Innovation Party Proposes Special Law for Pyeongtaek Support Amid Election Challenges The Jo Guk Innovation Party launched a full-scale support effort for its leader Jo Guk on May 11 by proposing an amendment to the Pyeongtaek Support Special Law, ahead of the June 3 by-election in Pyeongtaek. However, negotiations for a potential unification with the Democratic Party candidate Kim Yong-nam are facing difficulties amid ongoing disputes. On the same day, floor leader Seo Wang-jin submitted the bill to the National Assembly and explained to reporters, "The purpose of this amendment is to ensure that the promises made by the government regarding special support for Pyeongtaek since the relocation of U.S. military bases are properly fulfilled, addressing areas that have been lacking." The previous day, the Innovation Party held an on-site general meeting in Pyeongtaek and adopted the amendment to the Pyeongtaek Support Special Law as its party line. The proposed amendment includes provisions for establishing and implementing traffic improvement measures for local residents, legalizing national subsidies outlined in the enforcement decree, and abolishing the sunset clause. Jo stated, "Pyeongtaek is home to the world's largest single semiconductor factory, the Samsung Electronics campus, and the largest U.S. military base, Camp Humphreys. I will elevate Pyeongtaek, a strong leader in artificial intelligence and a symbol of the Korea-U.S. alliance, to the next level." He acknowledged that many projects have been carried out under the Pyeongtaek Support Special Law enacted in 2005 but emphasized, "It is insufficient to support national security and industrial strategy. To ensure stable business operations and consistent development strategies, the sunset clause must be removed." Furthermore, Jo expressed confidence, stating, "The amendment, which the Innovation Party has endorsed, will serve as a strong support for me and a source of hope for the residents of Pyeongtaek. The Innovation Party will demonstrate its commitment through action, not just words." The Pyeongtaek constituency is considered a major battleground in the upcoming election, with a multi-candidate race. The potential for unification is seen as a key factor. In the progressive camp, candidates include Jo, Kim Yong-nam, and Kim Jae-yeon, the leader of the Progressive Party, while the conservative camp features Yoo Ui-dong, a three-term candidate from the People Power Party, and Hwang Kyo-ahn, leader of the Liberty and Innovation Party. Some analysts suggest that if the progressive and conservative camps do not unify, the conservative candidate may benefit from less vote splitting. Jo and Kim Yong-nam have been engaged in a heated exchange. Kim has previously raised allegations regarding Jo's family's private equity fund, earning the nickname "Jo Guk sniper." On the same day, Jo criticized Kim during an appearance on YTN Radio, stating, "I find it hard to understand why he refuses to apologize for his serious comments regarding the Itaewon and Sewol ferry disasters." The tension has escalated to a party level. The previous day, Democratic Party spokesperson Park Ji-hye remarked, "It is difficult to understand the contradiction of attacking the Democratic candidate while shouting 'People Power Zero.'" In response, Lim Myung-hee, spokesperson for the Innovation Party, countered, "Instead of answering whether the belief that 'the state should protect the lives and safety of its citizens' is wrong, Kim Yong-nam has made remarks labeling Jo as a criminal." Additionally, Jo Seung-rae, the Democratic Party's secretary-general, indicated that some members of the Innovation Party are attempting to recruit individuals who have faced disciplinary actions or exclusion from nominations within the Democratic Party, suggesting, "If it affects mutual trust, it might be better not to proceed."* This article has been translated by AI. 2026-05-11 11:23:23

S-OIL Reports 1st Quarter Operating Profit of 1.23 Trillion Won Amid Rising Oil Prices S-OIL announced on May 11 that it recorded a consolidated revenue of 8.94 trillion won and an operating profit of 1.23 trillion won for the first quarter of this year. This marks an increase of approximately 231% compared to the previous quarter's operating profit of 371.9 billion won, and a turnaround from an operating loss of 21.5 billion won in the first quarter of last year. The net profit was reported at 721 billion won. The operating profit was significantly influenced by inventory effects due to rising oil prices, which accounted for more than half of the total. Despite the impact of scheduled maintenance and the implementation of a maximum oil price policy, the refining division's profits improved compared to the previous quarter due to a lagging effect. This lagging effect arises from the time difference between crude oil purchases and product sales, leading to a cost input delay. By business segment, the refining division reported sales of 7.10 trillion won and an operating profit of 1.04 trillion won. The petrochemical division achieved sales of 1.10 trillion won and a slight operating profit of 25.5 billion won. The lubricants division recorded sales of 737 billion won and an operating profit of 166.6 billion won. The refining division benefited from a surge in oil prices due to disruptions in global crude supply caused by the blockade of the Strait of Hormuz. Additionally, reduced operations at regional refineries and export restrictions from some countries led to an expanded spread between gasoline and diesel, boosting refining margins in Asia. In the petrochemical division, high operating rates at downstream facilities in China improved the aromatic market conditions. However, since March, a sharp rise in raw material prices has dampened demand, leading to a decline in spreads. The olefin downstream also faced worsened profitability due to soaring raw material prices following the Middle East conflict, although the drop in propylene oxide (PO) prices was relatively limited due to downstream demand effects. In the lubricants division, despite tight supply conditions, the increase in raw material prices outpaced product price increases, resulting in a decline in spreads. S-OIL anticipates that solid market conditions will continue into the second quarter due to supply disruptions. However, it warned of potential risks to profitability from inventory-related losses and lagging effects if oil prices decline in the future. S-OIL stated, "We are maintaining a stable crude oil import system despite increasing uncertainties in supply and demand." The Shahin project reported an EPC (engineering, procurement, and construction) progress rate of 96.9% as of the end of April, with plans for mechanical completion by the end of June. Major equipment installations have been completed, and the company aims to prepare for commercial operations by the end of the year after conducting trial runs. A company official stated, "There are no delays in the plan for mechanical completion by the end of June," adding that it is expected to be a positive project with competitive cost advantages in the global market.* This article has been translated by AI. 2026-05-11 11:16:49

SK Hynix Hits 1.9 Million Won as Samsung Electronics Surges 7% SK Hynix reached a record high of 1.9 million won during trading, driven by strong demand expectations for artificial intelligence (AI) semiconductors, attracting significant foreign and institutional investment. According to the Korea Exchange, as of 10:58 a.m. on May 11, SK Hynix shares rose by 209,000 won (12.40%) to 1,895,000 won. The stock briefly touched the 1.9 million won mark, setting a new all-time high. Its market capitalization surged to approximately 1,350.57 trillion won. Market analysts suggest that ongoing investments in high-bandwidth memory (HBM) for AI semiconductors are fueling optimism about earnings. The competition among global tech giants to invest in AI infrastructure has led to increased buying interest in SK Hynix, a key player in Nvidia's supply chain. Investor sentiment also spread across major semiconductor stocks. At the same time, Samsung Electronics saw its shares rise by 7.26% to 288,000 won, with a market capitalization estimated at 1,683.73 trillion won. The combined market capitalization of Samsung Electronics and SK Hynix reached approximately 3,034 trillion won, highlighting their significant role in driving the domestic stock market's upward trend. Additionally, the day's gains appear to be influenced by the recent rise in the New York stock market over the weekend, driven by optimism surrounding a potential resolution to ongoing negotiations and better-than-expected employment figures. Last weekend, the tech-heavy Nasdaq index closed up 440.88 points (1.71%) at 26,247.08.* This article has been translated by AI. 2026-05-11 11:15:42

Minister Park Hong-keun: National Strategy Must Align with Fiscal Policy as Budget Office Opens On May 11, Minister Park Hong-keun of the Budget Office stated that a long-term national strategy must be established to address structural challenges such as demographic changes, industrial transformation, regional disparities, and climate crises. He emphasized the need to integrate fiscal policy with these strategies to make them a reality. Minister Park made these remarks during the opening ceremony of the Budget Office and a public pledge event held at the Government Sejong Complex. At the event, Minister Park and key officials placed their handprints on a plaque inscribed with the phrase "A New Future, Strong Finances, Happy Citizens," reaffirming their commitment to establishing a solid foundation for national finances and prioritizing the well-being of the public. In his opening remarks, Park highlighted that the Budget Office will be evaluated based on its achievements and outcomes, underscoring its primary responsibility as "designing the future of South Korea." He also stressed the importance of reflecting the voices of citizens throughout the entire budget process, ensuring that the budget leads to tangible improvements in people's lives. Furthermore, he noted that the Budget Office should be an organization capable of designing the future while also being effective, creating real changes that citizens can feel, and responding quickly and flexibly to challenges. Immediately following the opening ceremony, Minister Park chaired the fifth expanded executive meeting in the fourth-floor conference room of the Government Sejong Complex. He remarked that the relocation to the new office represents a true starting point for the organization, urging everyone to dedicate themselves to fulfilling the mission of the Budget Office. He particularly emphasized the need to faithfully incorporate the results of integrated financial project evaluations, which are central to performance-based financial management, into the budget formulation and expenditure restructuring processes. He called for efforts to ensure the principles of autonomy and accountability in financial management are realized. Minister Park also mentioned that the process of preparing the 2027 budget will begin with the submission of budget requests from various ministries at the end of this month. He urged preparations for the "Youth LiveTalk" event aimed at enhancing communication with future generations. Additionally, he encouraged the newly established organization not to fear failure and to position itself as a leader in creating a smart, AI-based work environment through diverse initiatives.* This article has been translated by AI. 2026-05-11 11:14:00

132nd Anniversary of the Donghak Peasant Revolution Celebrated The Donghak Peasant Revolution, which championed the ideals of freedom and equality for all, marks its 132nd anniversary this year. On the morning of May 11, Minister of Culture, Sports and Tourism Choi Hwi-young read a written commemorative address from President Lee Jae-myung during the 132nd anniversary ceremony held at the National Museum of Korea. He stated, "Remembering and reviving the spirit of the Donghak Peasant Revolution is essential to establishing our identity." Minister Choi emphasized the importance of continuing efforts to share the historical significance of the Donghak Peasant Revolution with the public and to promote its spirit widely. In his address, Choi noted that the core values of a government based on popular sovereignty resonate with the ideals of the Donghak Peasant Revolution. He explained that the spirit that has persisted through the March 1 Independence Movement, the April 19 Revolution, and the May 18 Democratic Movement has been a driving force in establishing South Korea as a model democratic nation recognized globally. The Donghak Peasant Revolution, which took place in 1894, is recognized as a historical event where people rose against unjust realities and foreign invasions to create a better society. It is acknowledged as the first step toward democracy in South Korea. Consequently, May 11 was designated as Donghak Peasant Revolution Day in 2019. The Donghak Peasant Army achieved its first significant victory against government troops at the Battle of Hwangtohyeon on May 11, 1894. This year's ceremony was held under the slogan "The Donghak Peasant Revolution Becomes Today's Light." It aimed to honor the noble spirit of those who dedicated themselves to the values of freedom and equality and to reinterpret its historical significance in a contemporary context. Approximately 400 attendees included descendants of the revolution participants and members of the national Donghak Peasant Revolution commemorative committee. Shin Soon-cheol, chairman of the Donghak Foundation, and Jeong Tan-jin, head of the descendants' association, will present family registration notices to newly registered descendants this year. A commemorative performance will also take place, featuring a play by the Hanhol Theater Company and the Brillante Children's Choir, which will depict the circumstances of the time based on a letter written by Han Dal-mun, a participant in the Donghak Peasant Revolution, to his mother. Singer Ahn Yeo-eun will perform "Beautiful Country" alongside the children's choir, sharing a message of hope for the future. * This article has been translated by AI. 2026-05-11 11:12:32

Transportation Ministry Investigates Allegations of Bid Rigging in Rest Area Operations The Ministry of Land, Infrastructure and Transport announced on May 11 that it has referred officials from the Korea Expressway Corporation (KEC) and the CEO of H&DE to law enforcement for investigation regarding the alleged leak of bid information related to the operation rights of rest areas. The ministry revealed on May 7 that its audit, which began in January, uncovered irregularities in profit distribution and favoritism in the bidding process for rest area operations, which contradict the nonprofit purpose of the organization, the Dosheng Association, comprised of KEC retirees. According to the ministry, there are suspicions that bid information was leaked prior to the bidding for the Seonsan (Changwon) rest area, for which H&DE was selected as the project implementer in August of last year. KEC issued the bid announcement for the Seonsan (Changwon) rest area on May 15 of last year. It was confirmed that H&DE reported the status of its research project, bid announcement, and proposal schedule to the board of the Dosheng Association two months earlier, in March. There are also indications of possible price information leaks and collusion among KEC officials and bidding participants. The winning bid price for the Seonsan (Changwon) rest area was determined by averaging the prices submitted by bidders, and H&DE's bid price closely matched the average bid price of other participants. In response, the ministry has referred five individuals to the police for investigation into major bidding irregularities, including four KEC officials involved in the bidding process for the Seonsan (Changwon) rest area and the CEO of H&DE, on charges of bid obstruction and breach of trust, including allegations of favoritism. A ministry official stated, "We plan to actively cooperate with the investigation by providing audit materials and other relevant information."* This article has been translated by AI. 2026-05-11 11:11:12

Growing Need for Economic Cooperation with India: Developing Global Production and Export Hubs Amid increasing calls for enhanced economic cooperation with India, experts have suggested that India’s production base should be developed into a global production and export hub. They also emphasized the need for a sustainable cooperation framework between the two countries through a localization strategy for intermediate goods. On May 11, the Ministry of Trade held an expert meeting chaired by Minister Kim Jeong-kwan to discuss ways to expand economic cooperation with India. This meeting was organized to review the implementation direction of economic achievements following President Lee Jae-myung's state visit to India from April 19 to 21. India, with a population of approximately 1.43 billion, is the world’s sixth-largest economy, with an estimated GDP of around $4.15 trillion. The trade volume between Korea and India stands at about $25 billion annually, with both leaders aiming to increase this to $50 billion by 2030. Additionally, they plan to expedite negotiations to improve the Comprehensive Economic Partnership Agreement (CEPA) between the two nations. The meeting included experts from major economic research institutions such as the Korea Institute for International Economic Policy (KIEP), Korea Institute for Industrial Economics and Trade (KIET), Korea Trade-Investment Promotion Agency (KOTRA), Korea International Trade Association, and Korea Industrial Complex Corporation. They engaged in in-depth discussions on various topics, including plans for establishing dedicated industrial complexes for Korean companies in India, examples of economic cooperation policies from other countries, structural analysis and responses to the trade deficit concerns raised by India regarding Korea, and cooperation strategies in promising sectors. Experts noted that India is emerging as a key production base and promising market amid the global supply chain restructuring. However, they expressed concerns that the market remains challenging for small and medium-sized enterprises due to infrastructure deficits and complex regulations, which create high entry barriers. They highlighted the need to alleviate infrastructure and permitting burdens through the establishment of industrial complexes dedicated to Korean companies, as well as the necessity of restructuring supply chains to focus on local processing and domestic sales of intermediate goods, which contribute to India’s trade deficit. They proposed developing India’s production base into a global production and export hub, particularly in promising sectors, while also advocating for a localization strategy for intermediate goods. The Ministry of Trade plans to actively incorporate the opinions raised during the meeting into policy to enhance the effectiveness of industrial cooperation between the two countries. They also intend to work closely with relevant ministries and agencies to ensure that the outcomes of the state visit are realized promptly. Minister Kim Jeong-kwan stated, "During the summit, we agreed to establish the Korea-India Industrial Cooperation Committee, the first ministerial-level platform for industrial and resource cooperation between our two countries," adding that several investment and cooperation memorandums of understanding (MOUs) were signed in sectors with high cooperation demand, such as shipbuilding and steel. He also acknowledged that, "The current level of economic and industrial cooperation between our countries is still insufficient compared to our potential and expectations," urging participants to provide practical policy recommendations based on field experiences and research outcomes.* This article has been translated by AI. 2026-05-11 11:09:28

Hugel Expands Collaboration with Domestic Medical Professionals to Strengthen Market Leadership "We will create global standards of academic competitiveness and a sustainable industry culture based on deep trust with domestic medical professionals," said Jang Doo-hyun, CEO of Hugel, reaffirming the company's commitment to strengthening its market leadership. According to Hugel, the nationwide academic program 'H.E.L.F. ACT in Region' will be held four times this year, starting in Busan and continuing in Seoul, Incheon, and Daejeon. The first event, held on May 9 at the Signiel Hotel in Busan, was attended by about 50 medical professionals and was described by the company as a success. Jang explained, "This academic program aims to support Korean medical professionals, who are at the forefront of promoting K-Aesthetic culture, and to share clinical value." The 'H.E.L.F. ACT in Region' program goes beyond simple product education; it aims to maximize the safety and efficacy of procedures by sharing clinical experiences. It is designed to enhance understanding of Hugel's main product lines to improve practical application in the field. At the Busan event on May 9, Dr. Choi Woo-sik from Lamar Clinic in Ulsan introduced approaches to facial skin improvement using the Biorezin Skin Booster HA. Additionally, Dr. Oh Wook from Meilin Clinic at The Hyundai Seoul shared unresolved concerns and challenges regarding filler and toxin procedures, engaging in in-depth discussions with attendees. Hugel plans to hold additional events in Seoul, Incheon, and Daejeon in June, September, and December, respectively. Meanwhile, Hugel reported record earnings in the first quarter of this year. According to their announcement, the consolidated revenue for Q1 reached 116.6 billion won, with an operating profit of 47.6 billion won, marking increases of 29.9% and 22.3%, respectively, compared to the same period last year. This strong performance was driven by rapid growth in the global market. The combined overseas sales of their main products, botulinum toxin and fillers, reached 70.8 billion won, a 46% increase year-on-year. Notably, the company recorded approximately 21 billion won in sales growth in the four major markets: the United States, China, Europe, and Brazil.* This article has been translated by AI. 2026-05-11 11:06:01

KOSPI storms past 7,800 on semiconductor rally SEOUL, May 11 (AJP) - South Korea’s main index soared nearly 5 percent Monday morning to scale a fresh peak above the 7,800 mark, powered by bellwether chip stocks and retail investors chasing the latest leg of the AI-driven rally. As of 10:39 a.m., the KOSPI was trading at 7,843.57, with a buy-side sidecar was triggered shortly after the opening bell. The KOSDAQ slipped 0.16 percent to 1,205.81. The surge followed a strong session on Wall Street on Friday, where the S&P 500 and Nasdaq closed at record highs on robust U.S. jobs data and gains in semiconductor shares. U.S. job growth totaled 115,000 in April, beating market expectations and easing concerns that the U.S.-Iran war could spill into a broader economic slowdown. Although U.S. President Donald Trump rejected Iran’s response to a U.S. peace proposal over the weekend, dimming hopes for a near-term end to the Middle East conflict, South Korean investors appeared largely unfazed as attention stayed fixed on global semiconductor demand. Market momentum again rested heavily on chip giants. Samsung Electronics rose 6.33 percent to 285,500 won after briefly touching a record 286,500 won. SK hynix jumped 12.51 percent to 1,897,000 won. Automakers also traded broadly higher, with Hyundai Motor gaining 2.77 percent to 630,000 won and Kia advancing 6.44 percent to 175,100 won. Among other major shares, SK Square climbed 4.46 percent to 1,147,000 won. Shipbuilding and industrial names remained firm, with Samsung C&T rising 5.80 percent to 447,000 won and HD Hyundai Heavy Industries gaining 3.95 percent to 684,000 won. Hanwha Aerospace added 1.22 percent to 1,323,000 won. Battery and biotech shares lagged behind the broader rally. LG Energy Solution slipped 0.73 percent to 473,000 won, while Doosan Enerbility fell 0.54 percent to 128,900 won. Samsung Biologics edged down 0.34 percent and Samsung Electro-Mechanics dropped 3.28 percent. Foreign investors turned sellers, unloading a net 1.29 trillion won worth of KOSPI shares in early trading. Retail investors poured in with 1.05 trillion won in net purchases, extending their feverish buying streak, while institutions bought a net 254 billion won. The Korean won remained stable, with the dollar trading at 1,473.80 won, compared with the previous close of 1,471.70 won. 2026-05-11 11:06:00

Lotte Engineering Secures 300 Billion Won Through AAA-Rated Asset-Backed Securities Lotte Engineering has successfully raised 300 billion won through cash flow from its nearly completed projects. The company has significantly reduced borrowing costs through collaboration with commercial banks, demonstrating its credibility in the capital markets and accelerating its financial restructuring efforts. According to industry sources on May 11, Lotte Engineering recently issued asset-backed securities (ABS) based on construction receivables from projects nearing completion. The ABS consists of two tranches, each worth 150 billion won, with maturities of one year and one year and three months, totaling 300 billion won. Hana Securities and Shin Young Securities acted as joint lead managers, while Samsung Securities and NH Investment & Securities participated as underwriters. The ABS was issued with the highest rating of 'AAA', three notches above Lotte Engineering's own credit rating of A0. This rating reflects the stable cash flow from completed projects, combined with a 150 billion won credit facility from Hana Bank and Lotte Engineering's deposit management, maximizing structural stability. As a result, Lotte Engineering secured funds at significantly lower rates compared to typical corporate bonds or commercial paper (CP). The company plans to use this successful issuance as a stepping stone to diversify its funding sources through similar ABS issuances in the future. Lotte Engineering's proactive funding strategy is attributed to the unique 'funding lag' characteristic of the construction industry. Currently, the company has 20 housing projects scheduled for completion next year, with expected receivables amounting to approximately 2.6 trillion won. Typically, construction companies face concentrated expenditures just before project completion, but significant cash flow is only recovered after the final payments are received post-completion. Since the beginning of the year, Lotte Engineering has been designing a sophisticated securitization structure in collaboration with financial institutions to address this temporary funding demand. The risk of contingent liabilities from project financing (PF) is also showing a clear downward trend. Contingent liabilities, which reached 6.8 trillion won at the end of 2022, have decreased to around 3.1 trillion won in 2025, with a target to reduce them to the low 2 trillion won range this year. Notably, the establishment of a fund for purchasing PF asset-backed securities has helped extend the borrowing structure, alleviating short-term repayment pressures. Financial health indicators are also showing significant improvement. The debt ratio, which was 265% in 2022, has been declining annually and is expected to fall to around 187% by 2025, while reliance on borrowings has also decreased to the 20% range. Lotte Engineering stated, "The successful issuance of AAA-rated ABS is a significant turning point that acknowledges the company's creditworthiness in the market. We aim to achieve a substantial turnaround in our operational performance this year through thorough cash flow management and financial restructuring." The company also plans to accelerate its management normalization based on stable funding. A Lotte Engineering official emphasized, "Successfully completing the issuance of AAA-rated ABS has once again proven the safety of our funding. Under the strengthened financial health framework, we will further enhance the speed of management normalization through profitability-focused business management this year." 2026-05-11 11:04:26