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Kim Geon-hee's Appeal Hearing Begins After 7-Year Sentence for Bribery The appeal hearing for Kim Geon-hee, who was sentenced to seven years in prison for accepting bribes in exchange for public office appointments, began this week. A ruling is also expected for Han Duck-soo, the former Prime Minister, who is charged with failing to appoint a constitutional court judge.According to legal sources on the 23rd, the Seoul High Court's Criminal Division 15-3, presided over by judges Seong Eon-joo, Won Ik-seon, and Lee Hee-jun, will hold the first hearing for Kim's appeal on the 26th regarding charges of violating the Act on the Aggravated Punishment of Specific Crimes (bribery).Kim is accused of receiving approximately 103.8 million won worth of jewelry, including a Van Cleef & Arpels necklace and earrings, from Lee Bong-kwan, chairman of Seohui Construction, between March 15 and May 20, 2022, under the pretext of soliciting business assistance and a public office appointment for her son-in-law. She is also under investigation for receiving a gold turtle worth 2.65 million won from former National Education Commission Chairman Lee Bae-yong on April 26 and in early June, purportedly in exchange for a request for his appointment.Additionally, on September 8, 2022, she allegedly accepted a Vacheron Constantin watch valued at 39.9 million won from robot dog entrepreneur Seo Seong-bin in connection with a request for support for the robot dog business. In February 2023, she is accused of receiving a painting by artist Lee Ufan worth 140 million won from former chief prosecutor Kim Sang-min in exchange for a request related to the general election. From June 20 to September 13, 2022, she also allegedly received Dior bags worth 5.4 million won from Pastor Choi Jae-young in connection with a request regarding public officials' duties.The first trial found Kim guilty on all charges and sentenced her to seven years in prison. The court also ordered the confiscation of the seized items, including the Van Cleef & Arpels necklace, gold turtle, Vacheron Constantin watch, Lee Ufan painting, and Dior bags, along with a fine of 64.8 million won.The Seoul Central District Court's Criminal Division 33, led by Judge Lee Jin-kwan, is scheduled to hold a ruling hearing on the case against former Prime Minister Han on the 28th. Han is charged with failing to appoint a constitutional court judge recommended by the National Assembly while serving as acting president after former President Yoon Suk-yeol was suspended from office due to impeachment. He is also accused of nominating candidates Ham Sang-hoon and Lee Wan-kyu as constitutional court judges without properly conducting the personnel verification process.The Seoul High Court's Criminal Division 12-3, presided over by judges Kim Min-a, Lee Seung-cheol, and Jo Jin-goo, will hold the first hearing for the appeal of former presidential office aide Kang Yi-goo on the 24th, who is charged with preparing false official documents. Kang is accused of creating a declaration document dated December 3 to make it appear that the declaration of a state of emergency was legally conducted based on a pre-signed document. The first trial sentenced Kang to 18 months in prison and ordered his immediate detention.* This article has been translated by AI. 2026-08-23 14:44:00
Korean Central Bank to Decide on Interest Rate Hike Amid Economic Concerns The Bank of Korea's Monetary Policy Committee will decide on the base interest rate on the 27th. Attention is focused on whether the bank will implement a 'back-to-back hike' for the second consecutive month. Last month, the bank raised the base rate from 2.50% to 2.75%, marking the first increase in three and a half years. The market's question has shifted from whether rates will rise to how quickly and to what extent they will increase.Experts' forecasts for the August meeting are divided. Given the trends in inflation and economic growth, there is a strong case for consecutive rate hikes. The economy, particularly driven by semiconductor exports, has shown stronger-than-expected resilience, increasing the capacity for rate increases. However, inflation remains a concern, prompting arguments that it is essential to firmly control inflation rather than keep rates low due to fears of an economic downturn.On the other hand, there are calls for a more measured approach. Some question the necessity of another rate hike so soon after July's increase, especially since the effects of that hike have yet to be fully assessed. The recent stabilization of exchange rate volatility also provides the Bank of Korea with a reason to pause for a month. With market interest rates already significantly higher, a consecutive increase in the base rate could lead to a tightening effect that is stronger than anticipated.The long-term government bond market adds to the Bank's dilemma. Long-term bond yields remain elevated due to expectations of large-scale bond issuance and economic recovery. In this context, consecutive increases in the base rate could lead to further rises in bond yields, impacting bank bonds, corporate bonds, and loan rates. It is not just a matter of looking at the numerical increase of 0.25% in the base rate.Household debt is also a concern. An increase in rates will quickly raise interest burdens, particularly for variable-rate loans. This poses a direct challenge not only for households with mortgage loans but also for small businesses and self-employed individuals with limited funding capacity. In a situation where the government aims to spread the warmth of economic recovery to domestic consumption, overly rapid tightening could stifle consumption and investment.However, it is also difficult for the Bank of Korea to delay rate hikes indefinitely. If inflation rises again amid ongoing economic recovery, the bank may need to implement larger rate increases later. There is also a need to prepare for the possibility that easing real estate loan regulations could redirect liquidity back into the asset market. The argument for proactive monetary policy is well-founded.Ultimately, the key question for the Monetary Policy Committee on the 27th is not just whether to set the rate at 2.75% or 3.00%. Even if they decide to hold steady, it does not mean that tightening has ended. The prevailing view in the market anticipates further increases by the end of the year. More importantly, it will be crucial for the Bank of Korea to signal its future rate path and the pace of increases during this meeting.The Bank of Korea must control inflation while also considering the economy and financial markets. Delaying action too long could lead to missed inflation targets, while acting too hastily could impose unnecessary shocks on households and businesses. The success of the tightening that has just begun will depend more on how precisely the pace is managed than on how high rates are raised. This is why the upcoming Monetary Policy Committee meeting is drawing significant attention. 2026-08-23 14:36:00
Top Five Korean Pharmaceutical Companies Increase R&D Investment to Accelerate Drug Development Major South Korean pharmaceutical companies are ramping up their research and development (R&D) investments in the first half of this year, aiming to accelerate new drug development and secure future growth drivers.According to the semi-annual reports released on the 23rd, the top five domestic pharmaceutical firms—Yuhan Corporation, Chong Kun Dang, Hanmi Pharmaceutical, GC Green Cross, and Daewoong Pharmaceutical—invested around 100 billion won in R&D during the first half of the year. Some companies reported increases in R&D spending of up to 36.6% compared to the same period last year.Yuhan Corporation allocated 10.5% of its consolidated revenue of 1.1662 trillion won, or 122.2 billion won, to R&D, marking a 13.8% increase from the previous year. The company plans to invest about 10% of its annual revenue to enhance its R&D capabilities and expand its pipeline, focusing on global innovative drug development through open innovation and strengthened international partnerships.Chong Kun Dang increased its R&D investment to 113.5 billion won, a 36.6% rise compared to the same period last year, which represents 12.3% of its first-half revenue of 926.2 billion won. The company attributed this increase to higher costs for contract research and clinical trials.Hanmi Pharmaceutical invested 14.6% of its first-half revenue of 860.2 billion won, or 125.5 billion won, in R&D, an 18.2% increase from the previous year. The company consistently allocates 13% to 15% of its annual revenue to R&D, focusing on areas with high unmet medical needs, such as obesity, metabolic diseases, cancer, and rare diseases. With growing expectations for its 44th domestic new drug, Hanmi is preparing to commercialize its GLP-1 obesity drug, 'Epe,' developed under the 'H.O.P (Hanmi Obesity Pipeline)' project, at its Pyeongtaek bio plant.GC Green Cross invested 859 billion won in R&D, which is 10.0% of its first-half revenue of 856.7 billion won. The company continues to invest based on improved profitability from its blood products, 'Aliglo,' and liquidity secured from the sale of Curevo. It plans to maintain its annual R&D spending at around 9.5% to 10% of revenue. Daewoong Pharmaceutical allocated 15.7% of its first-half revenue of 735.9 billion won, or 115.7 billion won, to R&D, reflecting an 8.5% increase from the previous year.* This article has been translated by AI. 2026-08-23 14:12:10
TaylorMade Launches Women's Golf Brand 'Glory27' TaylorMade has introduced its new total women's golf brand, 'Glory27.'The company held a launch event on August 20 in Seoul's Seongsu-dong at Kosaity, unveiling the new brand aimed at female golfers.Glory27 offers optimized performance and premium style for women golfers, featuring a full lineup that includes drivers, fairway woods, rescue clubs, irons, bags, and accessories.The event was themed 'THE HOUSE OF GLORY 27,' featuring presentations introducing the brand and products, along with a product exhibition and demo program.The event began with an illusion opening show, followed by TaylorMade ambassador Se Ri Pak taking the stage as a special guest to share her excitement about the new golfing experience offered by Glory27.Pak stated, "Since starting with TaylorMade this year, I have felt the same excitement and thrill I experienced when I first began playing golf. With the growing interest among female golfers in performance, I believe Glory27 can meet those expectations as a brand."After the official program, attendees had the opportunity to experience Glory27 firsthand. The exhibition space showcased clubs, bags, and accessories, presenting a golf lifestyle. In the demo zone, participants could try out all Glory27 clubs, including drivers, fairway woods, and rescue irons.Im Heon-young, CEO of TaylorMade Korea, welcomed attendees, stating, "Glory27 is a product of intense collaboration between engineers and designers, tailored to meet the standards of female golfers in South Korea who refuse to compromise on style or performance. We hope you embark on a new golfing journey with Glory27."The launch of TaylorMade's women's golf brand aligns with the steady increase in the number of female golfers in South Korea. According to the Korea Golf Association (KGA), the percentage of women among new golf participants rose from 34.8% in 2021 to 40.7% in 2023.* This article has been translated by AI. 2026-08-23 13:52:10
'Odyssey' Surpasses 7 Million, 'Spider-Man 4' Hits 8.02 Million as Both Films Aim for 10 Million The films 'Odyssey' and 'Spider-Man: Brand New Day' are leading the summer box office. As of 1:01 PM on August 23, the integrated ticketing system reported that 'Odyssey' has surpassed 7 million viewers. This milestone was reached on the 19th day since its release, adding 1 million viewers just two days after crossing the 6 million mark on August 21. The speed at which 'Odyssey' reached 7 million matches that of 'Spider-Man: Brand New Day,' which achieved the same milestone in the shortest time this year. It also equals the record set by Christopher Nolan's 'Interstellar.' In comparison to previous hits, 'Odyssey' has outpaced the 24th-day record of the 10 million film 'The King and the Clown' and the 20th-day record of 'Spring in Seoul.' The film's box office indicators remain strong. 'Odyssey' currently holds a 71% reservation rate, ranking first, and from August 14 to 16, during its second weekend, it achieved a seat sales rate of 60.0%, also placing first overall. On August 21, despite being in its third week, it surpassed 750,000 in advance ticket sales, maintaining its momentum. Globally, 'Odyssey' has also performed well, surpassing $1.34 billion in worldwide box office revenue, overtaking 'Deadpool and Wolverine' at $1.33 billion to become the highest-grossing R-rated film of all time. Meanwhile, 'Spider-Man: Brand New Day,' which has been enjoying long-term success, also set a new record. As of midnight on the same day, it surpassed 8.02 million viewers. With this achievement, 'Spider-Man: Brand New Day' has exceeded the total audience of 8,023,606 for 'Spider-Man: Far From Home,' which was the highest-grossing film in the Spider-Man series starring Tom Holland. It reached 8 million viewers nine days faster than 'Spider-Man: Far From Home,' setting a new series record. In terms of solo MCU films, it ranks third in domestic box office performance, following 'Iron Man 3' at 9 million and 'Captain America: Civil War' at 8.67 million. The gap in cumulative viewers between the two films is narrowing quickly. With 'Spider-Man: Brand New Day' surpassing 8.02 million and 'Odyssey' reaching 7 million, the difference is now around 1 million viewers. Notably, 'Odyssey' is showing strong audience numbers in theaters over the weekend, drawing attention to the upcoming competition for rankings. The summer box office is gaining momentum with 'Spider-Man: Brand New Day' crossing 8 million and 'Odyssey' reaching 7 million, as both films continue to perform well, raising expectations for whether they will surpass 10 million viewers.* This article has been translated by AI. 2026-08-23 13:52:00
Korea looks to turn chip windfall into fiscal war chest SEOUL, August 23 (AJP) - South Korea is looking to turn a tax windfall from its booming semiconductor industry into a new fiscal reserve, extending the economic spoils of the AI memory boom from chipmakers, workers and shareholders to government coffers. The government plans to establish a "Future Response Fund" that would collect tax revenue exceeding longer-term trends and channel it into strategic areas including youth programs, future growth industries, regional development and education and talent, according to the Ministry of Planning and Budget. The proposal comes as a historic semiconductor upcycle, fueled by surging demand for artificial intelligence infrastructure and high-bandwidth memory, is expected to sharply boost corporate tax receipts from the country's chip industry. Under the proposed system, the government would calculate a longer-term trend for domestic tax revenue based on historical growth. Revenue exceeding that level would be transferred from the general account into the new fund. The mechanism would also work in reverse. If tax revenue falls below the trend during an economic downturn, money accumulated in the fund could be transferred back to the general account, effectively creating a fiscal buffer between boom and bust. Planning and Budget Minister Park Hong-keun has described the fund as a fiscal reserve that could store revenue during periods of abundance and deploy it when government finances come under pressure. The fund could also receive excess tax revenue identified after revised government forecasts, remaining budget surpluses and returns generated from investing idle funds. Its eventual size has not been determined. The government plans to disclose more details alongside its 2027 budget proposal and medium-term fiscal plan early next month, although estimates based on the proposed funding mechanism suggest the pool could eventually exceed 100 trillion won ($72 billion). The proposal illustrates how far the financial impact of the AI semiconductor boom is spreading through South Korea's economy. Samsung Electronics and SK hynix are generating sharply higher earnings as global technology companies pour hundreds of billions of dollars into AI infrastructure, increasing not only corporate cash flow but also the tax revenue available to the government. The fund, however, is already raising questions over fiscal oversight. Critics have warned that a large pool of money sitting outside the regular general budget could give the government greater flexibility to redirect spending during the fiscal year, potentially allowing it to function like a standing supplementary budget. The government has rejected that characterization, saying the new fund, like other state funds, would remain subject to parliamentary budget review and that its creation would not weaken the National Assembly's authority over public finances. There are also questions over how sustainable a fund built partly on semiconductor-driven tax revenue would be. The memory industry is notoriously cyclical, meaning a downturn in chip prices and profits could quickly reduce the tax windfall currently expected to finance the fund. The government argues the mechanism is designed partly to address that volatility, accumulating revenue during boom years and releasing fiscal resources when tax collections weaken. Legislation establishing the fund is expected to move toward the National Assembly alongside the government's 2027 budget process. AJP Takeaways: South Korea plans to channel tax revenue generated above longer-term trends, including gains from the semiconductor boom, into a new Future Response Fund. The fund would finance youth, growth industries, regional development and education while also acting as a buffer that can support government finances when tax revenue weakens. Its final size has not been set, while the proposal is likely to face scrutiny over parliamentary oversight and its reliance on revenue from the highly cyclical semiconductor industry. 2026-08-23 13:49:58
IMAX's 'Odyssey' Sparks Demand for Large Screens in China's Film Industry As the Hollywood film 'Odyssey' gains popularity in China, state media has highlighted the strong demand for large screens, urging a shift in the Chinese film industry from 'quantitative expansion' to 'qualitative improvement.'In a column published on August 23, the Economic Daily noted that the success of films like 'Odyssey' has renewed focus on the competitiveness of large screens, stating, "The film industry must move beyond simply increasing the number of theaters and also enhance content and screening quality." This approach aims to leverage the success of Hollywood blockbusters as a catalyst for a qualitative transformation in China's film sector.'Odyssey,' which premiered in mainland China on August 14, has surpassed a cumulative box office of 400 million yuan (approximately $60 million) as of August 22. In major cities such as Beijing, Shanghai, and Shenzhen, high-end theaters like IMAX and CINITY have seen sold-out shows. Some viewers are even traveling to different cities for the experience of watching the film in large IMAX theaters.The Economic Daily described 'Odyssey' as a film "tailored for large screens," emphasizing that it was shot entirely on IMAX film, requiring specific large-screen theaters to fully appreciate its visual and auditory effects.China has built the world's largest cinema infrastructure over the years, with 93,187 screens as of the end of last year. The Economic Daily pointed out, "With such a vast screen hardware already in place, the key now is how to generate industrial effects that match the nearly 100,000 large screens."As a solution, the column proposed a combination of 'content and hardware.' Instead of indiscriminately expanding high-end theaters, it suggested developing content suitable for large screens to enhance both screening quality and content competitiveness.In terms of content, it recommended ongoing support for the production of high-quality works that align with the narrative style of large screens. While attracting audiences with foreign blockbusters like 'Odyssey,' it also emphasized the need to focus on works that reflect China's traditional culture and reality, as well as those utilizing industrial visual effects.Additionally, it called for more Chinese film content that can effectively utilize high-end screening systems like CINITY to showcase the advantages of large screens.The column also cautioned against indiscriminate upgrades and expansions of theaters, advocating for a differentiated screening system that aligns with the size of cities and consumer levels. It suggested expanding high-end theaters like IMAX and Dolby Cinema in first-tier cities while ensuring affordable pricing and basic audiovisual improvements in county-level cinemas.Through these measures, the aim is to transform China's largest screen infrastructure into an industrial competitiveness that increases revenue per screen and expands cultural consumption.The Economic Daily analyzed that the high market interest in large screens reflects changes in China's consumer structure. Consumers are increasingly willing to pay for experiences that are difficult to replicate, with emotional satisfaction, social connections, and unique personal memories becoming important criteria for consumption.As the rise of streaming platforms raises concerns about the decline of cinemas, the Economic Daily noted, "What is truly being phased out by the times is not the cinema itself, but the outdated supply methods that resist change." 2026-08-23 13:44:00
Chinese and Korean Youth Strengthen Friendship Through Futsal on 34th Anniversary of Diplomatic Relations In celebration of the 34th anniversary of diplomatic relations between China and South Korea, a platform for youth from both countries to strengthen their friendship through futsal has been established.The opening ceremony of the '2026 China-Korea Youth Futsal Cultural Exchange Camp' took place at Kyonggi University Suwon Campus on August 22. The event will run for four days, concluding on August 24.This inaugural event features youth players from both countries participating in a futsal tournament, visiting local youth facilities, and engaging in cultural experiences in Korea. The initiative aims to connect the recovery of China-Korea relations and the expansion of exchanges through interactions among future generations, thereby broadening the foundation of friendship and trust between the two nations.The event is co-hosted by the Korea Youth Organizations Association, the Korea International Cultural Exchange Foundation, the China International Youth Exchange Center (Communist Youth League), and the city of Yantai, China. It is organized by Sportec Korea, with support from the Chinese Embassy in South Korea, the Ministry of Culture, Sports and Tourism, the Ministry of Gender Equality and Family, Suwon Special City, the Gyeonggi Provincial Office of Education, the Gyeonggi Future Generation Foundation, Kyonggi University, and the Aju Media Group. Various government, public institutions, and private organizations are participating in the event.A total of 37 elementary and middle school players from China and 180 players from Korea are participating. Including parents, event officials, and guests, the total number of participants is approximately 700.Key figures from both countries attended the opening ceremony, including Ko Myung-jin, President of the Korea Youth Organizations Association, Son Yul, Chairman of Kyonggi University, and Kwak Young-gil, Chairman of Aju Media Group, who encouraged the participating athletes in their speeches.Ko stated, “This event serves as a platform for Chinese and Korean youth to get to know each other and exchange through soccer. I hope that the encounters on the field will lead to lasting friendships.” He added, “I expect that this event will be the starting point for exchanges between youth from both countries to expand beyond sports into various fields such as culture and education.”Kwak emphasized the significance of holding a youth exchange event on the 34th anniversary of China-Korea diplomatic relations, stating, “The youth are the future generation that will lead the relationship between our two countries.”He expressed hope that the youth from both nations would understand each other and build trust through the common language of soccer, and that this meeting would further activate civilian exchanges between China and Korea.During the opening ceremony, the youth delegations from both countries were introduced, and exchange programs for the participating athletes were conducted. The youth naturally interacted during the matches, enhancing their understanding of one another.An event official stated, “We plan to further expand the channels for exchanges between Chinese and Korean youth through this event, providing opportunities for the young generations of both countries to communicate and build friendships continuously.”* This article has been translated by AI. 2026-08-23 13:24:00
Seven in Ten Small Businesses Say Shorter Payment Terms Would Help Management Seven out of ten small businesses believe that reducing the legal payment deadline for deliveries from the current 60 days would benefit their management. According to a survey conducted by the Korea Federation of Small and Medium Businesses from July 21 to 24, which involved 500 small businesses engaged in consignment transactions, 71.0% of the respondents indicated that a shorter legal payment deadline would be 'helpful' for their management. By industry, 90.0% of manufacturing firms reported that a reduction in the legal payment deadline would be beneficial. This was followed by 71.9% in the construction sector and 30.9% in retail. Businesses that found a shorter payment deadline helpful cited 'improved cash flow' (55.3%) and 'smoother payments from clients' (40.9%) as their main reasons. Manufacturing and construction firms emphasized improved cash flow, while retail businesses highlighted smoother client payments as their primary concern. In the past year, 53.7% of consignment businesses reported receiving payment within 30 days. Among consignors, 62.6% stated they paid within the same timeframe. Under current cooperative and subcontracting laws, the payment deadline for deliveries is set at 60 days. When asked about the burden of having to pay sooner if the payment deadline were shortened, 41.6% of consignors responded that it would be 'average,' while 32.7% said it would not be difficult. Regarding the ideal legal payment deadline, 60.6% of businesses identified '30 days' as the most appropriate, followed by 15 days (18.0%) and 45 days (9.4%). As for the preparation time needed to implement a shorter payment deadline, 46.8% of respondents said it could be enacted 'without a grace period.' Meanwhile, 27.0% indicated that 'six months' would be necessary, and 22.8% said 'one year' would be required. The most needed support policy for shortening payment deadlines was 'low-interest loans and expanded guarantees,' cited by 58.4% of respondents. This was followed by 'shortening the maturity of payment methods such as accounts receivable and promissory notes' (24.0%) and 'expanding support for early cash conversion of accounts receivable through factoring and insurance' (16.2%). Yang Chan-hwa, executive director of the Korea Federation of Small and Medium Businesses, stated, "Shortening the payment deadline for deliveries will enhance liquidity for small businesses and alleviate financial difficulties, thus providing practical assistance for business management." He added, "However, in some industries where major buyers have long payment periods, there may be a time lag between receiving and making payments. Therefore, it is necessary to consider the transaction structure by industry and implement complementary measures such as low-interest loans and expanded guarantees."* This article has been translated by AI. 2026-08-23 13:20:20
Samsung and SK Hynix Announce Record $115 Billion Shareholder Return Samsung Electronics and SK Hynix have officially announced a record shareholder return policy worth up to 150 trillion won. This initiative aims to distribute the substantial profits generated from the artificial intelligence (AI) memory supercycle back to shareholders. This move is unprecedented in the South Korean capital market.However, this bold step has drawn criticism, with some labeling it a 'money feast.' Skeptics question whether it undermines the company's future capital expenditures (CAPEX) and research and development (R&D) efforts.One of the fundamental purposes of a corporation is to share its profits with shareholders. Therefore, gaining trust by prioritizing shareholder value in all circumstances is crucial. Shareholder returns during prosperous times serve as a foundation for enduring through downturns.For instance, after generating significant profits following the launch of the iPhone, Apple began a major stock buyback and dividend expansion in 2012. At that time, critics warned that this would halt innovation and reduce R&D investment. The outcome, however, was different. Apple significantly boosted its earnings per share (EPS) through stock buybacks, attracting long-term capital based on strong shareholder trust. This trust helped Apple achieve a historic market valuation of over $3 trillion.Similarly, Microsoft faced growth pains in the mid-2000s due to stagnation in the PC market and failures in mobile transition, yet it initiated a large-scale shareholder return. This trust allowed Microsoft to pivot towards a cloud-centric business model.Strong shareholder trust forms the backbone of a company's fundamental strength. During economic downturns or unexpected external challenges, this trust acts as a robust support system against stock price declines. Conversely, when opportunities arise, it enables swift capital mobilization and a focus on innovation.The 150 trillion won shareholder return aims to alleviate the 'Korea Discount' that has long weighed on the South Korean stock market and to establish a globally competitive level of shareholder trust, thereby strengthening the company's true resilience.However, companies must not become so focused on distribution that they miss growth opportunities. To avoid being perceived as merely a benevolent gesture, they should solidify their financial structures and present innovative strategies for future visions. The AI market, too, will eventually mature and face a downturn. The considerations for both companies following this semiconductor boom are just beginning.* This article has been translated by AI. 2026-08-23 13:16:00