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  • Government Invests 49.2 Billion Won in Small Business Energy Equipment, But Inspections Fall Short
    Government Invests 49.2 Billion Won in Small Business Energy Equipment, But Inspections Fall Short The South Korean government has invested 49.2 billion won over two years to replace energy equipment for small businesses, but only 34 locations were inspected last year. Despite the ability to verify the closure status of supported businesses, there have been no instances of such checks by relevant agencies. Some businesses have completed their equipment disposal restriction period without being included in the inspection list.According to data from the Korea Energy Agency obtained by Rep. Park Soo-min of the ruling People Power Party through the National Assembly's Climate, Energy, Environment, and Labor Committee, the agency allocated 49.277 billion won to 1,299 businesses as part of the 'Small Business Energy Efficiency Improvement Support Project' for 2024-2025. In 2024, 769 businesses received 29.651 billion won, while 530 businesses received 19.626 billion won last year.Last year, the agency identified 334 of the 769 businesses supported in 2024 as subjects for post-management, selecting 34 for field inspections. The remaining 435 were excluded from inspections because their one-year disposal restriction period had expired. At that time, businesses receiving over 30 million won in government support were subject to a three-year disposal restriction, while those receiving less were subject to one year.As of September this year, there are 1,349 businesses still under the disposal restriction period, including 334 from 2024, 221 from last year, and 794 from this year. These businesses received a total of 65.656 billion won in subsidies.During the disposal restriction period, businesses must maintain the equipment they received support for. Any transfer, disposal, or abandonment of the equipment requires prior approval from the agency, and violations can result in the recovery of all or part of the subsidies.However, the agency has never checked the closure status of supported businesses. Although it can be verified through the National Tax Service using the business registration number, there have been no reported cases of such checks. The agency plans to consider using closure information to identify and select inspection targets in the future, explaining that it is difficult to confirm transfer status through agency data.There have been no cases of voluntary reporting for equipment disposal or violations detected through inspections in this project. No violations have been confirmed through complaints or reports. In contrast, the similar 'Energy Efficiency Market Creation Project' received one closure report in 2023 and one transfer report in 2024. The agency is currently pursuing an evaluation of the remaining value of the equipment for the closure case and the recovery of subsidies.Starting this year, the agency has extended the disposal restriction period to five years. It plans to increase the number of field inspections from 34 last year to about 100 this year, raising the inspection rate from 10% to 30%. The agency maintains that comprehensive inspections are burdensome due to travel costs and administrative demands. It will also establish operational guidelines by the end of the year that include instructions for voluntary inspections and reporting, as well as criteria for disposal restrictions and subsidy recovery. However, this year will still use a sampling inspection method, meaning some businesses will not undergo on-site verification.Rep. Park Soo-min stated, "The government's role should not end with providing financial support. If hundreds of billions of won have been invested without even confirming closure statuses, we need to examine whether there were truly no violations or if there were management blind spots that prevented detection." He emphasized the need for a robust post-management system that includes confirming violations and recovering funds before expanding support. 2026-09-17 18:04:00
  • Legislation Proposed to Link Public and Private Data through National Data Basic Law
    Legislation Proposed to Link Public and Private Data through National Data Basic Law The proposed 'National Data Basic Law' aims to connect and utilize data distributed across public and private sectors at a national level. The legislation includes the establishment of a National Data Committee to oversee the designation, management, linkage, and utilization of national data.On September 17, the National Assembly's Finance Committee held a public hearing on the National Data Basic Law, which was introduced by Representative Cho Seung-rae. The Korea Data Agency plans to review the feedback presented during the hearing and incorporate it into the proposed legislation. The hearing featured testimonies from four witnesses recommended by both ruling and opposition parties, followed by a Q&A session with committee members.The core of the National Data Basic Law is to designate data recognized as necessary for management, linkage, and utilization at the national level as 'national data' and to establish a management system to oversee and coordinate this data. This legal framework aims to facilitate the integration of dispersed public and private data for national use.According to the proposal, the designation of national data will occur after consultations with the agencies that hold and manage the data, followed by deliberation and approval from the National Data Committee. A national data platform will also be established to collect and manage national data and metadata, supporting data exploration. A consistent classification system will be applied to public and private data, and data quality will be managed through quality assessments.The National Data Committee will be newly established under the Korea Data Agency. The committee will deliberate and decide on policies regarding the designation, management, linkage, and utilization of national data, and it will have the authority to operate subcommittees and special committees to address specific issues for efficient deliberation.Every three years, a basic plan for activating national data will be developed, along with annual implementation plans. Surveys will also be conducted to assess the current state of data utilization and the demand for national data designation.A separate safety management system for data utilization will be established. Institutions that meet specific requirements, including professional personnel and facilities, will be designated as national data utilization centers to support the linkage, integration, processing, and analysis of national data.Notably, when national agencies link and integrate national data for policy formulation, provisions will allow the utilization centers to handle sensitive information, including personal, credit, tax information, and unique identifiers such as resident registration numbers. Data sets that need to be preserved for repetitive policy formulation, evaluation, or national security will be registered as preserved data sets and managed by the utilization centers.The proposal also includes the establishment of a special corporation, the 'Korea Data Agency,' to support the management, linkage, and utilization of national data. Additionally, it aims to designate specialized national data institutions and promote research and development related to data protection technologies, metadata standards, training, and international cooperation.Protection measures in response to the expanded use of data are also included in the legislation. Obligations to protect confidentiality during the processing of national data will be imposed, along with regulations to ensure safety and protective measures. Violations, such as using confidential information for unauthorized purposes or providing it to others, could result in imprisonment for up to three years or fines of up to 30 million won.Cho Seung-rae, chair of the Finance Committee, emphasized the need for the Korea Data Agency to proactively link public and private data to enhance a data-driven administrative system that can diagnose national issues in advance, urging attention and efforts for the passage of the bill.Data Agency Director Ahn Hyung-jun stated, "We will thoroughly review the opinions presented at the public hearing and work with the lawmakers to ensure they are reflected in the National Data Basic Law. We will do our best to achieve enactment within this year."* This article has been translated by AI. 2026-09-17 18:00:00
  • Is Now the Right Time to Invest in U.S. Stocks with the Won-Dollar Exchange Rate at 1,300?
    Is Now the Right Time to Invest in U.S. Stocks with the Won-Dollar Exchange Rate at 1,300? The won-dollar exchange rate has fallen to the 1,300 range, complicating calculations for U.S. stock investors. While the decline in the exchange rate poses a foreign exchange loss burden for existing investors, it presents an opportunity for new investors to secure more dollars with the same amount of won. How should investors approach U.S. stocks during this period of declining exchange rates?According to the Korea Securities Depository's securities information portal, Saveuro, domestic investors net purchased $421.79 million in U.S. stocks from the beginning of this month through the 15th. This is a decrease of about 30.6% compared to the $674.4 million net purchase during the same period last month. As the won-dollar exchange rate has dropped to the 1,300 range, changes in the investment flow of existing investors are becoming apparent.The strengthening of the won has a dual impact on U.S. stock investors. For an investor holding $10,000 worth of U.S. stocks, even if the stock price remains unchanged, a drop in the exchange rate from 1,500 won to 1,300 won reduces the won-denominated value from 15 million won to 13 million won. This means that even without any profit or loss in dollar terms, the decline in the exchange rate results in a 13.3% decrease in the valuation.Conversely, for those investing 500,000 won monthly in U.S. stocks, the drop in the exchange rate increases their dollar purchasing power. When the exchange rate is 1,500 won, 500,000 won can buy about $333, but if the rate drops to 1,300 won, it can secure about $385. This represents an increase of approximately 15% in the dollars obtained for the same investment amount.Park Sang-hyun, a researcher at iM Securities, stated, "As domestic investors feeling fatigued from the volatility in the domestic stock market shift towards U.S. stocks, the decline in the exchange rate may further encourage this trend. The reduction in currency exchange burdens will act as a catalyst for so-called 'overseas stock investors.'"New investors entering the U.S. stock market during this period of declining exchange rates should consider the risks associated with exchange rate fluctuations. It remains uncertain whether the won's strength will continue until the end of the year. Kim Yu-mi, a researcher at Kiwoom Securities, predicts, "In the short term, the won-dollar exchange rate may fall to the low 1,300s due to dollar weakness and improved supply and demand, but further declines will be limited, and by the end of the year, it may rebound to the low 1,400s as it seeks a balance level."Therefore, new investors might consider exchanging their investment funds over a period rather than all at once to mitigate the impact of exchange rate fluctuations. A financial investment industry official noted, "As the trend of declining exchange rates is expected to continue for the time being, it may be relatively stable to monitor the situation and appropriately divide the investment funds rather than investing all at once."* This article has been translated by AI. 2026-09-17 18:00:00
  • Six of 17 drone demos falter as Seoul rules out separate probe
    Six of 17 drone demos falter as Seoul rules out separate probe SEOUL, September 17 (AJP) - South Korea's Defense Ministry said Thursday it does not plan a separate investigation into six drone demonstrations that went awry at a military-hosted technology event, leaving participating companies to determine what went wrong as questions mount over the reliability of systems intended for future battlefield use. Six of 17 demonstrations failed to go as planned during the inaugural 2026 Defense Drone Technology Exhibition held Wednesday at the Seungjin Training Ground in Pocheon, north of Seoul, according to the ministry. The other 11 demonstrations were successful, including all systems currently operated by the Defense Ministry or military, ministry spokeswoman Jeong Bit-na said during a regular briefing Thursday. She later clarified that the military-operated systems were not necessarily fully deployed weapons and included equipment being used by test units. Among the systems that ran into trouble was a medium-sized jet-powered drone developed by Korea Aerospace Industries (KAI), which crashed shortly after takeoff. A direct-impact attack drone, rotary-wing swarm drones and a drone-launched air-to-ground guided weapon also failed to complete their demonstrations as planned. The ministry pushed back against descriptions of the event as a failure, saying its purpose was partly to expose technological shortcomings before systems reach operational units. “Some prototypes from private companies did not successfully complete their demonstrations, but we see this not as a failure but as part of the process of developing better technology,” Jeong said. “Actual battlefield environments involve various variables, including frequencies, weather and terrain, and identifying unexpected technical challenges during testing is an important reason for holding demonstrations like this,” she added. The explanation, however, raised questions over who would determine the causes of the malfunctions and how closely the military should examine systems that could eventually be used by South Korean troops. Asked whether the ministry was investigating why the six demonstrations went wrong, Jeong said there would be no separate military inquiry. “We opened the military training ground, and we are not separately investigating the causes,” she said. “The companies will have to conduct their own analyses and use the findings for further technological development.” One possible factor raised by participating companies was radio-frequency interference. Jeong said some companies suspected interference from civilian frequencies may have affected their systems as large crowds gathered at the site, stressing that the explanation was the companies' assessment and had not been confirmed by an official investigation. Some systems had operated normally during rehearsals a day earlier but encountered problems during the main event, when more than 1,000 people were present, according to a ministry official. The event was intended to give private companies a rare opportunity to test prototypes outside laboratories and under conditions closer to actual military operations. Reporters at Thursday's briefing questioned whether drones designed for battlefield use should be vulnerable to interference from an ordinary crowd in the first place. If mobile phones or other civilian signals were enough to disrupt control or navigation, the problem could carry greater implications for systems expected to operate in far harsher electromagnetic environments. Electronic warfare has become a defining feature of drone combat. North Korea has repeatedly carried out GPS jamming against South Korea, while the war in Ukraine has demonstrated how electronic warfare can disrupt drone navigation and communications. Ukraine, where drones have become central to battlefield operations, plans to produce more than 7 million drones this year. Its Defense Ministry has also accelerated procurement through DOT-Chain Defence, a digital weapons marketplace that allows combat units to choose drones and other equipment directly with allocated government funds. Ukrainian forces had received 485,000 drones and other pieces of equipment through the platform by late May, with the average delivery time for in-stock equipment later shortened to nine days. Seoul is pursuing its own rapid drone buildup. The Defense Ministry plans to introduce around 60,000 domestically produced training drones and train 500,000 service members as so-called “drone warriors,” while seeking faster ways to bring civilian technologies into military use. Wednesday's problems came less than a month after two medium-sized loitering munitions under development by the Agency for Defense Development crashed into the sea shortly after being launched from the amphibious assault ship ROKS Marado on Aug. 25. An initial investigation found that a misaligned door on the launcher caused uneven thrust and destabilized the aircraft during launch, while the drones themselves had operated normally. The two episodes have sharpened questions over how quickly Seoul should move from prototype development to public demonstration and eventually battlefield deployment as it races to expand drone capabilities. The Defense Ministry indicated Thursday that it would continue opening military environments to private developers rather than scale back testing after the mishaps. It plans to expand testing and demonstration opportunities beyond the Army to the Navy, Air Force and Marine Corps, arguing that exposing problems early is part of accelerating technological development. AJP Takeaways - Six of 17 drone demonstrations faltered at a Defense Ministry-hosted event, with companies left to identify the causes. - Possible radio-frequency interference raised concerns over whether military drones can withstand tougher electronic warfare conditions. - Seoul is still accelerating its drone buildup, targeting around 60,000 training drones and 500,000 “drone warriors.” 2026-09-17 17:58:36
  • Port Unions Demand Transparency on Merger Costs and Benefits
    Port Unions Demand Transparency on Merger Costs and Benefits Unions representing the four major port corporations in Busan, Incheon, Ulsan, and Yeosu-Gwangyang are opposing the government's push to consolidate port operations, demanding that the benefits, costs, and regional impacts of the merger be disclosed in advance.On September 17, the unions held a press conference in front of the Ministry of Finance in Sejong City, rebutting comments made by Deputy Minister Heo Jang regarding the port merger. The unions criticized the government's assertion that the merger would promote balanced regional development and enhance efficiency.Deputy Minister Heo stated in interviews on KTV on September 7 and MBN on September 8 that the merger of port corporations is part of a broader reform of public sector functions. He explained that while the individual port corporations in Busan, Incheon, Ulsan, and Yeosu-Gwangyang would remain physically intact, their policy-making and planning functions would be adjusted to enhance the competitiveness of the port industry.The unions argue that the port corporation system was established to strengthen autonomy, expertise, and accountability at the regional level. They noted that each port has distinct functions and supporting industries: Busan handles containers and transshipment, Ulsan focuses on liquid cargo and energy, Gwangyang deals with bulk and steel materials, and Incheon serves as a gateway to the capital region and trade with China.Given these unique characteristics, the unions emphasize the importance of maintaining the independence and accountable management of each port corporation. They warn that concentrating major policy and decision-making functions in a single entity could conflict with the original intent of the system.The unions also raised concerns about the claimed cost-saving benefits of the merger. Deputy Minister Heo mentioned that while immediate cost reductions may be minimal, the merger is expected to enhance public sector productivity and curb cost increases in the long term. The unions counter that concrete evidence is needed to support these claims.They referenced a 2011 government study that estimated annual savings of approximately 5 billion won from merging the four port corporations, deeming the impact negligible. The combined budget for the four port corporations in 2026 is projected to be 3.1594 trillion won, with Busan at 1.9032 trillion won, Incheon at 681.6 billion won, Yeosu-Gwangyang at 371.5 billion won, and Ulsan at 203.1 billion won. While the unions acknowledge that past studies cannot be directly compared to the current situation, they insist that new analyses are necessary to substantiate the merger's benefits.The unions also criticized the merger process itself, pointing out that the Ministry of Finance announced the consolidation plan on September 3 and began a cost-benefit analysis the following day, which they labeled a 'pre-merger verification' approach. They argue that the benefits to the public, costs, and regional impacts should be thoroughly examined before any policy decisions are made.Concerns were also raised about the future roles of regional port corporations post-merger. The unions contend that if the consolidated headquarters retains key powers over policy-making, development, operations, logistics, and marketing, only execution functions may remain at the regional level. Conversely, they warned that adding a consolidated headquarters while maintaining the existing powers of the port corporations could complicate the decision-making structure.If cooperation among port corporations is necessary, the unions suggested strengthening existing collaborative frameworks rather than pursuing a merger. They noted that the Port Corporation Act allows for the establishment of an operational council for consultation and coordination among corporations, and there have been instances of collaboration for joint overseas projects.The unions are calling on the government to publicly disclose analyses of the public benefits and costs of the merger, as well as the regional impacts and mitigation measures for Incheon, Busan, Ulsan, and Yeosu-Gwangyang. They demand a forum for discussions involving labor unions, port corporations, local governments, and experts.Song Myung-seop, chairman of the National Maritime and Fisheries Labor Union, stated, 'The government must present clear evidence before making expectations. It should transparently disclose the benefits and costs of the merger and its impacts on the regional economy and employment, and facilitate a public hearing for substantive discussions.'* This article has been translated by AI. 2026-09-17 17:56:00
  • Asia tests punishment, treatment to curb repeat drug use
    Asia tests punishment, treatment to curb repeat drug use SEOUL, September 17 (AJP) - South Korea has abandoned its once-prized claim to being a drug-free country. Dramas, public campaigns and advertisements now warn teenagers away from drugs, reflecting how quickly illicit drug use has spread. Society — and the system meant to respond to it — has struggled to keep up. Rapper Kim Gam-jeon, 22, was back in the headlines after being arrested on suspicion of using liquid cannabis while still under a suspended sentence for an earlier marijuana conviction. The Indigo Music artist, who joined the label in 2022 and took part this year in a public diss battle involving Swings and BIG Naughty, had previously been sentenced to eight months in prison before an appeals court suspended the term for two years. He has not been convicted in the new case. Lee Seon-young, a 27-year-old office worker in Seoul's Mapo District, had a blunt answer when asked how authorities should respond to repeat drug use. "Prison is probably the answer," Lee said. She was equally skeptical about using public money for rehabilitation. "Most people don't use drugs," she said. "Why should taxpayers' money be used to treat drug offenders?" Park Jung-soo, a 38-year-old office worker in Seoul's Gangnam District, drew a different line. He said cannabis should not necessarily be treated in the same way as methamphetamine or cocaine, while supporting tougher punishment for repeat use of what he described as more dangerous drugs. "If someone completes treatment and actually gets back to a level where they can live a normal life in society, I think they should be given another opportunity," Park said. The split comes as governments across Asia test different combinations of punishment, supervision and treatment in an effort to reduce repeat drug use. South Korean authorities apprehended 23,403 drug offenders in 2025, including 8,798 classified as users. The country's drug-offender recidivism rate stood at 34.5 percent in 2024, according to prosecution data. South Korea has been expanding the rehabilitation side of its response. Its 2026 drug management plan includes measures to strengthen treatment and social rehabilitation, while prosecutors can already link some offenders to education, probation or treatment programs rather than relying on criminal punishment alone. Government data show the share of drug-use offenders participating in medical treatment rose from 5 percent to 18.7 percent, while participation in social rehabilitation programs increased from 9.6 percent to 24 percent. Combined participation reached 42.7 percent. The government is also testing whether those programs make a measurable difference. The National Center for Mental Health and the Seoul Probation Office began a treatment and rehabilitation program in July 2026 for people ordered by courts to attend drug education. The program runs through November in five groups of about 15 to 20 participants. They are assessed before and after the course and again three months later, while those seeking further help can be referred to an addiction clinic. Nam Yun-young, head of the National Center for Mental Health, said when the program was announced that drug addiction was difficult to address through punishment alone and required continued treatment and recovery support. A separate Korean Institute of Criminology and Justice study examining treatment and rehabilitation across prosecution, probation, imprisonment and release identified gaps between different stages of the criminal justice process. Japan, meanwhile, has moved in a tougher direction on cannabis law. Since Dec. 12, 2024, illegal cannabis use itself has been punishable. Previously, possession and distribution were prohibited, but use was not separately criminalized. The change came as cannabis cases were rising among younger Japanese. A record 7,120 people were apprehended for cannabis offenses in 2025, up 12.3 percent from the previous year. More than 70 percent were under 30, and cannabis cases exceeded methamphetamine cases for a third consecutive year. Japan nevertheless continues to operate drug-dependence programs within its correctional system. In fiscal 2024, 6,826 inmates began drug-dependence withdrawal guidance at 73 correctional facilities. Programs differ according to offenders' needs and include components aimed at preventing renewed drug use after release. Repeat involvement varies sharply by substance. Among adults apprehended for cannabis offenses in 2024, 29.5 percent had previously been apprehended for the same type of offense, according to Japan's latest White Paper on Crime. For methamphetamine offenses, the share was 67.6 percent. Those figures are not directly comparable with South Korea's recidivism rate because Japan measures the share of adults previously apprehended for the same offense rather than following the same population over a fixed period. Singapore has kept some of Asia's toughest drug laws while expanding community-based supervision for selected users. Since May 16, first-time users who meet eligibility requirements and voluntarily surrender at a Central Narcotics Bureau office or police station can be placed under community supervision and compulsory case management for up to five years instead of being sent directly to a Drug Rehabilitation Centre. Counseling can include goal-setting and family involvement alongside regular drug testing. Those who return to drug use can still be placed in institutional rehabilitation. Singapore has also changed how some former users are monitored. Under Supervision 2.0, fully implemented in May 2025, eligible supervisees are monitored primarily through hair testing. The longer detection window has allowed some people who previously had to report as often as twice a week or twice a month to report once every three months. Authorities say the change is intended to reduce disruption to work and daily life while maintaining supervision. The two-year recidivism rate for people released from Singapore's Drug Rehabilitation Centre in 2023 was 26.1 percent, down 4.7 percentage points from the previous release cohort. The figures from South Korea, Japan and Singapore are not directly comparable because the countries define repeat offending differently and follow different populations over different periods. The challenge extends well beyond the three countries. The United Nations Office on Drugs and Crime said cannabis and stimulant use increased globally in 2024, while treatment coverage for drug-use disorders remained low. Its latest estimate put treatment coverage at a minimum of 8.2 percent worldwide, with access particularly limited in Asia and Africa. Research has increasingly examined how treatment and punishment perform once drug users enter the criminal justice system. A 2023 systematic review by Vera Tomaz, Diana Moreira and Olga Souza Cruz, published in Frontiers in Psychiatry, examined 23 studies of adults who used drugs and were involved in criminal justice systems. The review found treatment-based interventions were more consistently associated with reductions in drug use, criminal recidivism or both, while the authors raised concerns about relying heavily on incarceration. They also cautioned that the available studies differed widely in their programs, methods and criminal justice settings, leaving gaps in how treatment outcomes are evaluated and monitored. The policy changes now under way in Asia are themselves relatively new. South Korea's latest court-linked program is still being evaluated, Singapore's revised surrender regime has been in force only since May, and Japan's criminalization of cannabis use took effect less than two years ago. The emerging test is not simply whether Asia punishes drug use more harshly, but whether its systems can prevent users from returning to drugs after punishment ends. AJP Takeaways - South Korea is shifting beyond punishment: Treatment and rehabilitation participation among drug-use offenders has risen to 42.7 percent, while a new court-linked program is being tested for measurable long-term effects. - Japan is tightening cannabis enforcement: Cannabis use became punishable in December 2024, and arrests hit a record 7,120 in 2025, even as correctional authorities continue drug-dependence programs. - Singapore is pairing strict laws with tailored supervision: Some first-time users who voluntarily surrender can now receive up to five years of community supervision and case management instead of immediate institutional rehabilitation. 2026-09-17 17:52:18
  • Fed Signals Possible Rate Hike, Raising Concerns Over Korean Stock Market
    Fed Signals Possible Rate Hike, Raising Concerns Over Korean Stock Market The U.S. Federal Reserve has indicated the possibility of an additional interest rate hike this year, raising concerns for the Korean stock market. As the KOSPI remains trapped in a trading range, fears are growing that declining trading volumes may become a permanent trend.On September 17, the KOSPI closed at 6,715.41, down 2.56 points (0.04%) from the previous trading day. The index opened at 6,779.02, up 61.05 points (0.91%), but fluctuated around the 6,770 mark before giving up its gains and turning negative as the market approached closing.Foreign selling was particularly pronounced, with foreign investors net selling 22.8 billion won worth of stocks in the KOSPI market, marking the seventh consecutive day of selling. The widening interest rate gap between South Korea and the U.S., now at 1.0 percentage point, is believed to have contributed to this trend.Analysts suggest that the Federal Open Market Committee's (FOMC) more hawkish-than-expected results could further shrink trading activity in the domestic market. According to the Korea Financial Investment Association, as of September 15, investor deposits totaled 105.3 trillion won, a decrease of 15.3 trillion won compared to three months ago. This decline is attributed to a 22.43% drop in the KOSPI, which fell from 8,543 to 6,627 during the same period, indicating a contraction in investor sentiment.Concerns are also rising over a potential sharp decline in trading volumes. From September 1 to 15, the average daily trading volume in the KOSPI market was 21.4 trillion won, the lowest monthly figure recorded this year. This represents a more than 50% decrease compared to the peak in June. Analysts warn that if funding costs for foreign and institutional investors continue to rise, trading volumes could further diminish.The prospect of a rate hike by the Fed has also darkened profit forecasts for the securities industry. The sector reported a record net profit of 8.9 trillion won in the first half of the year, buoyed by a stock market boom. However, rising oil prices and interest rates are expected to weigh down profits in the second half.In fact, there is a trend of downward adjustments in earnings forecasts for securities firms. Mirae Asset Securities, which recorded a net profit of 1.9 trillion won in the second quarter, has seen its third-quarter consensus drop from 251.1 billion won a month ago to 196.9 billion won, a 21.6% reduction. Kiwoom Securities' third-quarter consensus fell from 431.9 billion won to 405.9 billion won, a 6.0% decrease, while NH Investment & Securities saw its forecast drop from 430.3 billion won to 409.4 billion won, a 4.9% decline.A representative from the securities industry stated, "Overall, the domestic market is experiencing a situation where trading volumes are declining. For securities firms, which rely heavily on commission income, the outlook for operating profits is becoming increasingly uncertain."* This article has been translated by AI. 2026-09-17 17:52:10
  • Hanwha Engine Surges Over 10% Amid Market Activity
    Hanwha Engine Surges Over 10% Amid Market Activity Hanwha Engine has surged more than 10% in after-hours trading. In the KOSDAQ market, Bitsro Tech has hit its upper limit, while Naraspace Technology, Giosoft, and YJ Link have also seen significant gains.As of 5:46 PM, Hanwha Engine was trading at 53,200 won, up 5,150 won (10.72%) from the previous trading day, with a trading volume of 108.9 billion won and an intraday high of 54,200 won.The stock's rise is fueled by expectations for the expansion of its artificial intelligence data center (AIDC) power engine business. SK Securities anticipates that Hanwha Engine will successfully secure a licensing production contract for the 10-megawatt (MW) four-stroke medium-speed gas engine 'MAN 35/44G' from Everllence (formerly MAN Energy Solutions). It is expected to supply power engines to North American data centers managed by Hanwha Energy starting in 2028.During regular trading hours, the market reacted to the hawkish results of the September Federal Open Market Committee (FOMC), leading to limited index movements. As of 2:50 PM, the KOSPI was down 0.01% at 6,717.08, while the KOSDAQ rose 0.68% to 821.55.Lee Kyung-min, a researcher at Daishin Securities, noted, "The domestic stock market has largely priced in the possibility of interest rate hikes, resulting in limited market shock despite the hawkish September FOMC results." He added, "With limited fluctuations across sectors, some cyclical trading has emerged in certain order and export sectors."In the KOSDAQ market, Bitsro Tech recorded an upper limit increase of 2,640 won (30.00%) to 11,440 won. Naraspace Technology surged 29.92% to 13,850 won, while Giosoft rose 23.39% to 12,240 won.YJ Link increased by 22.33% to 3,780 won, and Mitwon rose 19.40% to 4,585 won. Kenkoa Aerospace (13.75%) and Next Chip (11.97%) also showed double-digit gains, along with strong performances from NokSibMS (7.34%), Daemo (5.92%), and H-City (5.12%).* This article has been translated by AI. 2026-09-17 17:52:00
  • South Korea is aging fast. The jobs cant keep up – or live up
    South Korea is aging fast. The jobs can't keep up – or live up SEOUL, September 17 (AJP) - South Korea is a super-aged society, with people 65 and older making up more than 22 percent of the population and the country aging among the fastest in the world. That may partly explain the surprise appeal of a movie about a man in his 70s landing an entry-level office job rather than the cleaning or security work more commonly available to Koreans his age. The Korean remake of the 2015 Hollywood movie of the same title opened Wednesday and immediately topped the box office, knocking Christopher Nolan's "The Odyssey" out of first place after a roughly six-week run. Real life for older Koreans is considerably harsher. South Korea's elderly poverty rate is close to 40 percent, the highest in the OECD and about 2.7 times the organization's average. The aT Center in Seocho-gu, southern Seoul, was packed with gray-haired job seekers Thursday as the Seoul Senior Job Fair 2026 opened its doors. The city had brought together 81 employers offering positions in caregiving, logistics, education, services, transportation and office administration, among other fields. Organizers expected about 3,500 people at the fair, which was open to job seekers age 60 and older. But for many people in their 70s wandering the exhibition hall, the choices were hardly abundant or varied. Security guard. Cleaner. Then another security guard. Yu Joo-chan, 79, had traveled from Guro-gu on the other side of Seoul with only a few possibilities on his checklist. "What kind of work did you do before?" an employment counselor asked him. "What certificates do you have?" "Can you drive?" Then came the polite letdown. "Because of your age, it could take a very long time," she told him. Yu had worked for telecommunications companies when he was younger. Two of them went bankrupt. "Since then, nothing has really gone the way I wanted it to," he said. He later found work managing apartment buildings. The company that employed him recently went bankrupt, too. These days, Yu survives partly through what he calls "security-guard part-time work." "I'm barely getting by," he said. He had hoped to find another building-management job, but came to the fair with a sober understanding that few employers would hire him. Even apartment security, long one of the most visible sources of work for elderly Korean men, is becoming more competitive, he said. "There are a lot of 'young' security guards in their 50s and 60s now," Yu said. "I have to compete with them. Who is going to hire someone who is almost 80?" Koreans live a long time and work to unusually advanced ages. Yet many reach those years with too little income and find that the jobs available to them bear little resemblance to the careers they spent decades building. By August, 11.28 million of South Korea's 51.08 million registered residents were 65 or older, or about 22.1 percent of the population, according to Interior Ministry data. The country crossed the 20 percent threshold associated with a "super-aged" society in 2025. They are also likely to live for years after conventional retirement. South Korea's life expectancy reached 83.7 years in 2024. A Korean who reaches 65 could expect, based on 2023 data, to live another 21.5 years on average. Financing those decades is a different matter. South Korea has the highest old-age relative poverty rate in the OECD. About 40 percent of Koreans over 65 live on incomes below half the national median, compared with an OECD average of about 15 percent, according to the OECD's latest pension comparison. Among Koreans over 75, the rate rises to 54 percent. Older Koreans' disposable income averages just 68 percent of that of the overall population, compared with 87 percent across the OECD. Korea's old-age safety-net benefits were equivalent to only about 7 percent of average earnings in 2024, versus an OECD average of 21 percent. The result is that retirement often doesn't mean retirement. In 2024, 57 percent of Koreans ages 65 to 69 were employed, more than double the OECD average of 26 percent and, alongside Japan, the highest rate in the organization. Post-retirement work has become more necessity than choice. Statistics Korea found that 57.6 percent of people ages 65 to 79 wanted to continue working in 2025. More than half, 51.3 percent, said they needed the money for living expenses. Yu Byung-sun, 69, who spent 24 years running a raw-fish restaurant, was looking for custodial or cleaning work so he could have some extra money to give his grandchildren. "What I felt after coming here and getting counseling today is that finding a job when you're old is difficult," he said. His wish was simple. "If I can get a job, I want to save the money and give some spending money to my grandchildren," Yu said. The fair itself offered a broader spectrum of work. Seoul officials highlighted positions in caregiving, transportation, logistics, education, services and administration, and provided résumé clinics, one-on-one consultations and artificial-intelligence demonstrations. "Digital helpers" were stationed around the venue to assist older visitors with registration, kiosks, smartphones and interview reservations. At a booth operated by Cleaning Lab, a company that dispatches workers to clean homes and offices, an employee said many older visitors liked the idea of cleaning work — until they heard that getting assignments required using a smartphone. The company operates somewhat like Uber, the employee said: Customers who need cleaning are connected through a digital platform with people willing to do the work. The average hourly wage is about 13,500 won ($9.77). "Many elderly people tell us that the jobs available to them are limited to things like cleaning and janitorial work," the employee said. But when staff explained that the work required using a smartphone, another reaction often followed. "A lot of them say, 'I don't think I can do this job.'" Technology is spreading through precisely the kinds of flexible jobs that could otherwise accommodate an aging workforce. Internet use among South Koreans 65 and older reached 76.9 percent in 2024, but comfort with digital tools varies widely, particularly among people well into their 70s and 80s. Not everyone left discouraged. Jeon Sun-ok, 74, had spent much of her working life running a small business and had been out of work for a little over a year. She said the fair had shown her possibilities she had not considered. "This is such a good system," she said. "You can look for jobs at so many booths, and you learn about work you hadn't thought of before." She had trained as a caregiver but had not fully understood how she might turn that qualification into employment. "I learned more concretely today that I could work as a caregiver and help other people," Jeon said. Her experience was the optimistic case Seoul officials hoped to replicate: matching accumulated experience and overlooked skills with a labor market increasingly short of younger workers. For others, the arithmetic of age remained harder to overcome. Outside the aT Center, Kim, a 75-year-old man who asked to be identified only by his surname, smoked one cigarette after another. Until recently, he operated a screen-golf business near COEX, the sprawling convention center in southern Seoul. Business weakened as fewer people came to play, he said, and he eventually handed the operation over to someone else. He came to the fair hoping to find something he could still do responsibly for eight hours a day. No luck. "Jobs for elderly people are all either security or cleaning," Kim said. "I'm not saying I can do extremely hard physical work. But I would like a job where I can work eight hours a day and take responsibility for what I do. I came here and found there really isn't much like that." Security work brought its own problem. Apartment guards often work rotating shifts. Under a two-shift system, Kim said, that can mean 12-hour stretches and regular overnight work. "How are old people physically supposed to do that?" he said. "There should at least be three shifts." Then there is the technology gap. "What do old people know how to do on computers?" he said. "You have to take their physical strength and health into consideration." Policy discussions often bundle everyone above 60 into a single category. Kim said that made little sense from where he stood. "Sixty and 70 are completely different," he said. He had just spoken with another man looking for work at the fair. "He told me he was 64," Kim said. "I thought, 64? At my age, that sounds practically young." Kim gave a short laugh. Then he remembered what the younger man had told him. "He said he couldn't find anywhere to work either." Outside the building where thousands of older Koreans had come looking for their next job, Kim took a long drag from his cigarette. 2026-09-17 17:48:34
  • Samsung and LG Expand Heat Pump Initiatives in Jeju to Develop Korean Model
    Samsung and LG Expand Heat Pump Initiatives in Jeju to Develop Korean Model Samsung Electronics and LG Electronics are expanding their heat pump initiatives in Jeju. The region's relatively stable winter temperatures reduce initial testing burdens, while government support is rapidly increasing demand. Both companies aim to develop heat pump models suited to the domestic housing environment based on data collected in Jeju, preparing for future nationwide market expansion.According to industry sources, Samsung and LG have officially launched their residential heat pump projects in Jeju this year. In June, Samsung installed its 'EHS heat pump boiler' in a single-family home in Aewol-eup, Jeju City. LG has also participated in the 'Heat Pump Supply Project in Daily Life' in Jeju and has recently expanded its testing to include multi-family housing.Jeju's climate conditions have made it the first testing ground for domestic heat pumps. Air-source heat pumps absorb heat from the outside air for heating and hot water. While they can produce significant thermal energy with minimal electricity, maintaining heating performance and efficiency becomes challenging as external temperatures drop.The government selected Jeju as the primary testing area for this year's heat pump supply project. This decision was made to confirm performance and efficiency in a region with relatively stable winter temperatures, thereby reducing testing risks. The southern regions, including Gyeongnam and Jeonnam, which also have milder climates, are included in the initial support targets.There has been substantial actual demand in Jeju. The heat pump supply project requires participation from local governments, as it is funded by both national and local budgets. With high housing demand and active participation from local authorities, the allocation for this year has significantly increased.Industry reports indicate that the initial allocation for the 'Heat Pump Supply Project in Daily Life' in Jeju for this year is a total of 2,460 units. In the first half of the year, LG received 428 out of 1,042 units allocated, accounting for 41.1%. In the second half, LG secured 427 out of 1,418 units. Combined, LG's total allocation for both halves is 855 units, representing 34.8% of the total.In the second half, Samsung secured the largest allocation, with 501 units, followed by LG with 427 units, Daesung Heat Energy with 323 units, and Otek Carrier with 167 units. With nearly 1,300 units secured in Jeju alone, competition between Samsung and LG in the domestic residential heat pump market is intensifying.Another goal of the Jeju testing is to gather data suitable for the domestic housing environment. While heat pumps have become a primary heating method in Europe, South Korea prefers underfloor heating and has a high proportion of multi-family housing. There is a need to establish systems that accommodate heating and hot water performance, as well as limited installation space and centralized supply methods for domestic homes.On September 15, LG began a joint project with Jeju Province, Jeju Development Corporation, and the Korea Institute of Industrial Technology at the Shinhyo Apartment in Seogwipo City to test electrification for cooling, heating, and hot water in multi-family housing. This marks the first instance of applying heat pumps in a residential complex where actual residents live.Heat pumps will be installed in individual units to provide cooling and underfloor heating, while hot water will be supplied centrally through a large-capacity hot water tank and air-source heat pump installed in common areas. LG plans to establish a 'Korean Standard Model for Electrification of Multi-Family Housing' based on the data collected after the project is completed in December.Samsung is also preparing for multi-family housing applications. The company is conducting tests using a centralized supply method in a small multi-family housing unit with about 12 households in Gwangju. This approach aims to gather domestic application data by varying the regions and housing types, including single-family homes in Jeju.A domestic production base has also been established. Samsung has built a new production line for EHS heat pump boilers at its Gwangju facility, covering an area of 2,132 square meters, and has begun domestic production this month. The company is also expanding training for installation and service personnel in preparation for market expansion.Government support is expected to increase significantly starting next year. The government has allocated 85.9 billion won for the heat energy electrification project, which aims to convert fossil fuel heating to electric heating, in its budget for next year. This is approximately 5.5 times larger than this year's allocation of 15.7 billion won. The scope of the project will expand to include multi-family housing testing, in addition to heat pump supply.Next year's support will also be extended nationwide. The Ministry of Climate and Energy has focused on Jeju and southern regions this year but plans to provide support without regional restrictions starting next year. The goal for heat pump supply next year is to exceed 10,000 units.As a result, the importance of the data collected from this year's tests in Jeju is expected to grow. As the supply areas expand to the central inland regions, winter temperatures will drop, and installation conditions will vary based on housing types. Whether Samsung and LG can develop heat pump models suited to the domestic housing environment based on the performance and operational data gathered in Jeju will be crucial for their market expansion.* This article has been translated by AI. 2026-09-17 17:48:00