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Korean defense stocks stay hot as Gulf war exposes limits of U.S. shield SEOUL, June 17 (AJP) - The war in the Gulf is winding down, but South Korean defense stocks remain hot as Gulf states would come out from the conflict with depleted air-defense inventories and questions about heavy reliance on U.S. weapons systems. Hanwha Aerospace closed 3.47 percent higher at 1,224,000 won on Wednesday, extending its weekly gain to 21 percent. Shares of LIG Defense & Aerospace, Hyundai Rotem and Hanwha Systems slipped slightly from a day earlier after recent rallies. The gains accelerated after details emerged of a U.S.-Iran agreement to end the conflict and a timetable for its formal signing. While an end to hostilities is often considered negative for defense stocks because it could reduce weapons demand, analysts say this conflict has created a different dynamic. The war exposed vulnerabilities in the Gulf's air-defense networks, rapidly depleted missile inventories and highlighted the high cost of defending against relatively cheap drones and missiles. That could ultimately benefit South Korean defense companies, which already have sizable order backlogs and are pursuing major contracts across the Middle East. "One of the traditional misconceptions about the defense industry is that share prices will inevitably fall when a war ends," Kang Tae-ho, an analyst at DS Investment & Securities, said. Kang said the end of the Iran conflict could instead become a positive turning point because greater regional stability would allow delayed export negotiations to resume. The Middle East remains one of the world's largest arms markets. Although the region's arms imports fell 13 percent between 2016-20 and 2021-25, it still accounted for 26 percent of global imports of major weapons during the latest five-year period, according to the Stockholm International Peace Research Institute. Saudi Arabia, Qatar, Kuwait and the United Arab Emirates alone represented about 19 percent of global arms imports, or nearly three-quarters of the Middle East's total share. Saudi Arabia was the world's third-largest arms importer and Qatar ranked fourth, while Kuwait placed ninth. The figures also illustrate the Gulf's heavy dependence on U.S. weapons systems. The United States supplied 77 percent of Saudi Arabia's arms imports, 62 percent of Kuwait's, 48 percent of Qatar's and 42 percent of the UAE's during the period. But the war underscored the financial and operational risks of that dependence. Waves of relatively inexpensive Iranian drones and missiles forced Gulf states and U.S. forces to deploy interceptor missiles costing millions of dollars apiece, rapidly draining inventories and exposing the difficulty of sustaining such a defense over a prolonged conflict. "Everyone started doing the maths. It simply doesn't make economic sense," Toru Tokushige, chief executive of Terra Drone, told a U.S.-based media outlet. A ground-launched Patriot interceptor costs roughly $4 million, compared with as little as $20,000 for an Iranian-designed Shahed drone. The conflict created an immediate need to replenish missile inventories and strengthen regional command systems. In May, the U.S. administration invoked emergency authority to approve more than $8.6 billion in arms sales to Middle Eastern allies without the usual congressional review process. The package included $4.01 billion in Patriot air and missile defense replenishment services for Qatar, a $2.5 billion integrated battle command system for Kuwait and precision-guided weapons for the UAE. Analysts say Gulf governments are unlikely to abandon U.S. systems, but they are expected to diversify suppliers, add cheaper interceptors and build more layered defense networks to reduce the risk of shortages and long delivery times. The Arab Gulf States Institute said supplier diversification had become "an operational necessity" rather than simply a diplomatic choice because of global interceptor shortages and limited production capacity. It said Gulf states were shifting away from dependence on a small number of expensive platforms toward what it called "system-of-systems resilience," combining long-, medium- and short-range interceptors with counter-drone weapons, sensors, radars, electronic warfare systems and integrated command networks. The conflict also weakened confidence in the broader U.S. security umbrella. A report published by EMERiCs said the war had "exposed the limits of relying on the United States as a single supplier," as interceptor shortages and production bottlenecks made rapid replenishment difficult. Gulf governments are therefore expected to maintain security ties with Washington while expanding defense cooperation with other countries and engaging Tehran to reduce the risk of another confrontation. South Korea is well positioned to benefit from that shift because its defense companies can offer Western-compatible weapons, relatively short delivery schedules and more flexible terms for local production and technology transfer. The Arab Gulf States Institute identified South Korea's Cheongung-II medium-range surface-to-air missile system as a potential beneficiary, saying it could provide an affordable middle layer between strategic systems such as Patriot and shorter-range point-defense systems. LIG Defense & Aerospace, Hanwha Aerospace and Hanwha Systems all participate in the Cheongung-II supply chain. Kang also said Kuwait and Qatar, both of which came under direct Iranian attack but have not yet purchased the system, could emerge as new customers. DS Investment & Securities estimates that potential Cheongung-II contracts with each country could be worth about 1.5 trillion won. Additional orders could also come from existing customers, while Saudi Arabia and the UAE may consider South Korea's longer-range L-SAM system. Analysts note that the end of the war is unlikely to erase regional security concerns, as Iran retains much of its missile capability and armed groups such as Hezbollah and the Houthis remain active threats across the Middle East. 2026-06-17 18:00:13
Won, bonds stay quiet as BOJ risk fades, Fed decision looms SEOUL, June 17 (AJP) - South Korea’s currency and bond markets remained calm Wednesday as investors looked past the Bank of Japan’s rate hike and shifted their attention to the Federal Reserve’s first policy decision under Chair Kevin Warsh. The won’s market average rate strengthened 5.3 won to 1,514.75 per dollar, showing limited volatility despite Tuesday’s BOJ decision to raise interest rates to 1 percent for the first time in 31 years. Korean government bond yields also fell, with longer maturities outperforming the short end. The three-year yield declined 0.7 basis point to 3.710 percent, while the 10-year yield dropped 3.9 basis points to 4.071 percent. The larger fall in the 10-year yield suggested longer maturities were more supported, partly reflecting expectations that the Fed’s updated projections could soften the case for further rate increases. The short end was less able to fall as markets remained wary of the Bank of Korea’s tightening bias, while longer maturities were more exposed to moves in U.S. Treasury yields and global duration demand. The Japanese central bank raised its short-term policy rate by 25 basis points to 1 percent from 0.75 percent on Tuesday, bringing Japanese rates back into the 1 percent range for the first time since 1995. The decision marked another step in Japan’s monetary policy normalization after the BOJ ended negative rates in March 2024, widening the contrast with Korea and the United States, where central banks have lowered rates over the same period. The shift has narrowed Japan’s policy-rate gaps with both Korea and the United States, easing one source of pressure behind yen weakness. The BOJ move also came after repeated remarks from U.S. Treasury Secretary Scott Bessent that were read by markets as indirect support for Japan’s rate normalization. Bessent told Reuters in May that BOJ Governor Kazuo Ueda was an “excellent central banker” and that he was confident Ueda would do “what he needs to do” if given sufficient independence by Japan’s government. The remarks did not amount to a direct call for a BOJ rate hike, but they were seen as a sign that Washington was comfortable with Japan’s policy normalization at a time of yen weakness and wide U.S.-Japan rate differentials. With the BOJ event now absorbed, the main focus has shifted to the Fed’s June 16-17 policy meeting, the first chaired by Warsh. The Fed is widely expected to keep its benchmark rate unchanged at 3.75 percent, with the decision due at 3 a.m. Thursday in Seoul. Investors will focus on the updated dot plot and Warsh’s first post-meeting press conference for clues on whether policymakers are moving toward a more neutral stance or keeping the door open to further tightening. For the won, a steady Fed decision and a less hawkish dot plot could help limit upward pressure on the dollar and U.S. yields after weeks of volatility around oil prices, geopolitical risks and foreign capital flows. But the relief could be limited if Warsh emphasizes inflation risks or the need to continue reducing the Fed’s balance sheet, a message that could keep U.S. yields elevated even without a rate increase. 2026-06-17 17:46:42
Washington's new trade agenda poses fresh challenges for Seoul SEOUL, June 17 (AJP) - Seoul should closely monitor Washington's evolving trade strategy and swiftly implement South Korea's trade deal with the U.S. agreed last fall, said an ex-trade chief on Wednesday. Speaking at a forum at the National Assembly in Seoul, former Trade Minister Jeong In-kyo also warned that the U.S.' annual trade report is increasingly being used as a platform for future enforcement actions beyond tariffs. "The National Trade Estimate (NTE) report has essentially become a document that organizes the justifications for future actions against trading partners," Jeong said. "Even if countries reach agreements with the U.S., the report contains grounds that could be used for additional measures later." The forum, titled "America's New Trade Agenda — Is Korea Prepared?," focused on implications of the U.S. Trade Representative's NTE report and recent investigations under Section 301 of the U.S. Trade Act. Jeong, who previously headed South Korea's trade negotiations office under the Ministry of Trade, Industry and Energy, said the character of the NTE report has changed significantly under U.S. President Donald Trump's trade agenda. According to Jeong, the report has evolved from a traditional catalog of foreign trade barriers into a broader framework supporting Washington's efforts to reshape global trade rules and tighten economic pressure on China. He said this year's report expanded to more than 500 pages and included substantially more material on digital regulations and other non-tariff barriers. "The core objective of the current trade strategy is the construction of a comprehensive containment network against China," Jeong said. He added that Washington is particularly focused on preventing Chinese exports from entering the U.S. market through third countries. Jeong argued that South Korea should seek to conclude an Agreement on Reciprocal Trade, or ART, with the U.S. as quickly as possible. Countries that reach such agreements may face lower tariff rates than those that do not, he said. The forum was moderated by Rep. Kim Gunn of the main opposition People Power Party (PPP), who served as secretary of the National Assembly's Foreign Affairs and Unification Committee during the first half of the 22nd Assembly. A career diplomat before entering politics, Kim previously served as South Korea's ambassador to the U.K. and chief negotiator on North Korea's nuclear issue under disgraced former President Yoon Suk Yeol. A second presentation by Lee Joo Hyoung, a professor at the University of Seoul Law School, examined the legal foundations and policy implications of Section 301 investigations. Lee said recent developments stem partly from judicial scrutiny of presidential tariff authorities in the United States, prompting policymakers to rely more heavily on other trade enforcement tools. She described Section 301 as one of Washington's most flexible trade instruments because investigations can be expanded, revised and even reopened after being formally concluded. "The original purpose of Section 301 is not punishment itself but creating leverage for negotiations," Lee said. Lee noted that the Office of the U.S. Trade Representative recently launched investigations examining forced labor practices, structural overcapacity and supply-chain issues among major trading partners. She said South Korea has drawn particular attention from U.S. officials over digital platform regulations and labor-related issues. U.S. officials have repeatedly raised concerns that proposed Korean digital regulations could disproportionately affect American technology companies. She cited comments by U.S. Trade Representative Jamieson Greer indicating that Washington could consider Section 301 actions if it determines that discriminatory regulations exist. Lee pointed to growing U.S. scrutiny of forced labor concerns, including cases linked to South Korea's salt-production industry. The issue gained prominence after U.S. Customs and Border Protection imposed a Withhold Release Order on products from a salt farm in South Jeolla Province over allegations of forced labor. The U.S. Embassy in Seoul visited Taepyung Salt Farm in August last year after U.S. authorities imposed an import hold on its products, inspecting workers' contracts, living quarters and labor conditions. She called the move "unusual," noting that it is rare for a foreign government to conduct investigations beyond its jurisdiction. She said the U.S. was less focused on the Shinan salt farm case itself than on broader efforts to prevent goods linked to forced labor in China from entering the U.S. market. The USTR's 2026 National Trade Estimate Report newly identified forced labor in salt production and illegal fishing issues as trade-related concerns involving South Korea, while also elevating scrutiny of the country's digital regulations and competition policies. 2026-06-17 17:35:30
FSS warns against leveraged bets as Samsung, SK hynix ETFs amplify market swings SEOUL, June 17 (AJP) — Leveraged ETFs tied to Samsung Electronics and SK hynix now account for nearly a third of trading in the two stocks, amplifying swings in South Korea's benchmark index and prompting an emergency warning from financial regulators. The Financial Supervisory Service on Wednesday convened investment banks, securities firms, asset managers and market researchers to warn against concentrated bets on a handful of stocks and excessive use of leverage, saying such strategies could aggravate market shocks and expose retail investors to forced liquidations during sharp downturns. FSS Senior Deputy Governor Hwang Seon-oh urged investors to avoid excessive reliance on high-risk products or debt-financed investments, emphasizing the importance of long-term and diversified investing. He also called on securities firms to strengthen risk disclosures and ensure investors fully understand the products they purchase. A leveraged ETF is an exchange-traded fund designed to deliver two or three times the daily return of an underlying index or stock rather than simply track its performance. The FSS said speculative retail trading has intensified market volatility since the launch of single-stock leveraged and inverse ETFs. Margin-call liquidations have reached over 700 billion won so far this month. According to the Korea Exchange, 16 single-stock leveraged and inverse ETFs held a combined 11.3 trillion won ($8.3 billion) in assets as of Tuesday. Since their launch in late May, the products have averaged 8.3 trillion won in daily trading, accounting for nearly a quarter of South Korea's total ETF turnover. The concentration has become particularly pronounced in Samsung Electronics and SK hynix. Between May 27 and June 15, Samsung Electronics' single-stock leveraged ETF averaged 3.43 trillion won in daily trading, equivalent to 31.3 percent of turnover in the underlying shares. The figure for SK hynix was even higher at 4.91 trillion won, accounting for 37.7 percent of cash-market trading. Single-stock leveraged ETFs are designed to deliver twice the daily return of an underlying stock, forcing funds to buy more shares as prices rise and sell as they fall. The mechanism amplifies gains during rallies but can accelerate losses during selloffs. The effect became particularly evident this month. Since the launch of the products on May 27, open interest in Samsung Electronics futures has surged nearly 18 percent, rising from 5.7 million contracts to 6.7 million by June 4. The market then abruptly reversed after U.S. chipmaker Broadcom issued a disappointing earnings outlook on June 5, triggering a semiconductor selloff. As leveraged ETFs lost value while their futures positions remained largely unchanged, the funds became more leveraged than intended. To restore their target exposure, fund managers were forced to sell both shares and futures contracts, adding further downward pressure on prices. By the close, Samsung Electronics and SK hynix had fallen as much as 6.4 percent. The following sessions saw equally violent reversals, with Samsung Electronics dropping another 10.2 percent on June 8 before rebounding 9 percent the next day. Futures trading surged alongside the volatility. Samsung Electronics futures trading volume jumped from 4.36 million contracts on June 4 to 11.83 million by June 9, while turnover more than doubled to 36.8 trillion won. Authorities also pointed to the growing frequency of marketwide trading halts as a sign of mounting instability. Sidecar curbs, which suspend program trading for five minutes when the benchmark index rises or falls by more than 5 percent, have been triggered 26 times this year, the highest number since the 2008 global financial crisis. Six of those halts occurred this month alone as markets repeatedly swung between rallies and selloffs. Market participants say the trading pattern increasingly resembles a short-gamma dynamic, in which ETF rebalancing flows amplify price swings instead of absorbing them, reinforcing momentum in both directions and exacerbating volatility. 2026-06-17 17:30:49
KOSPI extends rally as SK hynix tops 2.5 Million won for first time SEOUL, June 17 (AJP) - South Korea's benchmark KOSPI extended its gains Wednesday as investors rotated into semiconductors, power-cable shares and biotechnology, even as foreign investors turned heavy sellers on the main bourse. The benchmark KOSPI closed up 1.6 percent at 8,864.24, after moving between an intraday high of 8,872.18 and a low of 8,605.66. Foreign investors sold 1 trillion won worth of shares on the main bourse, while institutions bought 581.9 billion won ($384.9 million) and retail investors purchased 545.7 billion won. Semiconductors remained the market's main engine. SK hynix surged 5.84 percent to 2,521,000 won, crossing the 2.5 million won level for the first time, as investors continued to bet on stronger shareholder returns and growth in the high-bandwidth memory market. Samsung Electronics reversed early weakness to close up 1.02 percent at 346,500 won, while SK Square jumped 6.3 percent to 1,596,000 won as investors sought indirect exposure to SK hynix's upside. Power-cable shares delivered one of the strongest theme moves of the session, with the group rising 8.5 percent. Gaon Cable hit the daily limit, jumping 29.9 percent to 341,000 won after announcing a bonus issue of 0.8 new shares for each existing common share, citing growth in the artificial intelligence data-center power infrastructure market as the rationale for sharing gains with shareholders. Biotech and health-care names also drew strong buying. The biotechnology sector rose 6.7 percent, led by D&D Pharmatech, up 18 percent to 108,100 won, and ToolGen, up 16 percent to 49,750 won. Life-science tools and services gained 4.4 percent, with Curiosis up 11.2 percent to 33,300 won and OliX up 9.8 percent to 142,000 won. Construction shares pulled back sharply after recent steep gains. Daewoo Engineering and Construction fell 9.7 percent to 24,800 won and Samsung E&A dropped 7.4 percent to 52,500 won as investors took profits following a run-up driven by Middle East reconstruction hopes. Hyundai Motor also fell 3.4 percent to 618,000 won, underscoring that the day's gains remained concentrated in selected growth themes rather than the broader large-cap market. The KOSDAQ rose 1.3 percent to 1,031.96, moving between an intraday high of 1,039.55 and a low of 1,008.57. Foreign investors bought 31.9 billion won on the junior bourse, while retail investors sold 20.3 billion won and institutions sold 15.3 billion won. Shipbuilding-related shares rose 5.8 percent, with Dongil Steelux hitting the daily limit at 1,523 won. Character merchandise stocks gained 4.8 percent, led by SAMG Entertainment, up 9 percent to 30,200 won, ahead of the August release of the sequel to its hit animated film "Love of Hachoo Pink." The won weakened slightly against the dollar, closing at 1,511.9 won. In Japan, the Nikkei 225 rose for a fifth consecutive session, closing at a fresh record high for the third straight day, up 0.72 percent to 69,902.25. The broader TOPIX climbed 0.55 percent to 4,013.23, crossing the 4,000 mark for the first time on a closing basis. Investors interpreted the Bank of Japan's decision to raise its benchmark rate to 1 percent, the highest since 1995, as confirmation that Japan's recovery remains intact rather than a headwind for equities. Artificial intelligence and semiconductor shares attracted dip-buying, while dividend reinvestment flows added further support. China's Shanghai Composite rose a modest 0.4 percent to 4,109.96, lagging the stronger conviction seen in Seoul and Tokyo. Oil prices continued to retreat on expectations for a U.S.-Iran agreement, with West Texas Intermediate falling 1.2 percent to $75.20 a barrel and Brent crude slipping 0.7 percent to $78.40, easing concerns over supply disruption and energy-driven inflation across the region.T 2026-06-17 17:29:42
World Cup 26: Europe sweeps, Asia holds ground, Messi lifts South America SEOUL, June 17 (AJP) - Europe restored order at the 2026 FIFA World Cup on Tuesday local time, or Wednesday in Korea, as France, Norway and Austria all won their opening matches while Asia’s unbeaten start came to an end. Argentina also gave South America its first win of the tournament, with Lionel Messi delivering a record-tying hat trick in a victory over Algeria. The day marked a sharp turn from the early group-stage pattern, when Asian teams had gone unbeaten and South American sides had failed to win. France opened Group I with a 3-1 win over Senegal at New York/New Jersey Stadium in East Rutherford, New Jersey. The victory allowed France, World Cup finalists in 2018 and 2022, to protect their status as one of Europe’s strongest sides against the recent Africa Cup of Nations runners-up. Senegal were aggressive in the first half and created several dangerous moments, but France took control after the break. Kylian Mbappe opened the scoring in the 66th minute after being set up by Michael Olise. Bradley Barcola doubled France’s lead in the 82nd minute, only two minutes after coming on as a substitute. Ibrahim Mbaye pulled one back for Senegal in stoppage time, but Mbappe struck again moments later with a long-range finish to seal the win. The brace underlined why France remain one of the tournament favorites. Norway followed with an even more emphatic result, beating Iraq 4-1 at Boston Stadium in Foxborough, Massachusetts. It was Norway’s first World Cup match in 28 years, and Erling Haaland made his tournament debut count with two goals. Haaland scored the opener in the 29th minute, sliding in to finish a cross from David Moller Wolfe with his heel. Iraq briefly fought back when Aymen Hussein equalized nine minutes later, giving the team a moment of hope in its first World Cup appearance since 1986. But Haaland restored Norway’s lead before halftime after pouncing on a poor back pass and beating goalkeeper Jalal Hassan to the ball. Leo Ostigard made it 3-1 in the 76th minute from a Martin Odegaard corner, before an own goal by Hussein just before the final whistle completed Norway’s scoring. Iraq entered the tournament as one of the last teams to qualify through the inter-confederation playoff route, and the gap in quality was clear against a Norway side whose attacking power makes it stronger than its FIFA ranking might suggest. Argentina then became the first South American team to win at this World Cup, cruising past Algeria 3-0 at Kansas City Stadium in Kansas City, Missouri. Messi, playing in a record-setting sixth World Cup at the age of 38, scored all three goals. He opened the scoring in the 17th minute, added a second early in the second half and completed his first World Cup hat trick in the 76th minute. The three goals took Messi to 16 career World Cup goals, drawing him level with Germany’s Miroslav Klose for the all-time tournament scoring record. The win also eased Argentina into its title defense and ended South America’s wait for a victory after Brazil, Paraguay, Ecuador and Uruguay all failed to win their opening matches. Austria completed Europe’s perfect day with a 3-1 victory over Jordan at San Francisco Bay Area Stadium in Santa Clara, California. Romano Schmid put Austria ahead in the 21st minute with a powerful strike from outside the box. Jordan, making its World Cup debut, refused to fade and equalized early in the second half through Ali Olwan. The goal gave Jordan its first-ever World Cup goal and reflected a spirited performance from a team that caused Austria problems with its pace and direct attacks. Austria regained the lead in the 76th minute when a corner from Marcel Sabitzer went in off Yazan Al Arab, the FC Seoul defender anchoring Jordan’s back line. Marko Arnautovic, who had earlier seen a goal disallowed, sealed the win with a stoppage-time penalty. The result gave Austria its first World Cup victory in 36 years and strengthened its position in Group J. For Asia, the day brought an abrupt end to a strong early run. South Korea and Australia had won their openers, while Japan, Qatar, Saudi Arabia and Iran had all drawn, but Iraq and Jordan both lost despite flashes of resistance. Africa also endured a difficult day, with Senegal and Algeria both beaten after Egypt, Morocco, Cape Verde and Ivory Coast had earlier shown that African sides could trouble more established opponents. 2026-06-17 17:28:58
KAIST develops memory-efficient image processing technique for AI SEOUL, June 17 (AJP) - Researchers in South Korea have developed a technique with the Massachusetts Institute of Technology (MIT) and Microsoft that allows artificial intelligence to process high-resolution visual details while using up to 16 times less computer memory, the Korea Advanced Institute of Science and Technology said Wednesday. The method, called Upsample Anything, restores fine visual details from compressed, low-resolution data without requiring additional machine learning training. By analyzing the boundaries and colors of a single input image, the system calculates the best way to reconstruct lost details. For a standard 224 by 224 pixel image, the process takes about 0.4 seconds to restore the visual information. Currently, artificial intelligence models used in self-driving cars, smartphones, and humanoid robots compress images to save memory and process information quickly. However, this compression often causes the models to lose track of tiny objects, fine edges, and minor defects. Conversely, processing every image in high resolution from the beginning requires too much computing power and graphics processing unit memory for mobile devices to handle in real time. The new technique solves this by finding a middle ground, storing only the compressed core data while using the image's own structure to fill in the missing high-resolution gaps on demand. Because it operates without needing to be retrained on new datasets, the tool can be immediately applied to unseen environments and different artificial intelligence applications. Led by the Korea Advanced Institute of Science and Technology (KAIST) doctoral student Seo Min-seok, the research was presented at the Computer Vision and Pattern Recognition (CVPR) conference on June 7. The project received the conference's Compute Gold Star for its efficient use of computing resources and was named a Transparency Champion for sharing its code and ensuring the experiments could be reproduced by others. "This technology is an algorithm that can significantly increase the visual precision of artificial intelligence with minimal resources, and we expect it to accelerate the practical application of humanoid robots and on-device AI," Professor Kim Chang-ick said. "It is even more meaningful that it was recognized at CVPR not only for its performance but also for its computational efficiency and research transparency." (Reference Information) Journal/Source: CVPR 2026 Title: Upsample Anything: A Simple and Hard to Beat Baseline for Feature Upsampling Link/DOI: 10.48550/arXiv.2511.16301 2026-06-17 17:17:35
Some 150,000 applicants to sit for entry-level civil service exam this weekend SEOUL, June 17 (AJP) - About 150,000 people are getting ready for a written test for this year's civil service exam for entry-level government positions this weekend. The Ministry of the Interior and Safety said Wednesday that some 141,546 people have signed up to take the nationwide exam scheduled for Saturday to fill about 23,390 openings, with a competition ratio of 6.1 to 1, down from 8.8 to 1 last year. About 14,530 of the 23,390 positions will be for administrative and clerical jobs, while 8,860 will be for technical posts. This is an increase of 9,794 from last year's 13,596 positions. The administrative city of Sejong saw the highest number of applicants with 953 for some 76 positions, followed by Daegu and Daejeon. Those aged 20 to 29 accounted for 47.6 percent or 67,367 applicants, followed by those in their 30s at 37.8 percent (53,440). Applicants aged 40 and above made up 13.8 percent (19,641), while teenagers accounted for 0.8 percent (1,098). Some 57 percent of applicants or 80,722 were women, compared with 60,824 men (43 percent). Test results will be posted on provincial and city government websites from July 9 to 23, with final successful candidates individually notified a week later. "With this year's hiring numbers rising sharply compared with previous years, we will actively support local governments so the annual exam can be administered across 17 major cities and provinces without any disruption," said Jin Myeong-gi, a ministry official. 2026-06-17 17:17:24
BOK chief spells it out: inflation is here to stay and rate hike is coming SEOUL, June 17 (AJP) - The new Bank of Korea governor left little room for doubt: inflation is heading higher and will not come down anytime soon, whether or not the monthslong Gulf war ends this week. The central bank said Wednesday that inflation would remain elevated for a "considerable period," with price pressure gradually shifting from oil and currency shocks to wages and domestic demand. It projected consumer inflation to hover around 3 percent through much of the second half of the year. The message amounted to a textbook case for policy tightening, delivered with unusual weight as Bank of Korea Governor Shin Hyun-song personally led the regular inflation briefing instead of leaving it to director-general level officials. He was joined by Deputy Governor Lee Ji-ho, the head of the central bank's research department and officials overseeing inflation and employment analysis. "It would take some time before the energy supply chain returns to pre-war levels and international oil prices stabilize," Shin said. In its report, the BOK projected consumer inflation to remain around 3 percent in the second half of this year. Core inflation, which excludes food and energy prices, is expected to stay in the mid-to-high 2 percent range. The outlook marks a clear shift from December, when the BOK expected inflation to remain close to its 2 percent target on weaker global oil prices and stable core inflation. Kim Young-joo, director-general of the BOK's Inflation and Employment Department, said inflationary pressure was changing its source rather than disappearing. "Oil-related upward pressure will ease next year, but demand-side pressure will gradually grow, keeping both headline and core inflation above the target," Kim said. The first phase of the inflation shock came from oil prices, a weak won and higher transport costs. The second phase could come from rising wages, income gains and stronger domestic demand. Consumer prices rose 2.4 percent from a year earlier in the first five months of this year, up from 2.2 percent in the second half of 2025. Inflation had hovered around the BOK's 2 percent target before the Gulf crisis but accelerated to 3.1 percent in May, the first reading above 3 percent since March 2024. Living-cost inflation rose to 3.3 percent in May, while core inflation climbed to 2.5 percent. The weak won has added to the burden. The dollar averaged 1,467.35 won in December and 1,491.39 won in May, before rising further to an average of 1,526.58 won in June through June 16. Oil prices have retreated from wartime highs, with WTI and Brent crude falling below $80 a barrel on Tuesday after renewed U.S.-Iran talks raised hopes that shipping through the Strait of Hormuz could normalize. Shin, however, cautioned against being swayed by short-term market moves. "Over the past day or two, oil prices have fallen and other asset prices such as stocks and bonds appear to have shifted into a risk-on mode," he said. "But rather than reacting to daily market fluctuations, we should make judgments based on long-term economic fundamentals." He added that oil prices, much like financial assets, can swing sharply with changes in investor sentiment, making it too early to conclude that the recent decline would be sustained. "The impact of high oil prices can spread beyond energy to other sectors of the economy. The medium- to long-term second-round effects are what matter," Shin said. The BOK said any decline in oil prices could be gradual because of infrastructure repairs and restocking demand, while earlier oil-price gains could continue feeding into domestic prices with a lag. "Cost-side pressure from high oil prices and a weak won will gradually spread beyond petroleum products," Kim said. He added that the delayed effects of higher oil prices could also increase pressure for public utility fee hikes in the second half. The BOK pointed to the Russia-Ukraine war as a precedent, saying crude-price shocks tend to spread from petroleum products to non-energy items with a lag of about six months, including processed food, dining-out services and manufactured goods. The report also flagged wages as a possible second-round inflation channel. Special bonus payments in the IT sector jumped 60.6 percent in the first quarter, though the central bank said the inflationary impact would depend on whether those gains remain concentrated in a few companies or spill over into other industries. Shin tied those risks directly to the bank's policy stance. "We take seriously the fact that higher inflation could add to the economic burden on the public," Shin said. "We will closely monitor inflation trends and respond actively until we are confident that inflation will stabilize at the target level." Since taking office in April, Shin has been unequivocal about the policy shift. At his first rate-setting meeting in May, he indicated that rates would likely move higher before eventually coming down, while keeping the benchmark interest rate unchanged at 2.5 percent for a full year. He further signaled urgency during the central bank's 76th anniversary event last week, saying the BOK would not be late in raising interest rates if inflation risks intensified. The central bank's latest dot plot also pointed to two to three rate hikes ahead. The BOK's next policy meetings are scheduled for July 16 and Aug. 27. Shin, however, brushed aside the possibility of a single 50-basis-point move, saying conditions were not severe enough to warrant the kind of emergency hike seen in previous crises. 2026-06-17 17:00:13
Baekdu Mountain: many names, many maps SEOUL, June 17 (AJP) - This year I climbed the West Slope on June 11 and the North Slope on June 12. On the 11th, the West Slope was buried in snow. Both the mountain and Cheonji, the Heaven Lake, were submerged in white, with only a dark blue gleam of water showing through. The next day, on the North Slope, the snow had thinned considerably, and the same lake looked like an entirely different place. The sky over Cheonji wouldn't hold still either. In less than a minute, the clouds would clear and then close back over, again and again. Some people who had been waiting far longer than I had still never got a proper look at the lake before giving up and turning back. Watching the snow pile up along the ridge on the West Slope, I naturally thought of the name "Baekdu." Baekdu-san literally means "white-headed mountain." The summit stays snow-covered for roughly eight months of the year, and even in the snowless months, pale pumice left over from past volcanic activity covers the peak, so it always looks white from a distance. The name "Baekdu-san" appeared in records sometime after the Balhae period in the seventh century, earlier than most of the famous mountains in the Korean Peninsula, such as Bulham-san. In China, the same mountain is called Changbai Shan, or "Ever-White Mountain," a name translated from the Manchu for "long white mountain" and in use since the Liao and Jin dynasties. Two different languages, looking at the same landscape, arrived at nearly the same name. For Koreans, Baekdu Mountain is more than just a peak. It's regarded as the starting point of the Baekdudaegan, the mountain range from which all of the Korean Peninsula's ridgelines are believed to branch, and it's revered as the sacred site where Hwanung is said to have founded Sinsi and where Dangun was born, going on to establish Gojoseon. That symbolic weight is why South Korea's national anthem includes the line "until the waters of the East Sea run dry and Mount Baekdu wears away." But the mountain doesn't belong to one country alone. The area around Baekdu Mountain forms the border between China and North Korea, and Cheonji, the caldera lake at the summit, is divided by that same border. (The one exception is Janggun Peak, the highest point ringing the lake, which sits entirely on the North Korean side rather than on the line itself.) In October 1962, China and North Korea secretly signed a border treaty placing Cheonji under the joint jurisdiction of both countries; the treaty's existence wasn't widely known outside the two countries until the 2000s. South Korea was not a party to it. For a long time after the peninsula's division, maps and textbooks made in South Korea drew the entire summit area, Cheonji included, as Korean territory, and some still do. In practice, though, the area is administered by North Korea and China, and more recent maps increasingly leave the border out or draw it differently. So when it comes to the same mountain and lake, the answer to "where exactly is the border" shifts slightly depending on which map, and which era, you happen to be looking at. In the moment on the West Slope when snow was falling onto Cheonji, none of these boundaries were visible at all. The lake wasn't cut in half, and it wasn't drawn differently from map to map. It was simply a body of water, utterly cold, sitting quietly atop a mountain peak. 2026-06-17 16:52:25