Latest by
-
Naver CEO joins UN Global Compact board SEOUL, September 18 (AJP) - Naver Chief Executive Choi Soo-yeon has been appointed to the board of the United Nations Global Compact, becoming the first Korean to join the sustainability initiative's governing body in 17 years, the Korean internet giant said Thursday. The appointment recognizes Choi's pioneering role in shaping international discourse on artificial intelligence governance and establishing ethical frameworks for AI development across the technology sector, it said. Choi will serve a three-year term on the board of the world's largest corporate sustainability initiative. The UN Global Compact, which encompasses about 25,000 companies and institutions across 167 countries, promotes responsible business practices through ten principles spanning human rights, labor, environment and anti-corruption. The organization has guided corporate sustainability efforts since its establishment in July 2000. "Choi Soo-yeon brings deep expertise on how digital companies can create value and scale globally while upholding principles on responsible and sustainable business," said Sanda Ojiambo, the UN Global Compact's Executive Director. "We look forward to her participation on our Board as we mobilize business to deliver the Sustainable Development Goals." Choi spearheaded critical AI safety initiatives this year, including unveiling an AI Safety Framework in June to identify and manage potential risks throughout AI systems' lifecycles. She also participated in February's AI Action Summit in Paris, where she articulated her vision for securing diversity in the digital ecosystem alongside global technology leaders. Choi will attend her first board meeting as a new director at UN headquarters in New York on Friday (local time), where she is expected to advance cross-border discussions on building secure and trustworthy AI governance frameworks. 2025-09-18 10:06:30 -
Fed rate cut opens door for Bank of Korea to loosen policy SEOUL, September 18 (AJP) - The Bank of Korea is widely expected to cut its benchmark interest rate as early as next month, after the U.S. Federal Reserve lowered borrowing costs for the first time in nine months, easing pressure on Korea’s currency and capital markets. The Fed’s decision on Wednesday (local time) to trim its policy rate by 0.25 percentage points to a range of 4 to 4.25 percent narrowed the gap with South Korea’s rate from a record 2 percentage points to 1.75. That reduction has given the BOK more space to address domestic economic challenges, which include sluggish growth, weak consumption and mounting financial risks. “If the U.S. rate cut is implemented and foreign exchange market volatility eases, we will have more room to focus on domestic conditions,” BOK Deputy Governor Park Jong-woo said in a recent monetary policy briefing. South Korea’s economy, Asia’s fourth-largest, has been struggling to regain momentum amid soft exports, tepid domestic demand and a prolonged slump in consumer sentiment. A prolonged downturn in the semiconductor cycle — the country’s top export driver — has further weighed on business investment and household income. Adding to the pressure, private consumption has stagnated under the weight of high borrowing costs and record household debt. Analysts say this backdrop makes a rate cut at the BOK’s Oct. 19 meeting increasingly likely. “From a growth perspective, we also need to lower our rates,” said Joo Won, an economist at the Hyundai Research Institute, predicting an October move. An Jae-gyun, a senior researcher at Korea Investment & Securities, argued that a rate cut paired with government fiscal stimulus would amplify the impact of spending. Still, policymakers face a delicate balancing act. South Korea’s housing market has defied tighter financial conditions, with Seoul home prices continuing to climb and speculative demand showing signs of revival. A rate cut could stoke further borrowing and worsen financial vulnerabilities. “As the upward trend and expectations for further rises in Seoul’s housing prices are still significant, it is necessary to decide on the timing of an additional rate cut after examining the effects on housing price expectations,” BOK board member Lee Su-hyung cautioned in a report last week. 2025-09-18 09:40:45 -
Belgium highlights business opportunities with S. Korea on biotech, life science innovation SEOUL, September 17 (AJP) - Belgium and South Korea spotlighted cooperative spirits in joining hands on life sciences during a business forum held Wednesday at the Shilla Seoul in the Jung District. Around 70 diplomats, business leaders, and special guests attended the seminar. Both Belgium Deputy Prime Minister and Minister of Employment, Economy and Agriculture David Clarinval and Deputy Prime Minister and Minister of Foreign Affairs, European Affairs and Development Cooperation Maxime Prévot stressed the importance of economic relations with South Korea. "Belgium is a trustworthy and reliable economic partner, committed to long-term, transparent collaboration," said Deputy Prime Minister David Clarinval, recalling his meeting with his South Korean counterpart Koo Yun-cheol earlier today. "We come with no hidden agendas – only a sincere desire to build mutually beneficial partnerships. This commitment opens the door to joint initiatives in key sectors such as life sciences and biotechnology." Investing more than 3 percent of GDP on research, Belgium stands as a long-time biotech powerhouse of Europe. The bilingual nation continues its growth in biotech, listing in March 2024 that its biotech companies reached a combined market capitalization of €66.8 billion, a 42.7 percent increase year-on-year. “Our country boasts thriving clusters of excellence in biopharma, nuclear medicine, vaccines, green chemistry, and more. These hubs of innovation are supported by strong academic institutions, cutting-edge research, and a collaborative ecosystem that fosters breakthroughs and accelerates delivery to global markets,” said Deputy Prime Minister Maxime Prévot. Deputy Minister Maxime Prévot reminded the audience that 2026 is the 125th year the two nations celebrate diplomatic relations; a partnership strengthened by military cooperation during the Korean War in the 1950s. The event also showcased Belgium's strength in biotech sectors spurring from academic excellence to science parks dedicated to biomedical research and powered by quantum computing, respectively representing the northern Dutch-speaking Flanders, the southern French-speaking Wallonia, and the capital region of Brussels. Hwang Su-jin, general manager of UCB Korea, the Korean branch of the Belgian pharma giant, congratulated the bilateral cooperation as the final speaker. 2025-09-17 22:23:57 -
S.Korean firms hold off action after ICE detentions SEOUL, September 17 (AJP) - South Korean major companies with multibillion-dollar ventures in the United States are biding their time or adopting stopgap measures as they assess the fallout from the immigration raid at a Korean battery plant in Georgia. LG Energy Solution has suspended the final-stage construction of a $6 billion joint-venture battery plant with Hyundai Motor following the surprise raid by the Immigration and Customs Enforcement and arrest of 475 workers. The battery maker is exploring remote oversight as a temporary alternative. "If we could do things remotely, we would not have had to send workers (despite visa issues). We are discussing with partner companies whether some tasks could be handled through remote supervision," a company official said. Of the 317 detained Korean workers, 170 entered under the visa waiver program (ESTA) and 146 on short-term business or tourist visas (B1/B2). One had a valid employment authorization document (EAD), but was arrested nonetheless. "Work (at the site) is on hold until the U.S. and Korean governments give clear guidance (on permits). We are waiting for the U.S. government’s instruction to resume operations," the official said. The visa turmoil is reverberating across other Korean projects in the U.S. Samsung Electronics’ chip division is building a foundry in Texas worth 50 trillion won ($37 billion). Hyundai Motor Group is investing 6.7 trillion won ($5 billion) with SK On in a battery plant in Bartow County, Georgia. Hanwha Solutions is building a solar module plant in Georgia worth 3.1 trillion won ($2.3 billion). Hyundai Motor has instructed employees to put off business trips to the U.S. until further notice. "There are too many different types of business trips to apply one blanket rule, so we are monitoring the situation closely. For now, we expect the construction to be delayed by about two to three months," a company official said. Hanwha Solutions likewise said it is holding off U.S. trave and project acceleration until visa uncertainties are lifted. 2025-09-17 21:07:06 -
School violence cases hit record high in South Korea SEOUL, September 17 (AJP) - Bullying and violence in South Korean schools have worsened despite tougher discipline and prevention efforts, with reported cases now affecting 5 percent of elementary school students, a government survey showed. Of the 3.26 million students from fourth grade through high school, 2.5 percent said they experienced school violence this year, up 0.4 percentage points from last year, according to the Education Ministry. The figure has steadily risen from 1.1 percent in 2021 to 1.7 percent in 2022, 1.9 percent in 2023, and 2.1 percent in 2025. The problem is most acute in elementary schools, where 5 percent reported violence — the highest since the survey began in 2013 — compared with 2.1 percent in middle schools and 0.7 percent in high schools. “My child woke up at night for several days,” said Park, the father of a 9-year-old boy assaulted by peers. “Teachers need more authority to intervene early and impose meaningful consequences,” he said, requesting anonymity. Despite years of anti-bullying campaigns and zero-tolerance policies, the rise of cyberbullying has made oversight harder. Lee Soo-jung, a criminal psychology professor at Kyonggi University, said online harassment has “explosively increased” as students weaponize social media and videos to intimidate classmates. “The nature of school violence has changed — whereas physical abuse was more common before, online bullying is now much more prevalent,” she said. Education officials are reviewing prevention strategies as they struggle to tackle violence in one of the world’s most academically demanding school systems. 2025-09-17 18:31:42 -
POSCO has eyes on HMM despite industry backlash and synergy doubts SEOUL, September 17 (AJP) - South Korea’s POSCO Group remains committed to pursuing the country’s sea flag carrier HMM, despite fierce competition for the asset and vocal protests from the maritime industry. POSCO has been reviewing the option of going after state-owned stake in HMM in hopes to cut logistics costs and strengthen resilience against global supply chain disruptions. HMM, formerly Hyundai Merchant Marine, absorbed assets and the Asia–U.S. East Coast route of Hanjin Shipping after the latter collapsed. It is 36.02 percent owned by the Korea Development Bank (KDB) and 35.6 percent by the Korea Ocean Business Corporation (KOBC). Their combined stake will shrink slightly above 30 percent once a 2.2 trillion won stock buyback wraps up this month. The government plans to relaunch a competitive auction afterward, after a 2023 attempt to sell KDB’s 7 trillion won stake to Harim Group collapsed. POSCO Holdings said it is assessing whether the deal can deliver sustainable growth and strategic synergies. Other potential bidders include Harim Group, along with former owners HD Hyundai and Hanjin Group. Valued at about 23–24 trillion won, HMM has staged a recovery thanks to improving trade conditions. "Few can now afford HMM in the privatization process," said one company official, welcoming POSCO’s entry into the race. POSCO already has a lot on its plate. Its steel business is under strain from Chinese dumping, sluggish domestic demand, and higher U.S. tariffs, while its battery materials division has been hit by an electric vehicle slowdown. The group argues that acquiring HMM could save it around 3 trillion won annually in logistics costs for importing coal, iron ore, and battery ingredients, while providing a hedge against supply chain risks. HMM itself reported an “earnings shock” in the second quarter, with operating profit plunging 64 percent year-on-year to 233.2 billion won. Its rivals are guardedly watching POSCO's bid. The Korea Shipowners' Association warned on Sept. 11 that HMM could be reduced to "a subsidiary for POSCO’s in-house cargo transport" instead of competing as a global carrier. "HMM, which the government and industry have painstakingly revived through the five-year shipping reconstruction plan, could again be at risk if the steel industry falters," the association said. Maritime experts echoed caution. "HMM's main vessels are container ships, fleets that must operate even with little cargo. Shipping follows cyclical swings, and it is doubtful whether shareholders of a private industrial group like POSCO will accept the sector's volatility," said Jang Woon-jae, professor of maritime transportation science at Mokpo National University. At the same time, he noted that HMM’s growing pivot toward bulk shipping, which specializes in iron ore and coal, does align strategically with POSCO's raw material needs. Should the deal go through, analysts say the onus will be on POSCO to craft a credible blueprint that reassures the market and addresses concerns over industrial dominance. 2025-09-17 17:16:59 -
Korean traditional medicine to broaden footprint in Middle East SEOUL, September 17 (AJP) - Korean traditional medicine has gained a new foothold in the global healthcare market, with the United Arab Emirates becoming the first country in the Middle East to formally recognize it as a distinct medicine. In April, the UAE introduced licensing requirements for Korean medicine practitioners as a part of efforts to realign its healthcare system with emphasis on expanding the role of traditional medicine, or the complementary and alternative medicine (CAM). Unlike most countries, Abu Dhabi specifies CAM by country rather than grouping it under broad labels such as Asian or Eastern medicine. In June, its Department of Health incorporated the name, definition, and scope of Korean medicine into official regulations, making it the third country after China and India. According to global research firm Grand View Research, the UAE's CAM market was valued at $2.78 billion in 2024 and is projected to grow at a compound annual growth rate (CAGR) of 25.4 percent through 2030. Traditional practices such as Hijama (cupping), herbal remedies, and Ayurveda have long been part of the Muslim cultural heritage. The government has been eager to incorporate traditional therapies in the modern healthcare system. "The UAE is trying to expand its traditional medicine industry and the recognition of Korean medicine is part of the effort. The people there are already familiar with cupping therapy similar to Koreans," observed a researcher of the National Institute for Korean Medicine Development (NIKOM). Rising modern-day stress has also spurred demand for traditional calming therapies. According to a report in March by U.K.-based BioMed Central (BMC), the UAE records about 24,000 mental health cases annually, with depression and anxiety the most common. Growing "medication fatigue" among patients dependent on long-term pharmaceuticals has driven many toward holistic approaches. Yoga, herbal nutrition, meditation, and mindfulness are popular among millennials and Gen Z, who are more receptive to non-invasive, wellness-oriented solutions. Moreover, the people of the UAE have long been accustomed to Korean traditional medicine and culture through immensely popular epic dramas such as "Jewel in the Palace." The UAE's recognition validates the credibility in Korean medicine, said Jeong Young-hoon, director of Korean Medicine Policy at the Ministry of Health and Welfare. "This institutionalization marks a critical turning point for the Korean medicine industry and professionals seeking to expand into the Middle East. We will continue to actively support the global spread of traditional medicine through cooperation with the UAE and beyond," he noted. 2025-09-17 17:16:01 -
Georgia raid may foil Korean investment and ties: US senator SEOUL, September 17 (AJP) - Despite the stream of damage-control statements from Washington, the recent massive immigration raid at a South Korean battery plant in Georgia has rattled economic cooperation and investment prospects with Seoul, argued a U.S. Democratic senator. Senator Chris Van Hollen, representing Maryland, said in an e-mail interview with AJP on Tuesday that the Georgia raid threatened "our strong relationship with South Korea and the prospect of future investments" in U.S. domestic manufacturing. The lawmaker added that Trump's immigration policy "clearly isn't focused on 'the worst of the worst,' or any sort of targeted approach" that America could support. The raid exposed “broken immigration system and the need for sane, fair immigration policies that keep our communities safe and support economic opportunity." "Trump has done nothing to achieve those goals,” he added. The surprise crackdown on the Georgia facility under construction by Hyundai Motor and LG Energy Solution led to arrests and a weeklong detention of 475 workers, mostly hired by the top Korean battery maker. The incident has unsettled Korean businesses that have poured billions of dollars into U.S. projects spanning from batteries and semiconductors to shipbuilding and automobiles. Some are reviewing potential risks and alternative sites such as Mexico or Canada. The operation of the Georgia EV battery plant is expected to be delayed to 2026 instead of 2025 due to a hiccup in the construction process. South Korean President Lee Jae Myung, in the press conference marking his 100th day in office, mused that the incident could have "a significant impact on future direct investment in the U.S. under the current circumstances, our companies may be very reluctant to expand their investments in America," he said. Seoul has taken a cautious stance in signing a trade deal with Washington, even as the U.S. warned that the tariff rate on Korean imports could be spiked to 25 percent instead of 15 percent in the aftermath of the Georgia raid. It was the largest single-site workplace raid in U.S. history conducted by the Department of Homeland Security. Following government-led negotiations between Seoul and Washington, the 317 South Koreans were released after a week in detention. One individual chose to remain in the U.S. for family reasons, while the rest returned home last Friday on a chartered flight. Those who returned have alleged human rights violations during their detention. A detainee’s diary described how they were denied Miranda rights and due process. Some were reportedly carrying business visas, which allow temporary stays for training or equipment setup, raising questions about whether the arrests were justified. South Korea's presidential office said Monday the government, together with the companies employing the detainees, is conducting a closer review of whether the rights of its citizens were violated. Trump appeared to indirectly address the controversy raid on Sunday on social media platform Truth Social, writing he did not want to "frighten off or disincentivize investment into America by outside countries or companies." He added that foreign firms bringing complex projects to the U.S. should be able to bring in experts temporarily "to teach and train our people" before returning home. U.S. Deputy Secretary of State Christopher Landau also expressed "deep regret" over the detentions and pledged steps to prevent a repeat. He emphasized that those released would face no penalties when reentering the U.S. Based on the allegations of mistreatment, some returnees are now considering taking legal action against U.S. immigration authorities for what they called unlawful detention procedures and excessive force. According to Han Jeong-ae, a lawmaker with South Korea's Democratic Party, of the 317 nationals detained, 170 had entered on ESTA travel waivers, 146 on B-1 or B-2 visas, and one held an employment authorization document (EAD). 2025-09-17 16:23:50 -
Trump to visit South Korea next month for APEC summit, US envoy says SEOUL, September 17 (AJP) - U.S. President Donald Trump is expected to visit South Korea next month for the Asia-Pacific Economic Cooperation (APEC) summit, a U.S. envoy said on Wednesday. At a conference in central Seoul, Acting U.S. Ambassador to South Korea Joseph Yun said Trump will attend the multilateral gathering scheduled for Oct. 31 to Nov. 1 in the historic city of Gyeongju. Stressing the strong alliance between the two countries, Yun expressed expectations for another meeting between Trump and South Korean President Lee Jae Myung on the sidelines of the APEC summit, following their "successful" talks in Washington last month. But uncertainties still remain over whether Trump will make another trip to Seoul, even as pundits here are already speculating that some developments involving North Korea could emerge. Trump has repeatedly boasted of his close relationship with North Korean leader Kim Jong-un, while the Lee administration has made conciliatory moves to engage with Pyongyang. These could create opportunities for high-level summits or breakthroughs in talks that might reshape inter-Korean relations and broader regional security. 2025-09-17 16:21:47 -
Ex-foreign minister poised to take up role as new envoy to US SEOUL, September 17 (AJP) - Former Foreign Minister Kang Kyung-wha is soon expected to officially assume her post as South Korea's ambassador to the U.S. National Security Adviser Wi Sung-lac said on Wednesday that Washington has completed its agrément procedures for her appointment. Kang served as the country's first female foreign minister under former President Moon Jae-in, working with top U.S. officials during U.S. President Donald Trump's first term from 2017 to 2021. She also served as a senior adviser at the United Nations (UN) and also headed New York-based think tank Asia Society, which fosters relations between the U.S. and Asian countries. Kang, who accompanied President Lee Jae-myung to Washington last month for his first summit with Trump, is expected to join him again at the UN General Assembly's annual high-level session in New York next week, where world leaders will gather. 2025-09-17 15:18:31