARKO Arts Theater and around Marronnier Park in Seoul. Lee Beom-heon, chair of the Arts Council Korea, said expanding contact points with audiences is as important as developing strong festival programs. "Through ARKO SUM FESTA, we will strengthen the promotional foundation for participating festivals and helps audiences more easily discover and enjoy performing arts festivals across the country," Lee said. 2026-05-26 17:35:23
  • KOSPI touches down above 8,000 for first time amid flat Asian market
    KOSPI touches down above 8,000 for first time amid flat Asian market SEOUL, May 26 (AJP) -South Korean stocks closed above the 8,000 mark for the first time Tuesday as investors rushed to compensate for Monday's market holiday and price in the broader Asian rally fueled by hopes for a reopening of the Strait of Hormuz and renewed momentum in AI-related shares. The benchmark KOSPI surged 2.6 percent to close at 8,047.50 after climbing as high as 8,131.15 during the session. The index stayed above the 8,000 threshold throughout the day and passed the test above the new four-digit territory, a yawning stretch from the mid-2,000 range just a year ago. Institutional investors led the advance, purchasing a net 911.1 billion won ($605.5 million) worth of shares on the main bourse. Retail investors sold a net 616.7 billion won, while foreign investors offloaded 184.1 billion won after reversing from earlier buying and extending their recent selling streak. The junior KOSDAQ rose 1.0 percent to 1,172.50 after touching an intraday high of 1,205.12. Retail investors bought a net 224.2 billion won, while foreign and institutional investors sold 148.6 billion won and 33.7 billion won, respectively. Semiconductor heavyweights drove the broader market higher as investors reinforced bets that South Korea's AI-led chip rally still has room to run. Samsung Electronics rose 2.2 percent to close at 299,000 won, while SK hynix jumped 5.7 percent to 2,052,000 won, reinforcing expectations that the two stocks may settle into a new trading range after breaking major price milestones. Gains spread across the semiconductor supply chain. Samsung Electro-Mechanics surged 17.3 percent to 1,572,000 won, while DB HiTek soared 21.8 percent on expectations for passive fund inflows tied to its upcoming inclusion in the KOSPI 200 index. AI-related component makers also rallied sharply. Samwha Capacitor hit the daily trading limit with a 30 percent jump as investors bet on stronger demand for multilayer ceramic capacitors, or MLCCs, used in AI servers and advanced electronics. LG Innotek climbed 23.6 percent to 1,096,000 won, while Samwha Electronics rose 29.9 percent. Shipbuilders were another major source of strength as expectations for expanding global defense and energy infrastructure spending continued lifting the sector. Hanwha Ocean advanced 10.2 percent to 134,700 won, while HD Hyundai Heavy Industries gained 9.6 percent. Automakers also joined the rally, with Hyundai Motor Company rising 5.2 percent to 689,000 won. LG Electronics added 1.1 percent to 239,500 won. Some large-cap shares, however, lagged the broader market. POSCO Holdings fell 1.2 percent to 442,000 won, while Naver slipped 1.5 percent to 200,000 won. Samsung SDI declined 0.8 percent to 642,000 won and SK Square edged down 0.3 percent to 1,181,000 won. The Korean won strengthened as risk appetite improved, closing at 1,504.30 per dollar, up 12.90 won from the previous session. The currency opened at 1,515.0 won and briefly weakened to around 1,516 won before reversing course during afternoon trading. Still, foreign selling in equities suggested overseas investors have yet to fully return despite the record-setting rally. Foreigners were net buyers earlier in the session before turning sellers shortly before the close, according to market data. Oil prices also rebounded Tuesday after plunging the previous session, reflecting lingering caution over Middle East developments despite growing optimism surrounding U.S.-Iran negotiations. Brent crude traded above $98 per barrel, while West Texas Intermediate hovered near $91.60. Prices remained below recent highs as markets monitored whether diplomacy could eventually reopen the Strait of Hormuz. Regional markets were mixed. Japan's Nikkei 225 slipped 0.3 percent after hitting a record high in the previous session, while China's Shanghai Composite also fell 0.3 percent. Hong Kong equities edged higher, supported by semiconductor-related shares. 2026-05-26 16:54:22
  • YouTuber faces arrest warrant in defamation case against Kim Soo-hyun
    YouTuber faces arrest warrant in defamation case against Kim Soo-hyun SEOUL, May 26 (AJP) - Kim Se-eui, the head of YouTube channel Garo Sero Institute, also known as HoverLab, is facing an arrest warrant over defamation allegations and other charges involving actor Kim Soo-hyun. Kim appeared at the Seoul Central District Court at around 10:30 a.m. on Tuesday, where he denied all charges, adding that he would file a complaint against the police officers and prosecutors handling the case. "I do not admit to any of them," Kim said before entering the court. The case stems from a series of YouTube broadcasts and claims in which Kim alleged that the actor had been in an "inappropriate" romantic relationship with the late actress Kim Sae-ron while she was still a minor. Kim is also accused of falsely claiming that the actor pressured the actress over debt repayment, leading to her death. Police suspect Kim of spreading false information to defame the actor. They also believe some of the evidence lacks credibility including KakaoTalk messages suspected of being fabricated and an audio recording allegedly created or doctored using artificial intelligence. Kim said the request for an arrest warrant against him was "intentional and hastily prepared," claiming it was aimed at obstructing his business and vowing to take legal action against investigators. The court is expected to decide on Kim's arrest warrant later in the day or the following morning. Meanwhile, the actor, who has suspended activities amid the scandal, has filed a complaint against Kim and a separate civil suit seeking 12 billion won (about US$8 million) in damages. 2026-05-26 15:46:59
  • AJP Watch: Shinsegae vows to make amends regardless of cost over Starbucks Korea blunder
    AJP Watch: Shinsegae vows to make amends "regardless of cost" over Starbucks Korea blunder SEOUL, May 26 (AJP) - Shinsegae Group Chairman Chung Yong-jin on Tuesday delivered a second public apology within a week over Starbucks Korea’s controversial “Tank Day” promotion, bowing repeatedly in a televised appearance and pledging to restore public trust through action rather than words after what the group described as a “serious” failure in historical awareness. Speaking at the Josun Palace hotel in Seoul, Chung bowed deeply three times during a five-minute apology addressing bereaved families of the May 18 Democratization Movement, the family of late student activist Park Jong-chul, citizens of Gwangju and the broader Korean public. “I will not make any excuses. This is my fault,” Chung said. “We will regain the public’s trust not through words, but through actions.” The apology came eight days after Starbucks Korea promoted tumblers branded with the word “Tank” on May 18, the anniversary of the 1980 Gwangju pro-democracy uprising. Critics also condemned the campaign’s use of the phrase “Tak! on the desk,” saying it evoked the infamous explanation once used to cover up the 1987 torture death of student activist Park Jong-chul. What initially appeared to be a marketing blunder quickly escalated into one of the most serious reputational crises faced by the Shinsegae Group in recent years, triggering boycott campaigns, police complaints, mounting political pressure and public criticism from President Lee Jae Myung. Social media became a major battleground for the backlash. One video posted on X showing a consumer removing a Starbucks logo from a tumbler with nail polish remover drew 4.8 million views, while another post showing an unusually empty Starbucks outlet during the holiday weekend amassed nearly 4 million views alongside thousands of reposts and boycott messages. Internal review finds systemic failures In a follow-up briefing, Yang Jong-hwan, managing director of Shinsegae’s internal audit team, said investigators reviewed company emails, work laptops, internal messenger records and other communication channels involving 15 employees, including five executives, using digital forensic methods. Cross-check interviews were also conducted with more than 10 employees. The probe did not uncover evidence of deliberate coordination or intentional political messaging, according to the company. But the review also exposed clear limitations. Of the five key employees directly involved in handling the “Tank” naming process, only two voluntarily submitted personal mobile phones for forensic analysis. Three declined, citing privacy concerns. Yang acknowledged that while the company wanted broader access, it lacked authority to compel employees to surrender personal devices. Executives nevertheless insisted that internal messenger records and work-related data showed no evidence of premeditated collusion. Kim Su-wan, vice president and head of external affairs, described the controversy as a symptom of an organization overly focused on speed and sales performance at the expense of historical sensitivity. “This case showed that speed and sales considerations had taken priority over historical awareness and social sensitivity,” Kim said. According to Kim, the promotion was handled by a small e-commerce team composed largely of younger employees, including two workers in their early 20s. Internal communications after the controversy suggested that some staff members did not fully grasp the historical weight associated with May 18 or the wording used in the campaign. “The task now is to create programs that can strengthen historical awareness across generations, from younger employees to senior staff,” Kim said. Executives acknowledged that the campaign should have passed through multiple review layers including corporate social responsibility and legal checks, but said several safeguards either failed or were bypassed altogether. “Even if the original planner made a poor judgment, this situation would not have escalated this far if the internal filtering system had functioned properly,” Kim said. “The core problem was that the review system failed to work as it should have.” Why the backlash became so explosive The controversy touched two of the most painful episodes in South Korea’s democratic history. The May 18 Democratization Movement refers to the 1980 uprising in Gwangju against military rule under the Chun Doo-hwan regime. The movement was violently suppressed by troops and later became one of the defining symbols of South Korea’s democratization struggle. Critics argued that using the word “Tank” on May 18 inevitably evoked memories of military violence and authoritarian repression tied to the uprising. The phrase “Tak! on the desk” carried a separate historical resonance linked to the death of Park Jong-chul, a Seoul National University student activist tortured to death during police interrogation in 1987. Authorities initially attempted to explain his death by claiming an investigator had struck the desk — “tak” — causing Park to collapse suddenly, a story later exposed as a cover-up. His death helped ignite the June Democracy Movement that accelerated South Korea’s transition to direct presidential elections. For many South Koreans, the combination of “Tank Day” and wording associated with Park’s death appeared to trivialize two defining traumas of the country’s authoritarian era. Growing commercial fallout Shinsegae said former Starbucks Korea CEO Sohn Jung-hyun and the executive overseeing e-commerce operations were dismissed immediately after the controversy erupted, with additional disciplinary action under review. Chung’s first apology, issued shortly after the backlash began, failed to calm public anger as boycott campaigns intensified online and civic groups filed criminal complaints. At Tuesday’s press conference, Chung repeatedly stressed that front-line Starbucks employees should not bear the blame. “The responsibility lies with the organization and management, including myself,” he said. “I earnestly ask that people look more warmly upon Starbucks partners and field employees at stores across the country.” He described store workers as “diligent employees” serving customers from early morning until late at night, while pledging a fundamental overhaul of the group’s risk management and social responsibility systems. “Today’s apology will not be the end, but a beginning,” Chung said. “We will start again from the beginning.” Executives also acknowledged the growing financial impact. Jeon Sang-jin, executive vice president overseeing corporate management, said sales had fallen “considerably” since the controversy, though the company declined to provide figures. He said the priority was restoring trust rather than minimizing short-term damage. The company said it is reviewing refund requests for prepaid Starbucks cards and account cancellations with relevant authorities because such products are governed by Fair Trade Commission regulations. Executives added that Starbucks’ U.S. headquarters had been fully informed of the incident and is discussing improvements to internal risk-control systems with the Korean operation. However, Shinsegae said the controversy does not currently appear to trigger contractual issues involving Starbucks’ U.S. parent company. The episode has also revived scrutiny of earlier marketing controversies among Korean consumer brands. In 2024, Starbucks Korea faced criticism for releasing a “Siren Classic Mug” on the anniversary of the Sewol ferry disaster, while fashion platform Musinsa issued a renewed apology after the Starbucks controversy resurfaced attention on a similar “Tak! on the desk” phrase used in one of its 2019 advertisements. For Shinsegae, the central challenge now extends beyond whether the campaign was intentional. The deeper question is whether one of South Korea’s most influential consumer groups can convince the public that its internal systems are capable of preventing another breakdown where commercial marketing collides with unresolved national trauma. 2026-05-26 12:21:00