Korea's GDP fared better than expected in Q3, nominal GNI falls on sharp won weakening SEOUL, December 03 (AJP) - South Korea's economy grew faster than earlier estimated on the back of stronger capital investment, but its nominal income declined against a strong dollar, reflecting the Korean won’s status as one of the weakest performers among major traders. According to the Bank of Korea (BOK) on Wednesday, real gross domestic product increased 1.3 percent from the previous quarter — the strongest since the fourth quarter of 2021 — accelerating from the 0.7 percent gain in the second quarter and 1.2 percent in preliminary data. Against a year-ago period, real GDP expanded 1.8 percent, setting the economy on track to meet this year's revised annual growth target of 1.0 percent. The economy added 1.6 percent in the second quarter and zero growth in the first. The upward revision owed to increases in construction investment (0.6 percent), facilities investment (2.6 percent), and intellectual property investment (1.2 percent), the BOK said. Other data on the domestic front also showed improvements. Private consumption grew 1.3 percent, driven by gains in both goods, such as passenger cars, and services, such as dining out. Government expenditure increased by 1.3 percent, centered on the cost of goods and health insurance benefits. The external environment, however, turned dim. Exports expanded 2.1 percent, slowing from the 4.5 percent growth in the second quarter, while imports also slowed to 2.0 percent from 4.2 percent in the second quarter. In nominal terms, GDP added just 0.7 percent, compared to 2 percent in the second quarter, placing gross operating surplus growth at 0.8 percent versus 4 percent previously, due to the strength of the dollar against the Korean won, which fell around 6 percent in the third quarter. The GDP deflator, which reflects the level of prices, rose by 2.7 percent. The gross national income (GNI) in nominal terms decreased 0.3 percent from the previous quarter. The fall was significantly impacted by the shrinkage in net factor income from the rest of the world (NFIA) — the difference between the country’s earnings from foreign investments and payments made to foreign investors — which fell from 14.1 trillion won ($9.6 billion) to 8 trillion won. In real terms, GNI rose 0.8 percent from the previous quarter, marking a slight slowdown from the 1 percent increase recorded in the second quarter. The deterioration in the terms of trade also contributed to sluggish GNI, with the real loss on terms of trade widening from 8.6 trillion won ($5.86 billion) to 10.3 trillion won. Real net factor income from the rest of the world also added downward pressure, declining from 10.2 trillion won in the second quarter to 8.6 trillion won in the third quarter. Gross national income fell 0.1 percent. Both the savings rate and the investment rate declined, painting a darker picture for the economy moving forward. The gross saving ratio fell 1.2 percentage points to 34.4 percent, while the net household saving ratio inched up 0.1 percentage point to 8.9 percent. The gross national investment ratio also fell 0.2 percentage point sequentially to 28.6 percent. 2025-12-03 11:47:37

KOSPI bounces above 4,000 in broad mixed Asia markets SEOUL, December 03 (AJP) - South Korea’s benchmark KOSPI climbed back above the 4,000 level on Wednesday, supported by overnight gains on Wall Street. In Seoul, the KOSPI rose 1.1 percent to 4,039.21 as of 10:08 a.m., recovering the 4,000 mark for the first time in nine sessions. The tech-heavy KOSDAQ added 0.3 percent to 930.74. Among blue chips, Samsung Electronics advanced 1.9 percent to 105,350 won ($71), while SK hynix slipped 0.3 percent to 556,500 won. Except for SK hynix, all of the top 10 stocks by market capitalization traded higher. Samsung C&T jumped 10 percent to 247,000 won, the biggest gainer among the top 50 firms. The rally followed news that Hong Ra-hee, widow of the late Samsung Group Chairman Lee Kun-hee, will donate her entire 1.06 percent stake in Samsung C&T to her son, Samsung Electronics Chairman Lee Jae-yong. After the share transfer, Lee’s stake in Samsung C&T will rise from 19.93 percent to 20.99 percent, while Hong’s holdings will drop to zero. Hong had inherited the stake in 2021 after her husband’s death, with the shares valued at roughly 400 billion won ($272 million). Entertainment stocks were mixed: HYBE gained 0.2 percent to 298,500 won, YG Entertainment added 0.2 percent to 62,900 won, while JYP Entertainment edged down 0.2 percent to 68,500 won and SM Entertainment lost 1.1 percent to 105,700 won. Overnight, U.S. stocks advanced as buying in tech shares lifted all three major indexes. The Philadelphia Semiconductor Index gained 1.8 percent as Nvidia rose 0.9 percent. In Japan, the Nikkei 225 rose 0.7 percent to 49,664.16, though Toyota Motor shares fell 1.3 percent to 3,007 yen ($19). Honda declined 0.4 percent to 1,508 yen, Sony dropped 0.8 percent to 4,406 yen and Nintendo slid 1.2 percent to 12,705 yen. SoftBank gained 2.9 percent to 16,125 yen. China’s Shanghai Composite slipped 0.2 percent to 3,889.45, and Hong Kong’s Hang Seng Index fell 0.8 percent to 25,889.32. 2025-12-03 11:44:09

PHOTOS: One year since martial law crisis SEOUL, December 03 (AJP) - South Korea on Wednesday marked the first anniversary of the martial law decree imposed by former President Yoon Suk Yeol. President Lee Jae Myung used his address to the nation to reflect on the unprecedented crisis and highlight the role of citizens in defending the constitutional order. "The fact that our citizens peacefully defeated the illegal martial law and expelled the unjust power is a monumental event that will be eternally remembered in the history of world democracy," President Lee said. He added that the attempted coup "paradoxically served as an opportunity to announce the remarkable resilience of South Korean democracy to the entire world." To commemorate the anniversary and the powerful display of civic action, the National Assembly is hosting a three-day series of events titled "Democracy of Light, An Unfading Memory." The commemorative activities, which run from Dec. 3 to 5, include guided tours of key sites within the Assembly compound related to the crisis. These locations include the main gate where citizens confronted martial law troops and the Assembly field where a military helicopter landed. 2025-12-03 11:30:16

Former president shares thoughts on martial law debacle, urges stronger democracy SEOUL, December 3 (AJP) - Former President Moon Jae-in shared his thoughts on social media on Wednesday, joining others in marking last year's martial law debacle that plunged the country into political turmoil. "I am very proud of our citizens who defended democracy and demonstrated the country's remarkable democratic resilience to the world," Moon wrote on Facebook. But he pointed out, "The forces behind have shown no remorse" and urged "continued vigilance," stressing the need to strive for a "strong democracy that cannot be shaken." Apparently referring to disgraced former President Yoon Suk Yeol and the conservative People Power Party (PPP), Moon said, "Those responsible, who shocked and angered South Korean society, have yet to apologize." He also warned that political extremism, which fuels hatred and division, poses a serious threat to democratic values. He expressed his belief that democracy is strengthened through trials and challenges, urging everyone to remember the lessons from a year ago and work toward a "stronger democracy." * This article, published by Aju Business Daily, was translated by AI and edited by AJP. 2025-12-03 11:22:51

South Korea's Doosan Bobcat files 14 patent suits against US machinery maker Caterpillar SEOUL, December 03 (AJP) - Doosan Bobcat’s North American unit has filed a series of patent infringement lawsuits against U.S. construction machinery maker Caterpillar. The company said Wednesday it has lodged complaints covering 14 patents with the U.S. District Court for the Eastern District of Texas, the U.S. International Trade Commission, the Unified Patent Court in Europe, and a federal court in Germany. “The patents in this lawsuit protect unique features of our construction equipment, including mobility, performance and precision,” a Doosan Bobcat spokesperson said. “We initiated this action to safeguard our patented technologies and ensure fair competition in the market.” * This article, published by Aju Business Daily, was translated by AI and edited by AJP. 2025-12-03 10:55:36

Hanwha Systems plans to develop Korea's first homegrown satellite semiconductor SEOUL, December 03 (AJP) - Hanwha Systems has launched development of what it says will be South Korea’s first satellite semiconductor built entirely with domestic technology, marking a major step toward self-reliance in defense-oriented space systems. The company said Wednesday it has signed an agreement with the Defense Technology Promotion Research Institute to co-develop “transceiver space semiconductor technology for (ultra) small-satellite multi-channel beamforming systems.” The transceiver semiconductor will serve as a core component for South Korea’s planned military low earth orbit (LEO) satellite communications network, enabling stable ground-to-space links in extreme environments. Defense-grade semiconductors used in systems such as missiles and radar require far higher reliability and durability than commercial chips. A key feature of the new device is its support for digital beamforming, which concentrates signals toward specific receivers rather than dispersing them. Digital processing enables precise, real-time beam control and offers more stable, high-speed and high-capacity communications than analog-based systems, the company said. Designed with multiple channels to improve frequency efficiency and reduce space requirements, the semiconductor can operate with fewer components and can be mounted on small communications satellites. Military LEO communications — sometimes described as “military space internet” — provide resilient, high-speed connectivity regardless of location. Operating at altitudes of 500 to 1,200 kilometers, LEO constellations can support stable communications during peacetime and act as a last-resort link during wartime. Hanwha Systems in 2023 began work on a commercial LEO-based communications system tailored for South Korea’s military, integrating existing tactical networks with satellite links. The new semiconductor program is expected to accelerate domestic production of LEO communications satellites, which currently rely heavily on U.S. and European technology. “This development brings us closer to achieving a self-reliant K-space defense,” Hanwha Systems said in a press release. “Hanwha Systems is committed to advancing the localization of South Korea’s strategic space assets.” * This article, published by Aju Business Daily, was translated by AI and edited by AJP. 2025-12-03 10:27:16

Lee hails citizens' courage on first anniversary of martial law debacle SEOUL, December 3 (AJP) - President Lee Jae Myung on Wednesday consoled and praised South Korean people, highlighting the country's resilient democracy, one year after disgraced former President Yoon Suk Yeol's martial law debacle. In his nationwide address at the presidential office in Seoul, he praised the people, saying, "I am convinced that South Koreans, who overcame an unprecedented democratic crisis in world history through peaceful means, are fully deserving of the Nobel Peace Prize." "If they were to receive the Nobel Peace Prize for preserving democracy, restoring peace, and demonstrating the greatness of democracy to the world, it would serve as a major turning point for all nations shaken by conflict and division," he elaborated. "In the 21st century, it was the first time such a occurred in a democratic country like South Korea. But it was also the first time in world history that unarmed citizens bravely and peacefully stopped it," he said. It "demonstrated our citizens' profound sense of sovereignty and the remarkable resilience of South Korean democracy to the world." Calling the people's protest the "revolution of light," as citizens took to the streets with lights to defend democracy against Yoon's Dec. 3 declaration of martial law, Lee also proposed designating the day as a national observance to honor the courage and actions of the people who fought to protect their sovereignty. Lee then sternly said he will ensure those responsible for the debacle are held accountable to "ensure no one ever dares dream of a coup again." He also vowed "strict punishment for those involved whose audacity led them to destroy constitutional order for personal ambitions and even plot a war." Yoon's botched martial law declaration, the first of its kind in modern South Korean history, was short-lived as lawmakers swiftly voted to lift it within hours. About 10 days later, they voted to impeach him, and Yoon was subsequently ousted from office in April this year. He has since been on trial on charges of insurrection and abuse of power. In the following 60-minute press conference, attended by more than 80 foreign journalists and broadcast live, Lee cited Washington's support for building nuclear-powered submarines, along with its nod to reprocess spent nuclear fuel and enrich uranium, as the "biggest achievement" of the country's comprehensive trade and security agreement recently concluded with the alley. When asked whether South Korea would back Japan in its diplomatic row with China over Japanese Prime Minister Sanae Takaichi's recent comments that Tokyo could take military action if Beijing attacked Taiwan, Lee said South Korea would prefer to serve as a "mediator" rather than take sides. "Taking sides would only escalate the conflict," Lee said. Later in the day, Lee is scheduled to join a civic rally commemorating the day and participate in a march around 7 p.m. In a rare move for a sitting president, this is seen as an effort to highlight that citizens were the driving force behind overcoming last year's debacle. 2025-12-03 09:52:41

Samsung's double-folding smartphone raises stakes in global foldable phone race SEOUL, December 03 (AJP) - Samsung Electronics has unveiled the Galaxy Z TriFold, the company’s first smartphone capable of folding twice, marking its most ambitious entry yet in the fast-evolving foldables segment. The device was officially launched at a media event in Seoul on Tuesday, after being previewed at the APEC CEO Summit in October. “The Galaxy Z TriFold represents the evolution of our smartphone design and engineering capabilities since our first foldable phone in 2019,” said Lim Sung-taek, vice president at Samsung Electronics. The handset adopts an “in-folding” mechanism that allows both sides of the display to fold inward. The screen measures 6.5 inches when closed and expands to 10 inches when fully unfolded, effectively functioning as a compact tablet. It is equipped with Qualcomm’s Snapdragon 8 Elite processor and a 200-megapixel wide-angle camera aimed at boosting productivity from shooting to editing. Samsung priced the 512GB model at 3.59 million won ($2,500), making it more expensive than Apple’s iPhone 17 Pro Max 2TB, which retails for 3.19 million won. The launch comes as Samsung looks to strengthen its position in the global foldable smartphone market. The company held a 9 percent share in the second quarter, ranking third behind Huawei’s 45 percent, according to Counterpoint Research. Analysts expect competition to intensify if Apple enters the segment. “The TriFold could trigger explosive growth in the foldable market, showcasing new possibilities for foldable phones,” Vice President Lim said. * This article, published by Aju Business Daily, was translated by AI and edited by AJP. 2025-12-03 09:48:34

Korea fast-tracks special laws to rescue steel and petrochemical sectors SEOUL, December 03 (AJP) - South Korea’s steel and petrochemical industries are coming under renewed strain amid a global economic slowdown and intensifying competition from China, prompting the government to move quickly on targeted legislation to stabilize two of the country’s most critical industrial pillars. Following the recent passage of the K-Steel Act, the Petrochemical Industry Competitiveness and Support Act is also expected to clear the National Assembly soon, according to multiple officials on Dec. 2. The twin laws mark one of the most interventionist industrial policy moves in years, reflecting rising deficits, weak margins and partial production shutdowns across the sector. Calls for a legal framework have grown louder as companies including Lotte Chemical and HD Hyundai Chemical submit restructuring plans. The special legislation is designed to smooth corporate overhaul processes and provide government backing for a shift toward higher-value production. Under the K-Steel Act, the steel industry is designated as essential to national security and economic stability, enabling broader support for R&D, investment and supply-chain management. It also establishes a special committee under the Prime Minister to coordinate industrial strategy and allows limited antitrust exemptions for joint investment and cooperation projects—an unusual step that underscores the severity of current pressures. The petrochemical bill goes further on financial and regulatory support, offering tax incentives, policy loans, regulatory easing and workforce retraining to facilitate restructuring. Such sector-specific laws are rare in Korea and typically reserved for moments of significant structural or geopolitical risk. The push comes as the U.S.–China tech rivalry reshapes global trade flows and China’s massive capacity expansion shifts it from a net petrochemical importer to a price-setting producer. This has depressed global margins and intensified competition for Korean firms. Despite a mild pickup in export volumes this year, profitability remains depressed due to price falls. Domestic petrochemical plants operated at 70–80 percent capacity in the first half, with operating margins sliding steadily since 2022. To avert deeper losses, the government recently urged companies to cut ethylene output by 2.7–3.7 million tons. Industry officials expect the pending legislation to accelerate overdue restructuring. “Once the special laws go into effect, companies will finally be able to push ahead with long-delayed restructuring and efficiency upgrades,” said one industry official, noting that follow-up support and policy consistency will determine the effectiveness of the overhaul. * This article, published by Aju Business Daily, was translated by AI and edited by AJP. 2025-12-03 09:30:58

South Korea should remember Dec. 3 as Democracy Memorial Day "A year has passed since the insurrection, yet darkness still lingers," said the ruling party leader, reflecting on the chaos following former President Yoon Suk Yeol's declaration of martial law. This statement underscores the ongoing turmoil in society. Since last December, this column has frequently criticized the martial law, mentioning terms like 'impeachment,' 'presidential election,' 'special prosecutor,' and 'People Power Party.' Even when not directly discussing martial law, related terms like 'diplomacy' and 'prosecution' have naturally surfaced. More articles on this topic are expected. As the special investigation into the insurrection nears completion, revelations continue, such as the justice minister's controversial communication with the first lady. The repeat of 'state manipulation' following the impeachment of Park Geun-hye has further angered the public. Despite Yoon's earlier promise to accept legal and political responsibility, his actions in court suggest otherwise. The past year has been tumultuous, marked by Yoon's failed arrest and release. On Nov. 26, the first trial of key figures indicted for martial law concluded. The special prosecutor labeled their actions as a 'terror against South Korean democracy.' While the appropriateness of the sentencing is debatable, holding those responsible is crucial. The court's first ruling is expected on Jan. 20. The People Power Party, now in opposition, appears unchanged from a year ago. Despite pledging to apologize for martial law and impeachment, internal discord persists. The party leader's stance resembles that of the ousted president, reflecting a regressive mindset. A consistent, reflective stance on martial law is necessary for public forgiveness and effective governance. The government is considering designating Dec. 3 as 'Democracy Memorial Day.' The martial law, the first since 1979, highlighted the importance of democracy and the constitution. Despite the failure of Yoon's 'coup,' support for his actions remains, posing a dangerous threat. To prevent future constitutional crises, strict legal action and continued emphasis on the day's significance are essential. * This article, published by Aju Business Daily, was translated by AI and edited by AJP. 2025-12-03 09:23:53