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  • 2026 Tax Reform Plan Reduces Property Tax for Homes Valued Under 3 Billion Won
    2026 Tax Reform Plan Reduces Property Tax for Homes Valued Under 3 Billion Won The government's reform of the comprehensive real estate tax will reduce the tax burden for homeowners with properties valued under 3 billion won. The tax will begin to increase for homes valued at 3.5 billion won, and for properties worth 5 billion won, the tax will more than double compared to the current system.According to the '2026 Tax Reform Plan' released by the Ministry of Finance on August 3, the comprehensive real estate tax for a single homeowner aged 60 who has lived in a home valued at 2 billion won for 10 years will decrease from 276,000 won to 108,000 won by 2028.For homes valued at 2.5 billion won, the tax will drop from 461,000 won to 323,000 won, and for properties worth 3 billion won, it will decrease from 910,000 won to 760,000 won. This means a reduction of 138,000 won and 150,000 won, respectively.However, the tax burden will start to increase for homes valued at 3.5 billion won. The tax for a 3.5 billion won home will rise from 1,918,000 won to 2,124,000 won, an increase of 206,000 won. For homes valued at 4 billion won, the tax will increase from 2,627,000 won to 3,252,000 won, a rise of 625,000 won.For properties worth 5 billion won, the tax will increase from the current 4,539,000 won to 6,146,000 won in a mid-stage by 2027. By the final stage in 2028, it will rise to 9,785,000 won, which is 2.2 times the current amount.The total property tax, combining property tax and comprehensive real estate tax for homes valued at 5 billion won, will increase from 13,548,000 won to 15,155,000 won in 2027, and to 18,794,000 won in 2028.This is a result of increasing the basic deduction for single homeowners from a publicly assessed price of 1.2 billion won to 1.4 billion won and adjusting the fair market value ratio from the current 60% to 70%. The government plans to unify the comprehensive real estate tax rate based on property value rather than the number of homes owned and limit the tax credit to 8 million won in 2027 and 6 million won in 2028.If the deduction based on age and residency is small, the actual tax burden will increase. For a 50-year-old homeowner who has lived in a home valued at 3 billion won for two years, the comprehensive real estate tax will decrease from 2,275,000 won to 1,901,000 won by 2028, but for a 3.5 billion won home, it will rise from 4,795,000 won to 5,309,000 won. For a 5 billion won home, it will increase from 11,347,000 won to 16,985,000 won.The Ministry of Finance explained that homes valued up to 2 billion won will be excluded from the comprehensive real estate tax, and the range between 2 billion and 3 billion won is designed to lower the tax burden. The tax changes for homes valued between 3 billion and 4 billion won are minimal, but properties exceeding 4 billion won will see a larger increase due to the impact of high-value home tax rates and tax credit limits.Based on this year's publicly assessed prices for multi-family homes, approximately 16,774 homes nationwide exceed a value of 3 billion won, representing 1.06% of the total. Homes valued over 4 billion won number about 6,451, representing the top 0.41%, while those over 5 billion won total 2,996, representing the top 0.19%.However, this statistic is based on the number of homes and includes non-residential properties and homes owned by multiple homeowners, making it difficult to distinguish single homeowners. Last year, the number of comprehensive real estate tax payers was 480,577, which is about 3% of the total 15.98 million homeowners as of 2024.The government stated that it did not design the tax system based on pre-established criteria for ultra-high-value homes. A Ministry of Finance official explained, "The adjustments to the fair market value ratio, tax rates, basic deductions, and tax credit limits resulted in a larger increase in the burden for homes valued between 4 billion and 5 billion won."The increase in tax revenue from the comprehensive real estate tax reform, excluding the special rural tax, is estimated to be 800 billion won in 2027, 1.1 trillion won in 2028, and 300 billion won in 2029, totaling 2.2 trillion won.* This article has been translated by AI. 2026-08-03 18:04:10
  • 2026 Tax Reform Plan: Property Tax Based on Total Housing Value
    2026 Tax Reform Plan: Property Tax Based on Total Housing Value The government is shifting the basis for the comprehensive real estate tax from the number of owned homes to the total value of the properties. Additionally, the long-term capital gains tax exemption, previously based on ownership duration, will now focus on actual residency. The plan aims to reduce the burden on primary homeowners while scaling back benefits for high-value, non-resident, and multi-home owners.On August 3, the Ministry of Economy and Finance held a meeting of the Tax Development Advisory Committee to announce the "2026 Tax Reform Plan." The comprehensive real estate tax will be gradually reformed from 2027 to 2028, while the capital gains tax will undergo a transitional period until 2029.Starting in 2028, the tax rate structure for the comprehensive real estate tax will be unified based on property value, regardless of the number of homes owned. Currently, different tax rates apply to owners of one or two homes compared to those with three or more, leading to disparities in taxation for properties of the same value. The reform aims to enhance tax equity by eliminating the number of homes as a criterion.The basic deduction for primary homeowners will increase from 1.2 billion won to 1.4 billion won. This year, properties valued at approximately 2 billion won will be exempt from the comprehensive real estate tax. However, for homeowners who do not reside in their property, the basic deduction will decrease to 900 million won.The current fair market value ratio of 60% will rise to 70% for both resident and non-resident single-home owners by 2028. For those owning three or more homes and those with two homes in designated adjustment areas, the ratio will increase to 80%. The tax rate for high-value properties will also be strengthened, and the upper limit for property tax burdens will rise from 150% to 200% of the previous year's tax amount.Tax credits for seniors and long-term homeowners will shift to focus on residency duration. While the long-term holding exemption will be reduced, a new residency-based exemption will be introduced. The combined limit for senior and residency-based tax credits will be capped at 8 million won in 2027 and 6 million won in 2028.As a result, primary homeowners will be exempt from the comprehensive real estate tax for properties valued up to 2 billion won, with tax amounts decreasing for properties valued between 2 billion and 3 billion won. For properties valued between 3 billion and 4 billion won, tax amounts will remain relatively stable, but those exceeding 4 billion to 5 billion won will see a significant increase in tax burden.For non-resident single-home owners and multi-home owners, tax burdens will generally increase regardless of property value. The projected increase in comprehensive real estate tax revenue due to the reform is estimated at 800 billion won in 2027, 1.1 trillion won in 2028, and 300 billion won in 2029, totaling 2.2 trillion won, excluding the rural special tax.The long-term capital gains tax exemption will also be redesigned to focus on actual residency. Currently, single-home owners can receive a deduction of 4% per year based on both ownership and residency duration, with a maximum of 80%.By 2028, the ownership duration deduction will be reduced to 2% per year, with a maximum of 20%, while the residency duration deduction will increase to 6% per year, with a maximum of 60%. Starting in 2029, the ownership duration deduction will be eliminated, and the residency duration deduction will be set at 8% per year, with a maximum of 80%. The deduction limits will decrease to 2 billion won in 2028 and 1 billion won in 2029.Periods of unavoidable absence due to schooling, work, illness, or caring for parents will be recognized as residency for up to three years. For redevelopment and reconstruction projects, about half of the duration will be counted as residency.To provide selling opportunities in light of the strengthened property tax, the additional capital gains tax for multi-home owners will be temporarily eased. The additional tax rate for two-home owners will be reduced by 5 percentage points in 2027 and 10 percentage points in 2028, while for those with three or more homes, the rates will be lowered by 10 percentage points and 15 percentage points, respectively. Starting in 2029, the rates will revert to the current levels of 20 percentage points and 30 percentage points.Concerns have been raised about the unpredictability of real estate policies, as the government has lowered tax rates just three months after ending the temporary suspension of the additional capital gains tax for multi-home owners in May. The government plans to apply the reduced rates to transactions that were subject to the additional tax after the suspension resumed on May 10.The special provisions for win-win rental housing, which exempt the residency requirements for tax-free status and long-term holding exemptions for single-home owners, will end this year, as the rental increase rate is limited to within 5%. The government believes the effectiveness of these provisions has diminished due to the implementation of the monthly rent cap and that they provide excessive benefits to non-residential properties.Jo Man-hee, head of the Tax Division at the Ministry of Economy and Finance, stated, "The primary goal of this real estate tax reform is not to stabilize housing prices but to normalize the tax system. While increasing the supply of properties from multi-home owners or landlords may have a secondary effect on stabilizing housing prices, that is not the main objective."* This article has been translated by AI. 2026-08-03 18:04:00
  • South Korea Lowers Capital Gains Tax for Multiple Homeowners After Three Months
    South Korea Lowers Capital Gains Tax for Multiple Homeowners After Three Months The South Korean government is easing the capital gains tax on multiple homeowners just three months after reinstating it on May 10. This move is part of a broader tax reform plan aimed at increasing the burden on homeowners while providing a pathway for selling properties by lowering capital gains tax rates in 2027 and 2028.On August 3, the Ministry of Economy and Finance announced the details of the "2026 Tax Reform Plan" during a meeting of the Tax Development Advisory Committee.Currently, homeowners in designated areas face additional capital gains taxes on top of the basic income tax rate. Those with two homes pay an additional 20 percentage points, while those with three or more homes face an additional 30 percentage points. For those in the highest tax bracket, the effective rates can reach 65% and 75%, respectively.The reform plan proposes to reduce the additional tax rate for homeowners with two properties to 5 percentage points and for those with three or more properties to 10 percentage points starting in 2027. This would lower the effective rates to 50% and 55% for the highest brackets.In 2028, the additional tax rates would further decrease by 10 percentage points for two-home owners and 15 percentage points for those with three or more homes. However, starting in 2029, the rates will revert to their current levels, increasing by 20 percentage points and 30 percentage points, respectively. This structure aims to provide a temporary reduction in tax rates over two years to encourage property sales before normalizing the rates.The government had temporarily suspended the additional capital gains tax for multiple homeowners since May 2022 but resumed it on May 10 of this year. The recent tax reduction comes just three months after the reinstatement, raising questions about the predictability of the policy.Deputy Prime Minister and Minister of Economy and Finance Koo Yun-cheol explained, "Considering the normalization of property taxes for multiple homeowners, we are temporarily easing the additional capital gains tax system implemented on May 10 to provide an opportunity for those willing to sell their properties until 2028."The reduction in capital gains tax is linked to the strengthening of the comprehensive real estate tax outlined in the reform plan. Starting in 2028, the government will unify the tax rate criteria based on property value rather than the number of homes owned, increasing the fair market value ratio for owners of three or more homes and those with two or more homes in designated areas from the current 60% to 80%.Additionally, the basic deductions and tax credits for non-residential properties and multiple homeowners will be reduced. As the holding costs for multiple homeowners increase, the government aims to temporarily lower the tax burden at the selling stage to encourage more properties to enter the market.With the reduction in capital gains tax, there is potential for multiple homeowners who previously hesitated to sell due to tax burdens to list their properties, especially since the benefits will also apply to properties sold this year under the additional tax rate. This could help narrow the tax burden differences based on the timing of sales.However, the rapid change in tax rates shortly after the reinstatement of the additional tax is likely to spark controversy over the predictability of the policy. If the government’s timeline for suspending the additional tax continues to shift with each reform, it may lead to multiple homeowners delaying sales in hopes of further reductions.As the additional tax rates are set to revert to their original levels in 2029, the actual impact on the market will depend on the timing of legislative changes and the state of the housing market. The government plans to submit the related tax law amendments to the National Assembly on September 3 after going through legislative notice and cabinet meetings.* This article has been translated by AI. 2026-08-03 18:04:00
  • 2026 Tax Reform Plan: Growth and Relief for Households, Increased Real Estate Taxation
    2026 Tax Reform Plan: Growth and Relief for Households, Increased Real Estate Taxation The government will apply tax credits for domestic production in advanced industries such as semiconductors, secondary batteries, and AI robots for the next decade. It will also expand the Earned Income Tax Credit and tax support for youth and local areas. The comprehensive real estate tax will be strengthened, and exemptions and reductions will be adjusted, with total tax revenue expected to increase by 34 trillion won by 2031.The Ministry of Economy and Finance announced the "2026 Tax Reform Plan" on August 3 during a meeting of the Tax Development Advisory Committee. The reform plan is structured around four key directions: boosting potential growth, supporting livelihoods and local areas, ensuring fair taxation, and rationalizing the tax system.Deputy Prime Minister and Minister of Economy and Finance Koo Yun-cheol stated, "We aimed to faithfully reflect support measures for potential growth and livelihood stability for low- and middle-income households, youth, and local areas. Despite the positive tax revenue from economic recovery, there is a need to expand the medium- to long-term revenue base to address demographic changes and polarization."As part of the growth support measures through taxation, a domestic production tax credit will be established. This credit will apply to income and corporate taxes based on production and sales in six key sectors: solar and wind power, secondary batteries, semiconductors, essential materials, and AI robot components. For production outside the capital region, a maximum of 1.5 times the standard deduction will be applied based on the region.A productive finance individual comprehensive asset management account (ISA) will be introduced to attract funds to the domestic capital market. Interest and dividend income from investments in domestic stocks and equity funds will be fully tax-exempt, and individuals under 34 will receive an additional 10% income deduction on their contributions. The annual contribution limit is set at 20 million won, with a total limit of 200 million won.In the area of livelihood support, the income criteria and maximum payment for the Earned Income Tax Credit will be increased. The income threshold for dual-income households will rise from 44 million won to 52 million won, while the maximum payment will increase from 3.3 million won to 3.6 million won. The payment criteria and limits for single households and single-income households will also be expanded.Support for local areas will be enhanced. For R&D and facility investments outside the capital region, a maximum of 1.5 times the tax credit weight will be applied based on the region. Young people employed by small businesses in designated areas will receive a 90% reduction in income tax for ten years.The real estate tax system will differentiate tax burdens based on residency and housing value. The basic deduction for comprehensive real estate tax for primary homeowners will increase from 120 million won to 140 million won, while the fair market value ratio and tax rates for high-value homes will also rise. The tax burden for non-resident homeowners and multiple homeowners will gradually increase. The increase in tax revenue from the comprehensive real estate tax reform is expected to be about 22 trillion won, excluding the rural special tax.Deputy Prime Minister Koo stated, "The principle is that a home is a place to live, not just an asset, and we aim to rationally reform the real estate tax system to establish a residency-centered housing market." He clarified that the reform does not involve a uniform increase in property taxes. According to the reform plan, comprehensive real estate tax will exclude properties valued at 2 billion won for residents, and the tax burden will decrease for properties valued up to 3 billion won.The long-term holding special deduction for capital gains tax will shift from a focus on holding to residency. The holding period deduction will only be recognized at half the rate in 2028 and will be abolished in 2029, with deductions based on residency of 8% per year, up to a maximum of 80%. However, to provide selling opportunities due to the increase in holding taxes, the capital gains tax rate for multiple homeowners will be temporarily lowered in 2027 and 2028.The government plans to revise 115 out of 241 tax expenditures. Twenty items will be terminated, 17 will be converted to fiscal support, and 64 will be redesigned. The tax credits for marriage, childbirth, and adoption will be changed to budget support, while the individual consumption tax reduction for hybrid vehicles will be discontinued.Deputy Prime Minister Koo noted, "We are moving away from the practice of continuously extending sunset provisions to reform systems that have low effectiveness or have achieved their objectives." The government estimates that the reduction in tax expenditures will amount to about 25 trillion won.New tax standards will be established to address the practice of companies artificially lowering stock prices ahead of inheritance and gift taxes, known as 'stock price suppression.' The rewards for reporting tax evasion and hidden assets will have no legal payment limits, and the payment rate will be increased.If the government's tax reform plan is implemented, tax revenue is expected to increase by 34.43 trillion won from next year until 2031. By tax category, the comprehensive real estate tax is projected to increase by 21.815 trillion won, the value-added tax by 6.007 trillion won, and other taxes by 13.823 trillion won. Due to the expansion of the Earned Income Tax Credit and R&D and investment tax credits, income tax and corporate tax are expected to decrease by 5.579 trillion won and 1.636 trillion won, respectively.Based on the burden of tax responsibility, the burden on low- and middle-income households is expected to decrease by 12.238 trillion won. The government classifies all workers earning up to 89 million won as low- and middle-income households. High-income earners will see an increase of 122.6 billion won, while small and large enterprises will see reductions of 79.1 billion won and 57.8 billion won, respectively.The burden on foreigners, non-residents, heirs, and public interest corporations in the 'other' category is expected to increase by 46.831 trillion won. This category also includes 11 trillion won worth of items transitioning from tax support to fiscal support.This year's tax reform plan will amend 11 laws, including the National Tax Basic Act, Income Tax Act, Corporate Tax Act, and Comprehensive Real Estate Tax Act. The government plans to submit the revised proposal to the National Assembly on September 3, following a legislative notice period from August 4 to 20.* This article has been translated by AI. 2026-08-03 18:04:00
  • Culture Ministry Addresses Casino Regulation Controversy
    Culture Ministry Addresses Casino Regulation Controversy The Ministry of Culture, Sports and Tourism has taken a firm stance against the collective backlash from the casino and tourism industries. Responding to claims that the increase in tourism fund burdens and the introduction of a five-year renewal permit system are excessive regulations, the ministry stated that many of these assertions are inaccurate and provided detailed explanations regarding the revenue-based tourism fund assessment and the purpose of the renewal permit system.On August 3, the ministry outlined the background for the tourism fund payment system and the push for the renewal permit system. Previously, 12 organizations from the tourism industry, including the casino sector, issued a joint statement urging the withdrawal of these measures, arguing that they would lead to reduced investment and diminished industry competitiveness.In this context, the ministry emphasized that assessing the tourism fund based on revenue is a common practice worldwide. Major casino-operating countries such as the United States, Singapore, Macau, and Japan also impose fees based on revenue rather than operating profit, as revenue more objectively reflects a company's ability to bear the burden. Additionally, the Constitutional Court ruled in 1999 that imposing fees based on total revenue does not violate the right to equality, deeming it constitutional.The ministry explained that the tourism fund is a public resource benefiting the entire tourism industry, encompassing 47 sectors, rather than specific casino operators. Funds contributed by casinos are utilized for marketing to attract foreign tourists, revitalizing local tourism, providing loans for tourism businesses, fostering tourism ventures, and training tourism personnel, thereby creating a virtuous cycle that promotes the growth of both the tourism and casino industries.It was also noted that the casino industry has grown with the support of the tourism fund. Casinos can receive loans for operational funds and receive extensive support for facility improvements, the introduction of new machines, overseas office operations, and advertising and promotional expenses. From 1998 to last year, there were 71 instances of operational fund loans provided to the casino industry, totaling approximately 91.5 billion won.The ministry refuted claims regarding the burden level, stating that the operating profit of major casino operators is calculated after deducting various operating costs, including tourism fund payments. The assertion that '50-80% of operating profit is paid as a tourism fund' was described as a misunderstanding of accounting concepts.Regarding the burden size due to the increase in tourism fund rates, the ministry indicated discrepancies with industry estimates. It is considering a plan to establish a high-revenue bracket where only the excess amount would be subject to a 15% rate, rather than applying a uniform 15% to the current 10%. Furthermore, since the tourism fund is assessed per casino establishment rather than by corporation, the actual burden may be lower. Specific progressive brackets will be finalized in consultation with industry and expert opinions during the upcoming amendment process.The ministry clarified that the renewal permit system is distinct from a 're-licensing' process that would involve selecting existing operators again. Instead, it serves as a mid-term evaluation to assess compliance with permit conditions and financial soundness at regular intervals, allowing businesses to continue operating if they meet the requirements. The ministry noted that periodic reviews of the casino industry are also conducted in major countries, and it is rare for casino operations to be licensed indefinitely without a validity period. A grace period will be established during the implementation process to protect the trust of existing operators.Additionally, the ministry provided further clarification regarding the regulatory level for foreign-only casinos. It stated that these casinos have been operating stably in a limited competitive environment and, unlike Kangwon Land, which allows domestic visitors, they are not subject to additional regulations such as closure funds, addiction prevention fees, entry taxes, or betting limits.* This article has been translated by AI. 2026-08-03 18:00:10
  • Ulsan Port Advances Eco-Friendly Ship Fuel Market with New Incentives
    Ulsan Port Advances Eco-Friendly Ship Fuel Market with New Incentives Ulsan Port has taken a significant step forward in securing actual demand for eco-friendly ship fuel following its supply demonstration. The Ulsan Port Authority announced on August 3 that it received applications for eco-friendly ship fuel supply incentives for four vessels, totaling 4,314 tons of LNG, during the month of July. This newly established program provides up to 10 million won per vessel for foreign cargo ships receiving eco-friendly fuels such as LNG, methanol, ammonia, and hydrogen at Ulsan Port in 2026. The Ulsan Port Authority aims to have a total of 10 participating vessels by the end of the year. The introduction of this incentive is significant as it connects Ulsan Port's ongoing efforts in eco-friendly ship fuel supply demonstrations to actual demand. In July 2023, Ulsan Port became the first in the world to supply 1,000 tons of green methanol to a container ship using the Pipe to Ship (PTS) method. In November of the same year, it successfully supplied methanol using the Ship to Ship (STS) method to a 16,200 TEU ultra-large container ship docked at the port for trial operations. From late January to early February 2024, Ulsan Port supplied 3,000 tons of green methanol to a 16,200 TEU ultra-large container ship preparing for commercial operations, marking the world's first STS bunkering case for methanol-powered container ships on long-haul routes. The variety of eco-friendly fuels is also expanding. According to the Ulsan Port Authority, a total of 21,114 tons of methanol were supplied at Ulsan Port from 2023 to May of this year. In 2024, 3,114 tons of LNG and 600 tons of ammonia were newly included in the supply records, along with 784 tons of methanol. Notably, in April, Ulsan Port became the first in the world to supply 600 tons of green ammonia to an ammonia-powered vessel using the PTS method at its main port's second terminal. This indicates a shift from a methanol-centric approach to include LNG and ammonia in eco-friendly ship fuel supply. If the 4,314 tons of LNG applied for incentives are successfully supplied, the scale of eco-friendly fuel supply is expected to increase further. Ulsan Port Authority President Byeon Jae-young stated, "Since the implementation of the incentive program, we have confirmed high interest from shipping companies in eco-friendly ship fuel. We will continue to actively support efforts to reduce the fuel conversion cost burden on shipping companies and establish Ulsan Port as a leading port in the next-generation eco-friendly ship fuel supply market."* This article has been translated by AI. 2026-08-03 18:00:00
  • Political Battle Continues Over Criminal Procedure Law Reform
    Political Battle Continues Over Criminal Procedure Law Reform Following the passage of a criminal procedure law amendment on July 31 that includes the abolition of supplementary investigation rights and the expansion of grounds for dismissing charges, political parties are engaged in a heated debate. On August 3, the Democratic Party held a national briefing on the amendment at the National Assembly, while the People Power Party convened an on-site meeting in front of the Blue House to rally public opinion.The Democratic Party asserted that the amendment decentralizes investigative and prosecutorial powers, institutionalizing checks and balances between the police and the prosecution. They claim this will create a fairer criminal justice system and provide adequate protections for victims.Han Byung-do, the acting leader of the Democratic Party, stated, "Prosecutors will focus on filing and maintaining charges, while investigations will be solely handled by investigative agencies. This prevents the passing of cases between agencies and enhances the protection of victims' rights."The party also announced the formation of a task force led by Kim Han-kyu, the deputy floor leader, to protect the rights of vulnerable groups. They plan to amend relevant laws by the end of the month to ensure that all cases involving seven major crimes against vulnerable populations, such as sexual violence and abuse of the elderly and children, are prosecuted.Additionally, they clarified that the proposed law is unrelated to the trial of President Lee Jae-myung. An acting leader criticized the People Power Party for dragging the president's trial into the debate, calling it an irresponsible political attack that incites public anxiety and attempts to reverse prosecutorial reform.Kim Seung-won, the ruling party's representative on the National Assembly's Legislation and Judiciary Committee, emphasized that everyone knows a sitting president cannot be tried while in office, stating, "No one could have imagined revising the law for something that will happen four years from now."In contrast, the People Power Party warned that the implementation of the amendment could undermine the judicial system and leave crime victims unprotected, reiterating their call for President Lee to exercise his veto power. They are also preparing additional measures, including a constitutional appeal.Jang Dong-hyuk, the party leader, stated at the on-site meeting, "When the amendment abolishing supplementary investigation rights was declared passed, it was a death sentence for the Republic of Korea. Despite widespread opposition from the legal community and the public, the Democratic Party insists it is a better law."He added, "Exercising the veto is not just a choice for the president; it is a mandate from the people and history. If he refuses, the voices demanding a retrial and impeachment will grow louder."The Reform Party also expressed opposition to the amendment, aligning with the People Power Party. They conducted an urgent opinion poll through a reform research institute, surveying 1,013 men and women aged 18 and older. The results showed that 59.6% believe President Lee should exercise his veto, while only 34.0% support enacting the law without a veto. Additionally, 64.0% of respondents believe the amendment will worsen conditions for criminal investigations. This poll was conducted using a 100% automated response system (ARS) with random digit dialing (RDD), and the margin of error is ±3.1 percentage points at a 95% confidence level.In this context, Lee Jun-seok, the leader of the Reform Party, remarked, "The conflict with the prosecution is a private matter for the Democratic Party, but the criminal justice system concerns all citizens. While the National Assembly passed the bill, the ultimate responsibility for not stopping it will fall on the president."* This article has been translated by AI. 2026-08-03 18:00:00
  • Jang Dong-hyuk Prepares Reform Plan for Party-Centered Politics
    Jang Dong-hyuk Prepares Reform Plan for 'Party-Centered' Politics Jang Dong-hyuk, leader of the People Power Party, is set to announce a reform plan aimed at creating a 'party-centered' organization by mid-August, coinciding with his one-year anniversary in office. Meanwhile, former independent lawmaker Han Dong-hoon and former lawmaker Yoo Seung-min are emphasizing the importance of 'the people' and 'bottom-up nominations' as a counter to Jang's approach. Concerns have been raised that Jang's focus on consolidating party control may alienate public sentiment.According to political sources on August 3, Jang is preparing a reform plan centered on party members. Chief Spokesperson Choi Bo-yun stated the day before, 'Jang plans to reveal his vision for the party around Liberation Day, and he is currently in the stage of conceptualizing how to operate the party.'Having consistently advocated for a party-centered approach, Jang is expected to increase the influence of party members in the nomination process. During the first meeting of the 'Elected Officials Evaluation Innovation Task Force' on July 28, Jang stated, 'The opinions of party members must be significantly reflected in the evaluation process of public officials.' He is also enhancing his control over the party by operating a special committee for organizational strengthening and conducting party audits.Political commentator Park Sang-byeong remarked in a phone interview with Aju Economy that 'the People Power Party is already a party-centered organization,' adding, 'While the Democratic Party moves in tandem with its members and the public, the People Power Party is going in the opposite direction.' He criticized Jang's preparation of the reform plan as a strategy to obscure genuine reform, suggesting it is a facade to solidify the position of the party leadership.Meanwhile, Han and Yoo are advocating for broader outreach and public sentiment reflection in the nomination process to secure victory in the upcoming general elections. They argue that Jang's focus on rallying hardline supporters neglects the need to actively engage moderate voters.Han proposed 'bottom-up nominations,' stating, 'The nomination rights should be returned to the people, not the party leader.' He expressed concerns on Facebook on August 1, saying, 'If one can seize party leadership regardless of public sentiment, it leads to arbitrary nominations that can dismiss even popular politicians. This fear has resulted in a 'zombie politics' where rational politicians succumb to extreme and irrational factions, damaging both parties.'Yoo emphasized the need for integration and innovation to expand the moderate voter base, stating, 'To win the general elections, the People Power Party must pursue a path of integration and innovation. Without uniting and innovating to win the hearts of moderates and conservatives, there is no hope for the next general election or presidential election.'* This article has been translated by AI. 2026-08-03 18:00:00
  • Drone scare costs Korean frontline chief post
    Drone scare costs Korean frontline chief post SEOUL, August 03 (AJP) - South Korea’s Defense Ministry on Monday relieved the commander of the Army’s I Corps from duty after the unit came under scrutiny over two separate controversies involving front-line readiness, including a near-miss incident in which a U.S. drone was mistaken for an unidentified aerial object. The ministry said Lt. Gen. Han Ki-sung, commander of I Corps, was removed from his post as an investigation continues into recent incidents involving the corps. The commander of the Army Training and Doctrine Command will serve as acting I Corps commander during the period, officials said. The move came after the Joint Chiefs of Staff found that a communication failure between South Korean and U.S. working-level officials led South Korean forces to prepare to intercept a U.S. military drone operating near the inter-Korean border in Paju, Gyeonggi Province, on July 30. According to the JCS inspection, the U.S. side notified an I Corps official of the drone flight plan by text message the previous day. The official reportedly replied that there were no restrictions but failed to report or share the information with superiors or related units. The official reportedly treated the flight as a routine low-altitude drone operation conducted as part of joint Marine exercises and did not consider it necessary to escalate the matter beyond the corps level. The drone, however, flew at a higher altitude than expected. South Korean forces then classified it as an unidentified aerial object and issued “Durumi,” an air defense posture for possible enemy drone threats. The military was preparing for a possible interception before the aircraft was confirmed to be a U.S. drone. A JCS official said the U.S. side also failed to follow the proper process. Under the rules, a flight plan should be submitted in advance through official documents and approved by either the Air Force Operations Command or the Ground Operations Command. In this case, however, the plan was shared only through text messages between working-level officials a day before the flight. I Corps was also under scrutiny over a separate controversy involving guard duty along the western front. Since early this year, the corps had reportedly ordered troops at front-line guard posts and general outposts not to keep live rounds loaded in crew-served weapons, including K4 automatic grenade launchers and K6 heavy machine guns. The ammunition was instead kept in boxes nearby. The change was reportedly aimed at preventing accidental discharges, but critics said it could undermine readiness in a sensitive border area that serves as a key approach route to Seoul. The JCS was not informed of the change, even though front-line guard operations generally require weapons to be loaded with live ammunition. I Corps reportedly notified only the Ground Operations Command, its higher command, and kept the practice in place for about six months. 2026-08-03 17:58:00
  • KOSPI Plummets Over 5%, Retreats Below 6200
    KOSPI Plummets Over 5%, Retreats Below 6200 The KOSPI index fell more than 5% on August 3, dropping below the 6200 mark. This decline followed a 17.9% surge on July 31, which prompted profit-taking, particularly among foreign investors.According to the Korea Exchange, the KOSPI closed at 6257.45, down 338.00 points (-5.12%) from the previous trading day. This loss represents about one-third of the gains made on July 31, when the index soared by 1001.89 points (17.91%) to reach 6595.45.On the supply and demand front, individual investors showed notable buying interest at lower prices, purchasing a net 4.6531 trillion won in the stock market. In contrast, foreign and institutional investors sold a net 2.8429 trillion won and 1.9477 trillion won, respectively, contributing to the index's decline. Major semiconductor stocks, including Samsung Electronics (-8.76%) and SK Hynix (-8.79%), led the drop in the KOSPI.Market analysts predict that the KOSPI will continue to experience a rollercoaster-like trend in the near term. The index has fallen approximately 31% from its peak of 9114.55 recorded on June 22, amid extreme volatility.However, many in the financial sector believe that this sharp decline is more reflective of deteriorating investor sentiment and supply-demand issues rather than corporate performance or economic conditions. Lee Kyung-min, a researcher at Daishin Securities, stated, “Concerns about the AI and semiconductor sectors are easing with the upcoming earnings reports from big tech companies, and significant progress has been made in reducing credit balances and liquidating leverage. Currently, the KOSPI is in an undervalued zone, excessively reflecting fear, making a strategy to increase holdings effective around the 6000 level.”Global investment bank Morgan Stanley also upgraded its investment outlook for the Korean stock market to 'Overweight' on the same day. The firm assessed the recent sell-off as driven by technical supply factors, such as leverage liquidation, rather than fundamental deterioration, and projected that the KOSPI could recover to the 9000 level in the future.* This article has been translated by AI. 2026-08-03 17:56:20