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South Korea launches task force to fast-track offshore wind projects SEOUL, September 10 (AJP) - The South Korean government has launched a new task force aimed at accelerating the deployment of offshore wind power, a strategic move to boost energy security and support the nation's growing, AI-driven economy. The pan-government task force, led by the Ministry of Trade, Industry and Energy, held its first meeting on Wednesday, bringing together various ministries to address major bottlenecks hampering projects, including complex permitting processes, insufficient infrastructure, and financing challenges. The initiative comes as President Lee Jae Myung's administration pushes to build a "West Coast Energy Highway" by 2030, a project first proposed by Lee during his campaign. The initial plan aims to deliver 14 gigawatts of offshore wind capacity from the country's southwest coast, a scaled-down target from a previously envisioned 20 gigawatts. The project is estimated to cost around 100 trillion won ($72 billion) in public and private investment. "All experts are saying that now is the last golden time to activate domestic offshore wind," Vice Trade Minister Lee Ho-hyeon said during the meeting. "To avoid missing this opportunity, all relevant ministries will work as one team." South Korea is surrounded by water on three sides, and offshore wind is seen as a crucial pathway to achieving the country's carbon neutrality goals and generating significant economic ripple effects in related industries, such as shipbuilding and steel. 2025-09-10 16:36:30 -
KOSPI hits record high on hopes of US rate cuts, tax relief SEOUL, September 10 (AJP) - South Korea’s benchmark KOSPI index closed at a record high on Wednesday, lifted by heavy foreign and institutional buying amid optimism about potential U.S. interest rate cuts and speculation that the government may ease capital gains taxes for large shareholders. The KOSPI gained 54.48 points, or 1.7 percent, to finish at 3,314.53, surpassing the previous record set more than four years ago. Foreign investors led the rally, with net purchases of 1.38 trillion won (about $1 billion). Analysts said the rally reflected improved sentiment after robust U.S. employment data, along with growing hopes that Korean policymakers will act to ease investor concerns over tax policy. Market headwinds that weighed earlier this year — from a hawkish monetary stance by the U.S. Federal Reserve to disappointment over tax reform and fears of an AI bubble — appear to be fading, they said. Among blue chips, KB Financial posted the sharpest rise, climbing 7 percent to 117,600 won. Chipmaker SK hynix advanced 5.6 percent to 304,000 won, while market bellwether Samsung Electronics gained 1.5 percent to 72,600 won. The KOSDAQ, the country’s secondary tech-heavy index, also rose, adding 0.99 percent to close at 833. 2025-09-10 16:32:14 -
South Korea launches AI push in robotics, self-driving cars SEOUL, September 10 (AJP) - South Korea unveiled an ambitious plan on Wednesday to transform its manufacturing sector through artificial intelligence, launching a project that brings together more than 1,000 companies, universities and research institutions. The initiative, led by the Ministry of Trade, Industry and Energy, aims to bridge what officials call a weak link in the country’s industrial base: the lack of collaboration between manufacturers and fast-growing AI firms. “Our goal is to build an AI-powered manufacturing powerhouse that generates over 100 trillion won in added value by 2030,” Trade Minister Kim Jung-kwan said at the launch ceremony in Seoul. “AI is already transforming every aspect of our daily lives. Especially, Physical AI has become the new battleground in the global economic war.” The government has outlined 10 alliances under the plan, seven focused on so-called Physical AI — machines capable of perceiving, judging and acting independently — and three targeting manufacturing and services. One flagship effort centers on autonomous driving. The government intends to develop software-defined vehicle platforms by 2028 and begin mass production of fully autonomous cars by 2030. To support that timeline, it will invest 1 trillion won (about $722 million) over the next five years in automotive semiconductors, driving simulators and core component technologies. Another focus is humanoid robotics. A coalition of 224 institutions, including major companies and universities, will work to build foundation models for general-purpose robots, while developing localized hardware and components. The government hopes to establish a system capable of producing more than 1,000 humanoid units annually by 2029. The government also plans to apply artificial intelligence to industrial operations, with a goal of deploying 500 AI-enabled factories by 2030. Key players such as Hyundai Motor, Kia, LG Electronics and steelmaker POSCO will collaborate with AI companies and academic researchers to create sector-specific models by 2028. 2025-09-10 16:16:03 -
Chinese firms challenge Coupang's grip on Korea's e-commerce market SEOUL, September 10 (AJP) - Coupang, South Korea’s homegrown e-commerce champion, has turned profitable and doubled its sales in recent years. But its dominance faces a new test: the rapid advance of Chinese discount platforms offering rock-bottom prices and building out local logistics networks. AliExpress, owned by Alibaba, and Pinduoduo’s Temu have surged in popularity among Korean consumers drawn to their ultra-low prices. AliExpress now counts nearly 10 million monthly active users in Korea, second only to Coupang’s 32 million. “Chinese e-commerce firms are following suit in Korea by building their own supply chains, starting with logistics centers,” Ko Yun-seung, a professor of online commerce at Seoul Cyber University, told AJP. “What matters now is how quickly they can deliver products in each region.” For now, Coupang still leads with a 22.7 percent share of Korea’s online retail market, edging out Naver at 20.7 percent. The company generated 23.5 trillion won ($17 billion) in transactions in the first half of 2025, up 158 percent from four years earlier. It also posted an operating profit of 443 billion won, reversing years of heavy losses. But Chinese entrants are reshaping the battlefield. Long defined by speed — with same-day and even one-hour delivery services pioneered by Coupang and its domestic rivals — Korea’s e-commerce war is now also about price. Wages in China’s interior cities remain far lower than in Korea, giving Temu and AliExpress cost advantages that Korean firms cannot easily match. “The main threat is price — nothing else,” Professor Ko said. “Korean companies can’t compete with Chinese labor costs.” Korean platforms are instead doubling down on their traditional strengths: rapid fulfillment and high-touch service. Coupang in August expanded its one-hour delivery pilot in Seoul, while Naver, CJ OnStyle and discount chain Daiso have all rolled out competing express services. Industry analysts expect more alliances as local firms try to pool resources to offset cost disadvantages. 2025-09-10 16:02:24 -
Korean e-commerce companies forge alliances to counter Chinese rivals SEOUL, September 10 (AJP) - South Korea’s e-commerce industry is shifting from cutthroat rivalry to strategic cooperation as domestic players seek to blunt the advance of low-cost Chinese platforms. Naver, the country’s dominant search engine, and Market Kurly, a premium fresh-grocery delivery service, recently unveiled “Kurly N-Mart" joint project. The venture links Naver’s platform with Kurly’s logistics network and offers free overnight delivery to Naver's members on purchases over 20,000 won, or about $15. It marks Kurly’s first major alliance with another Korean e-commerce company. The move follows Shinsegae Group’s announcement late last year of a 50-50 joint venture with Alibaba Group. The partnership, Grand Opus Holdings, folds Gmarket and AliExpress Korea into a single operation valued at roughly 6 trillion won ($4.1 billion). Shinsegae contributed most of its Gmarket stake, while Alibaba invested 300 billion won ($203 million) in cash. Such alliances come as Chinese firms Temu and AliExpress rapidly gain ground. Together, they recorded an estimated 4.3 trillion won in transaction volume in Korea last year, up 85 percent from 2023. Globally, Temu reached $70.8 billion in gross merchandise value in 2024 and counts 292 million monthly users. In Korea, AliExpress alone had nearly 9.7 million monthly users in November, second only to Coupang’s 32.2 million. “Neither Naver Shopping nor Market Kurly are market leaders,” Prof. Park Jung-eun, who is teaching e-commerce at Ewha Womans University, told AJP. “With Coupang firmly in first place, other major players are turning to alliances to shore up their positions.” Coupang, often compared to Amazon, controls nearly 40 percent of the market, followed by Naver at 27 percent and Gmarket at 7 percent. Coupang generated about 40 trillion won in sales last year; Naver’s commerce business reported more than 50 trillion won in merchandise value. The biggest threat from Chinese competitors is price, analysts say. Temu and AliExpress benefit from far lower production costs in China’s inland regions, where wages are a fraction of those in Korea. By contrast, Korean companies continue to emphasize speed and service. Kurly, Shinsegae’s SSG.com and others pioneered “dawn delivery,” which guarantees groceries by morning if ordered the previous evening. “China wins on cost. Korea wins on service,” Park said. “The question is how far Korean companies can push quality differentiation when price wars are not sustainable.” Pooling resources also allows Korean platforms to cut costs and broaden offerings. Combined sourcing reduces per-unit expenses while partnerships expand product variety. Yet challenges remain. Online luxury retailing has yet to take hold in Korea, limiting premiumization strategies that might help local firms escape the price trap. The country’s fast-paced consumer culture adds another wrinkle. The trait can amplify both opportunities and risks: new trends spread quickly, but missteps are punished just as fast. For Alibaba, teaming up with Shinsegae offers more than market share. The Chinese company gains an image boost through its Korean partner and access to Gmarket’s 600,000 sellers, potentially diversifying its sourcing base. Industry observers say further consolidation is likely as Korean firms try to fortify themselves against global entrants. “The market will polarize,” Prof. Park predicted. “Chinese brands will dominate the ultra-low-cost segment, while Korean platforms must double down on premium services, delivery speed and quality to survive.” 2025-09-10 15:49:33 -
Iranian Embassy in Seoul showcases culture through music, history and dialogue SEOUL, September 10 (AJP) - The Embassy of the Islamic Republic of Iran in Seoul hosted a cultural event on September 9, presenting Iran's history, arts, and traditions to South Korean guests through presentations, music, and dialogue. Dr. Fatemeh Yousefi opened by placing Iran geographically and historically at the crossroads of Asia. She said, "Iran has more than seven thousand years of history and civilization," pointing to UNESCO-listed sites such as Persepolis and Pasargadae. Her presentation highlighted notable heritage landmarks such as the citadel of Arg-e Bam, Persepolis and the tomb of Cyrus the Great. She also introduced Iran's natural diversity from the Caspian Hyrcanian forests to Mount Damavand and the Lut Desert. She described intangible traditions like Nowruz and Yalda, and spoke of sports, art, and cultural heritage numbering "29 world cultural heritage sites and 26 intangible heritage elements." Music was an important part of the program. A santur master performed on the hammered dulcimer, followed by a setar performance on the traditional Persian string instrument. A Persian calligrapher was also on hand to compose custom inscriptions for attendees. Hamideh Amini, Third Secretary for Public Diplomacy, offered a defining message. "Culture is the strongest way to connect us to our origins and to one another," she said. She explained that the event was named "A Window to Iran" to provide a glimpse of the country's cultural depth. "It is impossible to present all of Iran's heritage in one hour, but even showing a small piece of the vast ocean has meaning," she said. During a question-and-answer session, she was asked how South Koreans and Iranians might become closer at the grassroots level. "In Iran, people know Korea well and have a positive image, but here in Korea, Iranian culture is less familiar. With more effort through cultural exchange, that can change," she said. When pressed to name one specific field, she identified cinema. "Iran has many internationally recognized directors, and cooperation in cinema would be a very good way to bring our peoples closer." The program also highlighted the long history of Korea-Iran relations. UNESCO notes that Gyeongju, the ancient capital of Silla, was a hub of the Silk Roads, with Persian goods arriving via coastal and overland routes as early as the seventh century. Archeological artifacts such as a Silla-era dagger and sheath believed to originate from Persia confirm these long-standing exchanges. In modern times, South Korea and Iran have maintained diplomatic and economic ties since relations were established in 1962. Despite sanctions and regional tensions, trade continues. According to the Tehran Times, South Korean exports to Iran reached about 56 million dollars in the first four months of 2025, including copper concentrate and petrochemicals. 2025-09-10 14:23:27 -
OpenAI opens office in South Korea, its largest market in Asia-Pacific SEOUL, September 10 (AJP) - OpenAI, the San Francisco artificial intelligence company behind ChatGPT, has opened an office in Seoul, its third in Asia and 12th worldwide. “Our mission is to ensure that artificial general intelligence benefits all of humanity,” Jason Kwon, OpenAI’s chief strategy officer, said at a press briefing in Seoul, Wednesday. “We can’t achieve that mission unless we are partnering closely with countries like Korea.” South Korea, he noted, offers a unique combination of advanced infrastructure, globally competitive technology companies and early adopters eager to embrace new tools. “Korea has long been recognized as a global technology powerhouse,” Kwon said. OpenAI’s user base in South Korea has grown rapidly. Weekly ChatGPT users have quadrupled over the past year, the company said, while paid subscriptions have more than tripled, making Korea its largest market in the Asia-Pacific region. The company said it hopes to position itself as a “trusted partner” for Korea’s AI transformation by working with local industries, universities and government agencies. In February, OpenAI announced a strategic partnership with Kakao, the country’s leading internet company. The U.S. firm said it was preparing to integrate ChatGPT across Kakao’s digital ecosystem. Beyond the tech sector, OpenAI said it is collaborating with Korean companies in industries ranging from construction and electronics to finance, travel, gaming and entertainment. The company is also moving to deepen ties with academia. On Sept. 11, it signed a memorandum of understanding with Seoul National University, with plans to expand research collaborations with other institutions. “Our presence here isn’t just about reaching more users,” Kwon said. “It’s part of our goal to become a true partner for Korea’s AI transformation.” 2025-09-10 14:19:15 -
PHOTOS: Welcome mat for Chinese tourists SEOUL, September 10 (AJP) - South Korea is rolling out the welcome mat for Chinese tourists, announcing visa-free entry for tour groups of three or more people starting September 29. The move, announced on Sept. 7, aims to capitalize on the upcoming influx of visitors, particularly during China's "Golden Week" holiday in October. The announcement has sent a clear signal to the domestic retail industry, which is now in a race to prepare for the expected surge. Businesses are anticipating a much-needed boost, with analysts projecting the visa exemption will revitalize the tourism sector and inject new life into the local economy. 2025-09-10 11:00:04 -
South Korea maintains top spot in higher education among OECD countries SEOUL, September 9 (AJP) - More than half of South Koreans hold college or higher degrees, according to a report released by the Ministry of Education on Tuesday. About 56.2 percent of adults aged 25 to 64 in the country had completed higher education, maintaining the top spot for 17 consecutive years among the 38 member countries of the Organization for Economic Cooperation and Development (OECD), whose average stood at 41.9 percent. The gap becomes even more pronounced among those aged 25 to 34, with the rate reaching 70.6 percent, the highest among OECD members and 11 other countries surveyed. Canada came in second at 68.86 percent, followed by Ireland at 66.19 percent. Although South Korea has been among the top-ranked countries in terms of the proportion of university graduates since 2008, many of them struggle to find jobs, suggesting that higher education increasingly fails to pay off and that the skills of advanced-degree holders are being wasted. Meanwhile, educational spending per student amounted to $19,805 as of 2022, up 24.9 percent from the previous year, slightly above the OECD average of $15,023. The figure includes all expenditures on education by the government and private sectors, excluding what parents spend on private crammers for their children. 2025-09-09 17:53:00 -
Hyundai Motor unveils compact electric concept car SEOUL, September 09 (AJP) - Hyundai Motor Company introduced its first compact electric vehicle concept under its Ioniq brand on Tuesday, signaling the automaker’s move into smaller car segments as it broadens its electric lineup. The vehicle, called the “Concept Three,” debuted at the IAA Mobility 2025 show in Munich, Europe’s largest auto fair. It marks Hyundai’s entry into the compact electric market, following the rollout of mid-size and large EVs in the Ioniq series. The new concept features a streamlined, aerodynamic body highlighted by a lemon-colored ducktail spoiler designed to optimize airflow. Hyundai said the vehicle reflects its design philosophy of using the natural elasticity of metallic materials to create fluid, dynamic forms. Inside, the car introduces a dashboard widget that extends toward the steering wheel when the engine is activated, placing key controls within easy reach. It also incorporates “Mr. Pix,” a digital character that adapts its form across the cabin’s displays. Europe was chosen for the debut, the company said, because of its rapid adoption of electric vehicles and continued consumer demand for compact hatchbacks. 2025-09-09 17:16:38