Latest by
-
DaeRyuk Law Firm to Host 2026 Tax Reform Briefing DaeRyuk Law Firm (led by attorney Lee Gyu-cheol) announced on August 25 that it will hold a "2026 Tax Reform Briefing" on September 2 at 2 p.m. in the DaeRyuk conference room on the 12th floor of Donghun Tower in Yeoksam-dong, Gangnam, Seoul.The briefing aims to examine the key contents and procedures of the "2026 Tax Reform Plan" announced on August 3 and to provide effective response strategies for companies planning business succession.Previously, the government announced the "2026 Tax Reform Plan," which includes a revised taxation system for treasury stock and a reform of the evaluation of listed stocks (the anti-stock price suppression law), reflecting the amendments to the Commercial Act made last year in March.Business succession exemptions and special taxation measures for business succession have been utilized to facilitate smooth transitions while avoiding high inheritance and gift tax rates. However, confusion has arisen following the announcement of the government's tax reform plan.DaeRyuk plans to help companies accurately understand the major changes resulting from the tax reform and establish tailored business succession and tax strategies based on their individual circumstances.During the briefing, attorney Choi Woo-seok (35th Judicial Research and Training Institute) will present on "Revisions to Business Succession Exemptions and Response Strategies," while attorney Woo Ji-hoon (first bar exam) will discuss "Treasury Stock Taxation and Response Strategies."Attorney Woo has served as a consultant for the Seoul Regional Tax Office and the Central Regional Tax Office, a member of the National Tax Service's Tax Accountant Qualification Review Committee, and a lecturer at the Seoul Bar Association's Tax Training Institute. He joined DaeRyuk in 2026 after serving as a research officer in the Supreme Court's Tax Division.Attorney Choi began his career at the Ministry of Economy and Finance after completing the Judicial Research and Training Institute, working in various tax areas including income tax and corporate tax. He also served as a research officer in the Supreme Court's Tax Division and held positions as the head of the Tax Policy Division and the Customs Cooperation Division before joining DaeRyuk in 2025.DaeRyuk stated, "This will be a practical forum for companies planning business succession and stock asset adjustments to develop optimal strategies suited to their individual circumstances in response to changes in the tax environment."Attendance at the briefing is available through prior registration, and further details can be confirmed by contacting DaeRyuk's BD Headquarters at ebiz@draju.com.DaeRyuk Law Firm, established in 2009 through the merger of the law firms 'DaeRyuk' and 'Aju,' is one of South Korea's major law firms, specializing in corporate legal affairs, mergers and acquisitions (M&A), fair trade, labor and employment, finance, taxation, litigation, and corporate advisory services, and is recognized as one of the top 10 law firms in the country. 2026-08-25 17:48:00 -
President Lee Warns of Increased Rail Deficits Amid KTX-SRT Fare Cuts 이재명 대통령은 25일 KTX와 SRT 통합에 따른 요금 인하를 두고 “철도 운영 적자가 늘어나고 지역 간 교통 양극화를 심화할 수 있다”며 대책 마련을 주문했다. 이 대통령은 이날 청와대에서 주재한 국무회의에서 KTX-SRT 통합 계획을 보고 받은 뒤 “KTX는 적자였고 SRT는 흑자였던 것으로 아는데 요금을 중간쯤으로 맞춘 것도 아니고 SRT 수준까지 내려버리면 기존 철도 적자가 늘어나지 않겠느냐”고 반문했다. 김윤덕 국토교통부 장관은 KTX와 SRT 통합을 오는 9월 1일자로 완료하겠다며 KTX 운임을 SRT 수준으로 약 10% 낮추겠다고 보고했다. 이 대통령은 “철도가 빠르고 요금도 상대적으로 저렴해지면서 버스 이용객이 줄어 터미널이 문을 닫고 노선도 감소하고 있다”며 “고속철도나 철도역이 있는 지역은 싸고 빠르게 이용하지만 그렇지 않은 지역은 시외버스나 고속버스마저 사라지고 있다”고 지적했다. 이어 “철도는 5년, 10년 내 증설이 쉽지 않은데 가격마저 낮아지면 오히려 국민들이 표를 못 구하는 문제가 더 가속화할 수 있다”며 “외국인 관광객이 급증하면서 거의 다 고속철도를 이용하기 때문에 우리 국민이 표를 못 구하는 문제가 있다. 싼 것은 좋은데 이용 자체를 못 하는 문제가 생길 수 있다”고 우려감을 나타냈다. 이 대통령은 통합 문제와 관련해 “노동 조건도 다르고 이해관계도 복잡한 데 합친다는 게 몇 달 만에 쉽겠느냐”며 “쉽지 않은 일인데 잘 설득해서 절차를 잘 거쳐서 큰 무리 없이 통합을 이뤄냈다”고 김 장관을 향해 박수를 유도했다. 다만 이 대통령은 “높은 목소리나 과장된 자세가 아니라 정말로 겸손하게 많은 사람들의 고통을 최소화하고, 반발도 최소화하면서 성과도 만들어내고 이에 기반해야 또 다른 변화와 개혁도 가능해진다”고 강조했다. * This article has been translated by AI. 2026-08-25 17:48:00
-
Housing Association Donates 30 Million Won for Flood Relief in Geoje and Tongyeong The Korea Housing Association (KHA) has donated 30 million won to support recovery efforts in the flood-affected regions of Geoje and Tongyeong in South Gyeongsang Province.On August 24, KHA officials presented the relief fund at Geoje City Hall, as announced on August 25. The donation was made possible through contributions from the KHA central office and 13 regional chapters across the country. The ceremony was attended by Park Jae-bok, president of the KHA Busan chapter, and Kim Chan-soo, president of the Ulsan and Gyeongnam chapter.KHA President Kim Sung-eun expressed his condolences to those who lost their homes due to the flooding, stating, “As a member of the housing construction community, I extend my deepest sympathies to the victims. I hope this donation will help the residents of Geoje and Tongyeong recover quickly and secure safe housing.”He also thanked the regional chapters for their support in fundraising despite challenging industry conditions, adding, “We will continue to share the burden of communities affected by disasters and fulfill our social responsibility as a representative organization in housing construction.”In addition to this relief effort, KHA is committed to various social contribution activities, including improving housing conditions for veterans, providing fire extinguishers to vulnerable groups, and supporting descendants of independence activists.On June 24, KHA and the Housing and Urban Guarantee Corporation (HUG) acknowledged the housing industry's contributions to improving living conditions for veterans with national awards and presidential citations.* This article has been translated by AI. 2026-08-25 17:44:00
-
South Korean stock market earns 'Rollerkospi' moniker, WSJ says SEOUL, August 25 (AJP) - The Wall Street Journal (WSJ) has described Korea's stock market as "the world's craziest stock market," highlighting the sharp swings that have rattled investors in recent months. In an article headlined "The World's Craziest Stock Market Has Turned Into a Fright Ride" published on Tuesday, the U.S. newspaper said South Korea, known for producing "Squid Game" and K-pop, now has a stock market showing levels of volatility rarely seen among major economies in recent years. "South Korea had the world's hottest stock market for most of the past year, powered by the artificial intelligence boom. Then it crashed," it wrote. It said that the Korea Composite Stock Price Index or KOSPI more than tripled over the past year before plunging about 40 percent over six weeks in June and July. The index has since rebounded roughly 20 percent from its recent low, but sharp daily swings have continued. WSJ also said that investors have dubbed the market "Rollerkospi," a term coined by combining "roller coaster" and "KOSPI." It added retail investors, known locally as "ants," a term referring to individual investors who are small in scale but can have a significant influence when acting as a group, have borne much of the pain from the market's volatility. The newspaper linked the turbulent stock market to President Lee Jae Myung's economic agenda, pointing out that Lee described himself as an "ant" during last year's presidential campaign and pledged to raise the KOSPI to 5,000 by 2030, while his approval rating recently fell to its "lowest level since he took office in June last year." AJP Takeaways • WSJ calls South Korea's stock market the "world's craziest," citing extreme volatility after the KOSPI plunged about 40 percent in six weeks in June and July following a yearlong rally. • Investors have dubbed the market "Rollerkospi," while retail investors known as "ants" have suffered heavily from the sharp market swings. • WSJ linked the market turmoil to President Lee Jae Myung's economic agenda, noting his KOSPI 5,000 pledge and a recent drop in his approval rating to its lowest level since taking office. 2026-08-25 17:43:10 -
Home Shopping Networks Compete to Support Promising Small Brands Home shopping networks are focusing on discovering and nurturing promising small brands. As the TV home shopping market continues to shrink, these companies are strengthening coexistence management to expand sales channels for small businesses while enhancing their competitive edge with differentiated products. The scope of support is also expanding from TV and mobile sales to include product development, marketing, offline experiences, and international expansion. According to industry sources on the 25th, NS Home Shopping is operating a pop-up store for its partner, Everfit, at the Beauty Play Hongdae location until September 30. This initiative allows consumers to experience products and purchase them online via QR codes, broadening the offline presence of products that were previously sold primarily online. NS Home Shopping is also supporting international market development, having formed a global market exploration team with four food small business partners to participate in the Hong Kong Food Expo from August 13 to 15, providing support for consultations with overseas buyers and local market research. Hyundai Home Shopping is gradually nurturing promising small beauty brands. As part of the second phase of the TOPS (Top Small Business) program, organized by the Ministry of SMEs and Startups and the Korea Small Business Distribution Center, 60 small beauty businesses have been selected for product development support, live commerce, and placement in Hyundai's offline beauty concept store, Coasis, until October. This follows a first phase that supported 300 businesses in April, focusing on those with high growth potential. Among these, three outstanding brands will receive support for TV home shopping broadcasts and overseas pop-up stores in November and December. CJ OnStyle is linking brand development with investment and global expansion. Through its CJ On-Cubating program, it has discovered over 80 brands in three years, with the combined sales of selected brands in the first half of this year increasing approximately 16 times compared to the second half of 2023. This year, 30 brands will be selected, and a dedicated fund of 11 billion won will be established. This month, CJ OnStyle launched the integrated brand ON:DO for co-growth and social contribution, operating a 60 billion won coexistence fund with IBK Industrial Bank to support partners with commercialization funds, product development, sales channel expansion, and global entry. GS Shop has also selected 20 companies from its On&Up small business support program, which includes 85 supported businesses. These companies will receive at least five broadcasts with no sales commission, along with consulting from product planners and up to 7 million won for video production costs. Last year's selected 12 partners achieved approximately 900 million won in order performance. The expansion of support for small businesses by home shopping networks is influenced by stagnation in their traditional TV-centric operations. According to the Korea TV Home Shopping Association, the total transaction amount for seven home shopping companies last year was 18.5053 trillion won, a 5.1% decrease from the previous year, marking a decline for four consecutive years since 2021. Broadcast revenue also fell by 0.9% to 2.6181 trillion won, the lowest level since 2012. The proportion of broadcast revenue in total sales dropped below half for the first time last year, standing at 46.7%. An industry insider stated, "Recent coexistence management is expanding beyond simple sales support to jointly nurture promising small brands. This creates a mutually beneficial structure where small businesses gain growth opportunities, and home shopping networks secure differentiated products." 2026-08-25 17:40:00
-
GTX-C and Four Other Private Investment Projects Approved Four private investment projects, including the GTX-C and the Bujeon-Masan Line, have been approved by the Private Investment Project Review Committee. The total cost of these projects is estimated at 6.8 trillion won.The Ministry of Economy and Finance announced that during the fifth meeting of the Private Investment Project Review Committee, chaired by Deputy Minister Cho Yong-beom, four projects in the railway and environmental sectors, along with a revision of the basic plan for private investment projects, were reviewed and approved.The committee approved amendments to the implementation agreements for the GTX-C and the Bujeon-Masan Line. It also passed a simplified eligibility review for the modernization of the Sokcho sewage treatment facility and designated the Yongin Green Eco Park private investment project, along with a public proposal for third-party suggestions.The GTX-C project connects Deokjeong in Yangju to Suwon over a distance of 86.6 kilometers, featuring 14 stations and a total project cost of 4.9272 trillion won. The amendment to the implementation agreement reflects an increase in construction costs following an arbitration ruling by the Korea Commercial Arbitration Board on April 1.This project will be executed as a Build-Transfer-Operate (BTO) model, with a construction period of 60 months and an operational period of 40 years. The government estimates that travel time from Deokjeong to Samsung will decrease from approximately 80 minutes to about 30 minutes once the GTX-C is operational.The Bujeon-Masan Line is a conventional railway spanning 32.7 kilometers, connecting Bujeon Station in Busan to Jinrye in Gimhae, with five stations and a total project cost of 1.218 trillion won. This project has faced delays since the Nakdong Tunnel collapse in March 2020. The amendment to the implementation agreement includes plans for partial openings of the Masan-Gangseo Geumho and Sasang-Bujeon sections, which have already been completed.The project will be developed by straightening the route that previously bypassed Samyangjin, and when fully operational, travel time from Bujeon to Masan is expected to reduce from about 90 minutes to 40 minutes. This project will be executed as a Build-Lease (BTL) model, with a construction period of 72 months and an operational period of 20 years.The modernization of the Sokcho sewage treatment facility involves constructing a new facility capable of processing 56,000 cubic meters of sewage per day in Daepo-dong, Sokcho, Gangwon Province. This project will be pursued as a profit-sharing private investment project (BTO-a). Following the committee's approval, the economic and policy analysis will be omitted, focusing instead on assessing the appropriateness of the private investment model compared to public financing.The Yongin Green Eco Park private investment project aims to establish a waste incineration facility with a capacity of 500 tons per day and a resource recovery center with a capacity of 150 tons in Cheoin-gu, Yongin. The incineration facility will be underground, with plans for a park and multi-cultural facilities above. This project will also be executed as a BTO-a model, with a construction period of 48 months and an operational period of 20 years.Additionally, the committee approved a revision of the basic plan for private investment projects to promote the activation of a public participation infrastructure fund. This revision aims to encourage fund formation by exempting the sharing of profits generated during the refinancing process of private investment projects. The government plans to consult with relevant agencies to launch the first public participation infrastructure fund by the end of this year.The public participation infrastructure fund will operate by raising funds from the general public for private investment projects, targeting projects with total private investment exceeding 200 billion won, with a maximum investment limit of 100 million won per person. The fund's maturity will be set between 3 to 5 years, depending on the nature of the project.Deputy Minister Cho Yong-beom expressed optimism that the committee's decisions would facilitate the commencement of the GTX-C project and resolve delays in the Bujeon-Masan Line's opening. He emphasized the need to actively identify investment projects for the public participation infrastructure fund to expand opportunities for the public to share in the profits and benefits of private investment projects.* This article has been translated by AI. 2026-08-25 17:40:00
-
Former KT CEO Koo Hyun-mo Acquitted of Interfering with Subcontractor Management Koo Hyun-mo, the former CEO of KT, was acquitted in a first trial on charges of improperly intervening in the appointment of a subcontractor's CEO.The Seoul Central District Court's Criminal Division 23, led by Judge Oh Se-yong, ruled on the 25th that Koo was not guilty of violating the Subcontracting Act.Koo was accused of directing the appointment of a former executive from a KT affiliate as the CEO of KS Mate, a subcontractor of KT's subsidiary KT Telecop, thereby interfering in its management.The court expressed doubts about whether Koo used his position at KT to influence the CEO appointment but concluded that the evidence presented by the prosecution was insufficient to establish management interference.Shin Hyun-ok, the former head of KT's management support division, who was also indicted, was found not guilty of violating the Subcontracting Act, the Fair Trade Act, and attempted coercion. KT Telecop was also acquitted.However, the court found Shin guilty of coercion for pressuring an executive at KT Telecop to adjust the volume of work for a partner company, sentencing him to a fine of 5 million won. The court noted that Shin used his position to compel the victim to perform an act that was not required of them.Hong Mo, a former KT managing director, and Lee Mo, a former KT director, received one year in prison, suspended for two years, for misusing corporate cards for personal expenses. Kim Mo, a former executive at KT Telecop, was sentenced to two years in prison, suspended for three years.Hwang Wook-jeong, the CEO of KDFS, who was indicted for providing corporate cards along with illicit requests, was sentenced to ten months in prison, suspended for two years. The court pointed out that Hwang had provided corporate cards to KT employees over an extended period and received information about the volume of work from partner companies in return for these improper benefits.* This article has been translated by AI. 2026-08-25 17:36:20
-
Won retreats as long-end Korean bonds rally ahead of BOK SEOUL, August 25 (AJP) - The Korean won weakened Tuesday after seven straight gains, and long-dated government bonds rallied ahead of a policy decision by the Bank of Korea (BOK). The won closed daytime trading at 1,386.1 per dollar, weakening 3.7 won from Monday's 1,382.4. It was the currency's first decline in eight sessions. The won briefly strengthened below 1,380 early in the session before reversing. The dollar firmed, and foreign investors continued to sell Korean shares. The dollar index stood around 99.07 shortly before the Seoul close, compared with 99.00 a day earlier. Month-end dollar selling by exporters helped limit the won's decline. Korean government bonds strengthened, but the gains were concentrated at the long end of the yield curve. The three-year government bond yield fell 0.6 basis point to 3.830 percent, and the 10-year yield declined 1.5 basis points to 4.320 percent. The move was considerably larger in longer maturities. The 20-year yield dropped 4.5 basis points to 4.576 percent, while the 30-year yield fell by the same amount to 4.632 percent. The divergence flattened the yield curve, with policy-sensitive maturities showing little movement ahead of the BOK's Monetary Policy Board meeting on Thursday. A Korea Financial Investment Association (KOFIA) survey released Tuesday showed 79 percent of bond-market professionals expect the BOK to hold its Base Rate at 2.75 percent this week. Twenty percent forecast an increase. That marked a sharp reversal from KOFIA's survey ahead of the July meeting, when 66 percent expected an increase and 34 percent forecast a hold. The shift toward a hold produced little additional movement in shorter maturities Tuesday as investors awaited the actual policy decision and the BOK's updated economic forecasts. Longer-dated bonds also drew support from lower U.S. Treasury yields overnight. The 10- and 30-year U.S. yields declined in the previous session. The government also held a 20-year bond auction Tuesday, which cleared at a yield of 4.555 percent. The BOK will announce its policy decision Thursday, after raising the Base Rate by 25 basis points to 2.75 percent in July. 2026-08-25 17:36:01 -
GS Engineering & Construction Partners with International Architects to Create Future Housing Solutions for Climate Change GS Engineering & Construction is collaborating with international architects to develop future housing environments that can respond to climate change, including heavy rain, heat waves, and fine dust.On August 25, GS Engineering & Construction announced that it is conducting joint research with the architectural and innovation design group CRA, led by renowned architect Carlo Ratti, on the theme of 'future housing concepts for climate crisis response.'Carlo Ratti is the director of the Sensible City Lab at the Massachusetts Institute of Technology (MIT) and a founding partner of CRA. He is recognized as an expert in 'responsive design,' which integrates data and sensor technology into urban and architectural environments to respond in real-time to environmental changes.The research aims to analyze the impact of climate change, such as heavy rain, heat waves, and fine dust, on residential environments based on data, and to derive new solutions that can protect residents' health and safety as well as their housing assets.GS Engineering & Construction plans to concretize future housing concepts utilizing data and technology to proactively respond to changes in residential environments caused by climate change. The focus is not only on enhancing the durability of buildings but also on creating living environments that can detect external environmental changes and respond accordingly.Based on the conceptual findings of this research, GS Engineering & Construction will conduct empirical tests to verify the technical feasibility and effectiveness of the solutions. Following verification, the technologies will be gradually applied to Xi apartments, considering the conditions and characteristics of major project sites.A company representative stated, "This research is significant in that it analyzes the impact of the climate crisis on residential environments based on data and seeks proactive response measures. We will continue to create next-generation living environments that ensure safety and comfort for Xi residents amid climate change through ongoing research and technology verification."Meanwhile, GS Engineering & Construction announced on August 24 that it has received bronze awards in the furniture and lighting category at the 'IDEA 2026' design awards, one of the world's top three design awards, for its lighting design 'IGNIS' and the integrated lighting and speaker fixture 'Tode.'* This article has been translated by AI. 2026-08-25 17:36:00
-
Kakao AI Board of Directors Includes Former Officials Kakao has finalized the board composition for its newly established subsidiary, Kakao AI, which will be launched through a corporate split. The company is focusing on building a separate decision-making system centered on artificial intelligence (AI) with key appointments in technology, policy, and finance.According to the split plan disclosed on August 21, Kakao AI's board of directors will consist of four external members: Im Hye-sook, former Minister of Science and ICT; Kim Dae-ji, former Commissioner of the National Tax Service; Oh Seung-pil, former CTO of KT; and Kim Young-jun, a professor at Korea University's Graduate School of Technology Management. This diverse board brings experience in AI, information and communication technology, policy, taxation, and management.The Kakao AI board will have a total of seven members, including two internal directors, one other non-executive director, and four independent directors. Kakao AI is set to be Kakao's dedicated AI subsidiary, with a temporary shareholders' meeting scheduled for December 17 to address the split.Jeong Sin-a, who is designated as the representative of Kakao AI, and Shin Jong-hwan, Kakao's Chief Financial Officer, will serve as internal directors. Shin Jeong-hwan, the former Chief Technology Officer of Kakao, will join as the other non-executive director.Both Oh and Im bring significant expertise in technology and policy within the information and communication and AI sectors. Oh has held positions at NASA's Ames Research Center, Microsoft, Yahoo, and Hyundai Card, leading technology organizations in AI and cloud computing at KT. Im has served as Minister of Science and ICT and as Chair of the National Science and Technology Council, and is currently a professor in the Department of Electrical and Electronic Engineering at Ewha Womans University.Kim, the former Commissioner of the National Tax Service, has experience in tax and administrative fields, having served as the head of the Busan Regional Tax Office and the 24th Commissioner of the National Tax Service. He is currently an advisor at BnH Tax Corporation.This board composition aligns with Kakao's emphasis on independent management during the corporate split. Kim Do-young, designated representative of Kakao X, stated during a meeting on August 21 that both companies will operate independently according to their business objectives, and that joint organizations like the existing CA Council will no longer be necessary.Kakao's board met on August 21 and resolved to split the company into Kakao AI and the continuing entity Kakao X. The split ratio is based on net asset book value, with Kakao AI at 0.36 and Kakao X at 0.64. The split is expected to be completed on January 1, 2027, following the temporary shareholders' meeting in December, with Kakao AI set to be relisted in the same month.Kakao AI will launch as a business connecting AI, advertising, and commerce, centered around KakaoTalk. Kakao plans to separate its subsidiary management functions into Kakao X, allowing Kakao AI to focus its management resources on AI and existing platform businesses.* This article has been translated by AI. 2026-08-25 17:36:00