Nvidia to supply 260,000 GPUs to South Korea in sweeping AI partnership SEOUL, October 31 (AJP) - Nvidia has unveiled a sweeping initiative to deploy about 260,000 advanced graphics processing units to South Korea, partnering with the government and four major corporations in a deal valued at up to 14 trillion won ($10.5 billion), the company disclosed Friday. The chipmaker said it will work with Samsung Electronics, SK Group, Hyundai Motor Group and Naver Cloud to build what it terms "AI factories" across the Asian nation, marking one of its most ambitious sovereign AI infrastructure projects to date. "Korea's leadership in technology and manufacturing positions it at the heart of the AI industrial revolution — where accelerated computing infrastructure becomes as vital as power grids and broadband," said Jensen Huang, founder and CEO of NVIDIA, during the sidelines of the Asia-Pacific Economic Cooperation summit held in Gyeongju. "Just as Korea's physical factories have inspired the world with sophisticated ships, cars, chips and electronics, the nation can now produce intelligence as a new export that will drive global transformation." Under the arrangement, the South Korean government will secure up to 50,000 GPUs to support corporate AI development. Samsung, SK Group and Hyundai Motor will each receive up to 50,000 units, while Naver Cloud will obtain 60,000 processors. The deployment will expand South Korea's total AI GPU inventory from 65,000 to more than 300,000 units, the partnership extending beyond hardware supply to encompass platform collaboration. The Korean companies will leverage Nvidia's software ecosystem, including its Nemotron language models and CUDA-X computing platform, to develop digital twins that enhance semiconductor manufacturing speed and yields. Samsung plans to construct what Nvidia described as the industry's largest "semiconductor AI factory" equipped with 50,000 GPUs, while SK Group will focus on semiconductor research, cloud infrastructure and AI agent development. Hyundai Motor will build an AI factory for autonomous vehicles, smart manufacturing and robotics, with the Korean government co-investing $3 billion in physical AI expansion. The GPUs, primarily featuring Nvidia's latest GB200 Grace Blackwell architecture with some RTX 6000 series processors, face tight global supply constraints. Nvidia said it would prioritize allocation to ensure Korean entities receive priority access to the scarce chips. 2025-11-01 05:00:43

HOT STOCK: Hyundai Motor stocks fly on Trump and Jensen Huang effect SEOUL, October 31 (AJP) - Listed units of Hyundai Motor Group rode the APEC wave on Friday, lifted by eased tariffs during U.S. President Donald Trump’s visit and the halo of Nvidia CEO Jensen Huang, whose appearance dominated the APEC scene after Trump’s departure. Hyundai Motor closed up 9.4 percent at 290,000 won ($203). Hyundai Glovis rose 10.4 percent, and Hyundai AutoEver surged 26 percent to finish at 203,500 won. The rally was fueled by the long-awaited settlement of a trade deal under which Washington agreed to cut tariffs on Korean car exports from 25 percent to 15 percent, aligning Korea with Japanese and European rivals. Tariff negotiations over the past year had weighed heavily on the corporate outlook, particularly for Hyundai Glovis, complicating its logistics operations. The resolution removes a major point of uncertainty for the auto and shipping sectors, said Hyung-Kyu Kang, emeritus professor of transportation and logistics at Hanyang University. The tech leaders’ night out added to the momentum behind Hyundai Motor shares. The talk of the town was the chicken-and-beer gathering at Kkanbu Chicken in southern Seoul, where Samsung Electronics Chairman Lee Jae-yong, Nvidia CEO Jensen Huang and Hyundai Motor Group Chairman Chung Eui-sun shared drinks and casual conversation. Images of the trio mingling with patrons in everyday attire went viral, briefly boosting sales at Kkanbu Chicken outlets, with some stores reporting nearly double their usual weekend orders. “Kkanbu,” meaning trusted friend, became globally familiar after its appearance in the Netflix hit Squid Game. In Korean schoolyard slang, a kkanbu is a true equal — someone who has your back. The three industry leaders’ toast beneath the restaurant’s symbolic sign came at a moment of rising influence for all three companies: Nvidia’s ascent as the world’s most valuable firm, Samsung Electronics’ record-breaking rally securing its place as Korea’s top market-cap company, and Hyundai Motor’s climb to No. 5. 2025-10-31 17:43:18

'K-Submarine' moves to the center in Korea's defense ambition SEOUL, October 31 (AJP) - Nuclear submarines, once a politically sensitive topic in South Korea, have abruptly moved into the mainstream after U.S. President Donald Trump publicly endorsed Seoul's pursuit of a nuclear-powered submarine program. With Washington's unusually explicit approval, President Lee Jae Myung elevated submarine cooperation to the top of his diplomatic agenda, raising the issue in back-to-back summits with Canada and Thailand on the sidelines of the APEC meetings in Gyeongju. For years, Korea's submarine capabilities have remained overshadowed by its global dominance in commercial shipbuilding. That perception is beginning to shift. In talks with Canadian Prime Minister Mark Carney, Seoul proposed launching a new Security and Defense Cooperation Partnership to expand joint defense research and industrial collaboration. The discussion comes as Canada prepares a 60 trillion won ($44 billion) next-generation submarine procurement, in which several Korean firms have been shortlisted. During his meeting with Thai Prime Minister Anutin Charnvirakul, Lee emphasized the need for closer defense and maritime cooperation and encouraged Korean companies to participate in Thailand's defense-modernization projects. Submarines occupy one of the highest tiers of military trust. Whether nuclear-powered or diesel-electric, their propulsion systems, operational doctrine and crew training structures remain among a nation's most tightly guarded secrets. By placing submarines at the center of bilateral dialogue, Seoul is signaling that submarine cooperation has become a new measure of alliance confidence. "Submarines are not a sudden diplomatic trend," said Nam Dong-woo, senior advisor at Hanwha Ocean. "Diesel-electric submarine exports have been progressing for years. The current talks simply continue that trajectory." South Korea now designs and builds its own 3,000-ton KSS-III (Dosan Ahn Changho class) submarines equipped with air-independent propulsion (AIP) systems and lithium-ion batteries, allowing them to remain submerged longer and operate more quietly than traditional diesel models. Unusually for a non-nuclear state, South Korea has also successfully tested submarine-launched ballistic missiles, giving its fleet a rare form of strategic deterrent capability. These advances place South Korea among the small group of nations with full-cycle design, manufacturing and export capacity. "South Korea is one of the few countries capable of building large conventional submarines powered by diesel-electric engines equipped with AIP systems," said Yang Uk, research fellow at the Asan Institute for Policy Studies. He added that Korea's commercial shipbuilding strength has naturally extended into submarine expertise, helping build its reputation as a reliable supplier. Major builders Hanwha Ocean and Hyundai Heavy Industries anchor the sector, combining proven export experience with cost-efficient, high-performance designs. Their momentum is reflected in the stock market. Over the past year, Hanwha Ocean shares have surged about 415 percent, from 26,750 won ($19) to around 138,000 won ($100), while Hyundai Heavy Industries has jumped roughly 230 percent, from 182,600 won ($132) to 603,000 won ($437). The submarine drive is closely tied to Lee's goal of making South Korea the world's fourth-largest defense exporter by 2030. Submarines, alongside fighter jets and advanced artillery systems, sit at the top of the K-Defense portfolio not only for their technological prestige but also for their long-term economic value. Each contract typically spans decades of maintenance, logistics support and crew training, creating years of sustained partnerships rather than one-off sales. Nam said the U.S. decision to approve Seoul's pursuit of a nuclear-powered submarine offers major momentum. "Few countries gain such direct access to the U.S. defense market," he said. "Once Washington opens that gate, it validates Seoul’s defense credibility worldwide — from North America to Europe and beyond." The growing emphasis on submarines also reflects shifting regional dynamics. North Korea claims to have fielded a nuclear-armed submarine, though experts view the capability as limited, and China and Russia have stepped up joint naval operations across the Pacific. As Seoul's submarine diplomacy accelerates, experts caution that the next test lies in ensuring unified political leadership. Nam noted that defense exports can no longer rely solely on private initiative. "What matters now is how the government takes the lead," he said. "Korea needs a clear control tower to turn defense exports into a coordinated national strategy, and that moment has arrived." 2025-10-31 17:28:41

AI firm among two bidders seeking to acquire Homeplus SEOUL, October 31 (AJP) - An artificial intelligence company has joined the bid to acquire Homeplus, the troubled South Korean retail chain now under court-led rehabilitation. Homeplus said Friday that multiple bidders had submitted letters of intent by the deadline. While Homeplus did not reveal details of the participants, one bidder is reportedly Harex InfoTech, an AI solutions firm. The AI firm reportedly plans to raise about $2 billion in the United States to finance the acquisition. Under the current sale plan, all common shares held by majority shareholder MBK Partners would be canceled, except for preferred shares, and new shares issued to the successful bidder. In 2015, MBK Partners, a private equity firm, acquired a 100 percent stake from British supermarket chain Tesco Plc for 7.2 trillion won (about $5.2 billion at the time). But a prolonged slump in the discount store industry, compounded by competition from online platforms, left the company financially distressed. It eventually entered court-led rehabilitation proceedings in March. Samil PwC, the lead manager for the open bidding process, said it will review the letters of intent and financing plans before signing non-disclosure agreements with the qualified bidders. The due diligence will run from Nov. 3 to 21, with final bids due by Nov. 26. The identity of the second bidder remains undisclosed. NongHyup, previously mentioned as a potential participant, did not submit a letter of intent. * This article, published by Aju Business Daily, was translated by AI and edited by AJP. 2025-10-31 17:09:41

KOSPI and Nikkei duo end historic week on upbeat note, other Asian markets low-key SEOUL, October 31 (AJP) - South Korean and Japanese equities extended their record-setting momentum on Friday, moving in lockstep toward new highs while most other Asian markets ended lower amid mixed regional sentiment. Japan’s Nikkei 225 led the advance, soaring 2.25 percent to 52,478, the first time the benchmark has ever topped the 52,000 threshold. The rally accelerated after Bank of Japan Governor Ueda Kazuo signaled a pause in rate hikes, reinforcing expectations for renewed stimulus. Tech shares also strengthened after Apple posted an 8 percent on-year increase in quarterly revenue, lifting suppliers across the region. Murata Manufacturing, a top MLCC component producer, jumped 12 percent to 3,395 yen ($22). In Seoul, the KOSPI gained 0.5 percent to 4,107.5, closing out a historic week on a firm note. Samsung Electronics climbed 3.27 percent to 107,500 won ($75.42), while Hyundai Motor surged 9.43 percent to 290,000 won on optimism stemming from the recently concluded Korea–U.S. tariff negotiations and the “Huang halo” following Nvidia CEO Jensen Huang’s high-profile visit. On Thursday, Samsung Electronics Chairman Lee Jae-yong and Hyundai Motor Group Chairman Chung Eui-sun met the visiting Nvidia chief for a late-night “chimaek” (chicken-and-beer) gathering in Seoul — a scene that underscored the deepening alignment between Korea’s top tech and mobility leaders. NAVER — another core player in the emerging “AI alliance” orbiting Nvidia — rose 4.7 percent to 267,500 won. NAVER Chairman Lee Hae-jin, who joined President Lee Jae Myung and Huang during their meeting, said the company plans to co-develop a “Physical AI” platform aimed at supporting national industries including defense and shipbuilding. Robotics stocks also surged on the Huang effect after the CEO hinted at future collaboration with Korean robotics firms during Thursday’s Nvidia GeForce Gaming Festival. Hyundai Autoever, specializing in automotive and robotics software, spiked 26.08 percent to 203,500 won, while Rainbow Robotics jumped 24 percent to 436,500 won. The KOSDAQ climbed 1.07 percent, reclaiming the 900 level, driven by similar enthusiasm for robotics names. Neuromeka, known for its medical robotic arms, surged 20.15 percent to 31,900 won. Elsewhere in Asia, sentiment was subdued. China’s Shanghai Composite Index fell 0.81 percent to 3,954.79, slipping below the 4,000 mark as manufacturing activity contracted for the seventh straight month and PMI data disappointed. Taiwan’s TAIEX slipped 0.19 percent to 28,233.35 amid weakness in export-oriented sectors. As of 4:25 p.m., Hong Kong’s Hang Seng Index was down 1.15 percent at 25,985. 2025-10-31 17:04:26

LG Chem posts 43% jump in Q3 operating profit on cost cuts, battery unit recovery SEOUL, October 31 (AJP) - South Korea's LG Chem reported a 42.6 percent quarter-on-quarter increase in operating profit for the third quarter on Friday, driven by its battery unit's improved performance and company-wide cost reduction efforts despite sluggish global demand. The chemical giant posted an operating profit of 679.7 billion won (around $476 million) for the July to September period, up 38.9 percent from a year earlier, while revenue fell 1.9 percent to 11.2 trillion won. LG Energy Solution, its battery-making subsidiary, contributed 601.3 billion won in operating profit with revenue of 5.7 trillion won. Operating profit grew by 34.1 percent year-on-year, while revenue fell 17.1 percent during the same period. "In the third quarter, we delivered improved earnings through growth across our diverse business portfolio, including the petrochemical division's return to profit, receipt of upfront payments from life sciences license-outs, and LG Energy Solution's performance improvement, as well as cost reduction activities along the entire value chain," Chief Financial Officer Cha Dong-seok said. "While challenging business conditions will persist due to weak global demand, we will overcome these difficult times by accelerating our shift toward a high-value, high-profit business portfolio and through new business development and operational optimization activities." Shares of LG Chem closed Friday 1.85 percent lower at 397,500 won. 2025-10-31 17:03:54

S. Korea evolving beyond outsourcing clinical testbed as global R&D investment nears $1 bn SEOUL, October 31 (AJP) - South Korea’s biopharmaceutical sector has expanded rapidly over the past decade, yet new breakthrough drugs have been scarce and the country has produced no Nobel Prize winners in science — a stark contrast to neighboring Japan’s 22 laureates in natural sciences this century. But there may be hope as global pharmaceutical giants ramp up investment and clinical activity in Korea. The Korean Research-based Pharma Industry Association (KRPIA) said Thursday that 33 multinational drugmakers invested 1.0369 trillion won ($745 million) in clinical research here last year, an 18.8 percent increase from a year earlier. The figure reflects spending made through their Korean subsidiaries only, excluding direct funding from global headquarters — marking the first time locally executed clinical R&D investment has surpassed the 1 trillion won threshold. Over the past five years, R&D spending by global pharma companies in Korea has grown at an average annual rate of 14.8 percent. Clinical-stage research accounted for 42.9 percent, or roughly 445 billion won, the largest share of all R&D categories. The number of R&D personnel reached 2,470, up 7.4 percent, with more than half (52.6%) directly involved in clinical trials — underscoring Korea’s strengthening position as a clinical development hub. Pfizer Korea, the local unit of the New York-based drug giant, for one, has sharply increased R&D spending from 9.3 billion won ($6.7 million) in 2022 to 10 billion won in 2023, and to about 10.5 billion won in 2024, up roughly 5% from the previous year. Pfizer’s R&D investment in Korea has been steadily growing since 2021, a spokesman in Korea said, adding, "We expect this trend to continue." In the investment segment, cancer and rare disease treatments dominated clinical activity. In 2024, 974 trials (69.4%) were oncology-related, while 184 trials (13.1%) focused on rare diseases. Over the last five years, oncology trials increased by 5.7 percent annually, and rare-disease trials rose by 10.1 percent, driven by Korea’s advanced hospitals, efficient clinical trial networks, strong patient participation, and robust medical data infrastructure. These factors have made Korea one of the most attractive sites globally for late-stage clinical studies. According to the Korea Health Industry Development Institute (KHIDI), the global pharmaceutical market, valued at $1.6 trillion in 2023, is expected to expand to $2.24 trillion by 2028. Global R&D spending is projected to grow from $306 billion to $377 billion over the same period. The world’s top 10 pharmaceutical firms now account for 38.1 percent of all global R&D expenditure, with many allocating over 20 percent of their revenue to research and development — intensifying global competition for innovative drug pipelines. Against this backdrop, South Korea is rising as Asia’s premier clinical trial hub. “Over the past decade, Korea has become a major player in clinical research thanks to its rapidly growing biopharmaceutical sector, advanced medical infrastructure, and high patient participation rates,” KRPIA said. The association added that Korea’s strong research networks and skilled professionals are helping patients gain earlier access to innovative treatments and that the country is poised to solidify its role as a regional R&D base for global drug development. 2025-10-31 16:58:35

Korea launches first private Korea-India association for southern pivot traction SEOUL, October 31 (AJP) - Former and incumbent diplomats, along with large and small businesses, joined hands Friday to launch South Korea’s first non-governmental Korea–India friendship association, adding private-sector momentum to Seoul’s expanding southern pivot beyond China and Southeast Asia. “India is now the world’s most populous country with a median age in the 20s among its 1.5 billion people. It is set to overtake China not only in population but also in economic scale as it grows nearly 7 percent annually. Yet we know far too little about the country,” said Shin Bong-kil, president of the Korean Council on Foreign Relations, at the inauguration ceremony. Shin pointed out that while there are hundreds of private associations devoted to Korea–China relations, there has been none for Korea–India relations—until now. The newly launched Korea–India Future Society is an initiative Shin conceived during his tenure as South Korea’s ambassador to India from 2018 to 2021, aiming to close the gap between Korea’s rapidly rising business interest in India and the persistent lack of understanding and bias toward the South Asian nation. "The society has chosen 'future' instead of exchange or friendly to define the forward-looking direction for the body's role," Shin said. The launch drew attendance from Korea’s major conglomerates — Posco, Samsung Electronics, LG Electronics, and LG Chem — as well as SMEs including AutoGen, which operates manufacturing facilities in India. Scholars and cultural figures also joined, among them Abhishek Gupta, the Indian entertainer and businessman widely known in Korea as Lucky from JTBC’s “Abnormal Summit.” “Interest in Korea has risen sharply, and I hope I can contribute in cultural exchange,” Lucky said. India has been making frequent business headlines for Korean companies posting record-setting IPOs — LG Electronics’ $1.3 billion listing earlier this month and Hyundai Motor’s $3.3 billion IPO last year. Yet India’s share in Korea’s overall economic footprint remains small. Korea–India trade averages around $20 billion, far below Korea–Vietnam’s $82 billion and Korea–China’s $273 billion as of 2024. Fewer than 1,000 Korean companies currently operate in India — a figure that should be “at least ten times larger, given India’s size and opportunities,” said Park Euy-don, managing director of Haryana-based Seela Infratech, who has worked in India for over two decades. India’s multi-ethnic society, complex layers of federal and state regulations, and cultural differences continue to pose challenges. These hurdles are a key reason major firms such as Hyundai Motor and LG Electronics chose to list their Indian subsidiaries locally — a move that helps navigate India’s regulatory fragmentation between New Delhi and state governments. Still, “business should follow the market,” said Cho Hong-shin, vice chairman of AutoGen, which operates a plant in Khed City, Pune, producing ultra-high-strength steel components for automotive bodies for clients such as Mahindra & Mahindra. Founded with a modest membership, the Korea–India Future Society aims to expand alongside deepening bilateral ties, with plans to sponsor forums, cultural programs, and academic partnerships to strengthen long-term cooperation between the two countries. 2025-10-31 15:31:16

TOPIK website restored after data center fire, tests to resume normally SEOUL, October 31 (AJP) - The official website for the Test of Proficiency in Korean, or TOPIK, has resumed normal operations, about two months after a fire at a government data center forced cancellations of some tests, the Ministry of Education and the National Institute for International Education said Friday. The restoration means that upcoming tests, including those scheduled for November, will be held as planned, officials said, adding most systems related to test administration have now been fully recovered. The website, topik.go.kr, serves as the main portal for hundreds of thousands of applicants worldwide who take the Korean language test each year. With the system restored, test-takers can once again log in to download their official score reports, which are required for university admissions, graduation, and visa procedures. TOPIK results are also used as a key evaluation criterion in government programs assessing universities’ internationalization capacity and their management of foreign students. The 103rd paper-based TOPIK (PBT) and the 10th internet-based TOPIK (IBT) will both proceed next month as scheduled. About 36,000 candidates in South Korea and 49,000 in 11 other countries have registered for the 103rd PBT, which will take place on Nov. 16. Details on printing admission tickets will be provided later through the website, officials said. The 10th IBT, which faced disruptions during its registration period due to the system failure, will reopen for additional applications from Nov. 4 to 6. The test will be administered in South Korea and in three overseas countries. The 102nd PBT, held during the outage, was conducted using pre-stored data, but the 9th IBT and the 9th speaking test were canceled because both formats rely on active online systems. Applicants for the canceled IBT have been refunded, while those who wish to sit for the 10th IBT have been given a registration opportunity. The 9th speaking test, which had been planned only in South Korea, has also been canceled and refunded. 2025-10-31 15:18:38

Kia's profit plunges as US tariffs, strong dollar weigh on margins SEOUL, October 31 (AJP) - South Korean automaker Kia reported a steep drop in quarterly profit despite record revenue and global sales, Friday, as higher tariffs and currency fluctuations eroded margins in key markets. The company said its operating profit for the third quarter fell 49.2 percent from a year earlier to 1.46 trillion won ($1.06 billion), even as revenue climbed 8.2 percent to 28.69 trillion won. Net profit declined 37.3 percent to 1.42 trillion won. “Despite record sales and revenue driven by rising global demand for hybrid and electric vehicles, profits were affected by U.S. tariffs, higher global incentives and exchange rate volatility,” Kia said in a press release. Global sales rose 2.8 percent from a year earlier to 785,137 vehicles. Domestic sales jumped 10.2 percent, led by high-margin recreational vehicles such as the Sorento and Carnival and the new EV4. Overseas deliveries increased 1.4 percent, supported by strong hybrid demand in the United States and higher sales in emerging markets in Asia and South America. In western Europe, production adjustments at Kia’s Slovakia plant offset solid demand for the EV3, while sales in India fell as buyers delayed purchases in anticipation of a possible reduction in the goods and services tax. Eco-friendly vehicles accounted for more than a quarter of total sales, rising 32.3 percent to 204,000 units. The company sold 118,000 hybrids, up 40.9 percent; 17,000 plug-in hybrids, down 2.6 percent; and 70,000 fully electric vehicles, up 30 percent. Kia said it plans to expand its hybrid lineup and introduce new electric models to reinforce its position in the global market amid trade and policy uncertainties. In South Korea, the company will focus on high-margin hybrid RVs and the upcoming EV5, while in the United States it plans to broaden its hybrid offerings to meet shifting regulatory and consumer trends. In Europe, Kia aims to strengthen its EV portfolio with new models, and in India, it intends to grow its dealer network and introduce additional vehicles, company officials said. * This article, published by Aju Business Daily, was translated by AI and edited by AJP. 2025-10-31 14:36:32