News
S. Korea's exports surge 16% in first 20 days of February on back of semiconductor boom
2025/02/21 17:00
On the trade front. Exports during the first twenty days of February surged on year on the back of global chip demand. According to the Korea Customs Service on this Friday exports amounted to 35-point-3 billion U.S. dollars during this period up 16 percent on year. Semiconductor shipments overseas soared over 22 percent while passenger vehicles and auto parts also jumped more than 40 percent and 9 percent respectively. Given this latest performance Korea logged a trade surplus of 8-hundred million U.S. dollars.
Trade commission recommends 27.9-38% antidumping tariffs on Chinese thick steel plates
2025/02/21 17:00
Korea's trade watchdog has recommended anti-dumping tariffs on Chinese steel plate imports following an investigation into their impact on the domestic market. Lee Seung-jae has details. Back in July of last year, Hyundai Steel filed a complaint with the government against low-priced Chinese thick steel plates. Three months later the Korea Trade Commission launched an investigation into the case. The nation's trade watchdog on Thursday made a preliminary decision to impose antidumping tariffs on thick steel plates being imported from China, after identifying possible damage to the domestic industry. In its latest recommendation, the KTC will ask the Ministry of Economy and Finance to impose an anti-dumping duty of between 27-point-9-1 percent and 38-point-0-2 percent. The final decision on the levies is expected to be announced five months from now. The latest recommendation by the KTC comes amid the Trump administration's decision to impose 25-percent tariffs on all steel and aluminum imports starting next month. Economists say the higher tariff on steel and aluminum imports to the U.S. will lead to Chinese steel products being flooded into other regions, such as Europe and Southeast Asia, leading South Korean steelmakers to face tougher price competition. Experts also say the domestic steel industry has been hit hard due to oversupply from China, and a slowdown in domestic demand. While the domestic demand for thick plates fell in 2023, the proportion of thick plates being imported from China has increased. Last year alone, Chinese imports accounted for 17 percent of all thick steel plate purchases in the country. The domestic thick plate market is estimated to be around eight trillion won, or over 5-point-5 billion U.S. dollars. Lee Seung-jae, Arirang News.
1.0% growth rate forecast for S. Korea by foreign financial firm
2025/02/21 10:00
An overseas research institute has forecast that South Korea's real GDP growth rate this year could fall to one percent. UK-based Capital Economics on Thursday lowered its forecast for South Korea's economic growth rate this year from one-point-one percent to one percent. The institute cited the ongoing political turmoil and the slump in the real estate market. It added that due to the economic slowdown, the Bank of Korea is expected to lower the base interest rate by one percentage point this year. The average growth rate forecast by major overseas investment banks is one-point-six percent, with Capital Economics' forecast being the lowest.
Trade commission recommends 27.9~38% antidumping tariffs on Chinese thick steel plates
2025/02/21 10:00
The Korea Trade Commission on Thursday made a preliminary decision to impose antidumping tariffs on Chinese thick steel plates. The watchdog will ask the finance ministry to impose a duty of up to 38%. Lee Seung-jae explains why. Back in July of last year, Hyundai Steel filed a complaint with the government against low-priced Chinese thick steel plates. Three months later the Korea Trade Commission launched an investigation into the case. The nation's trade watchdog on Thursday made a preliminary decision to impose antidumping tariffs on thick steel plates being imported from China, after identifying possible damage to the domestic industry. In its latest recommendation, the KTC will ask the Ministry of Economy and Finance to impose an anti-dumping duty of between 27-point-9-1 percent and 38-point-0-2 percent. The final decision on the levies is expected to be announced five months from now. The latest recommendation by the KTC comes amid the Trump administration's decision to impose 25-percent tariffs on all steel and aluminum imports starting next month. Economists say the higher tariff on steel and aluminum imports to the U.S. will lead to Chinese steel products being flooded into other regions, such as Europe and Southeast Asia, leading South Korean steelmakers to face tougher price competition. Experts also say the domestic steel industry has been hit hard due to oversupply from China, and a slowdown in domestic demand. While the domestic demand for thick plates fell in 2023,.. the proportion of thick plates being imported from China has increased. Last year alone, Chinese imports accounted for 17 percent of all thick steel plate purchases in the country. The domestic thick plate market is estimated to be around eight trillion won, or over 5-point-5 billion U.S. dollars. Lee Seung-jae, Arirang News.
Goldman Sachs raises 2025 gold price forecast as gold rush continues
2025/02/20 20:00
Welcome to Within The Frame, where we bring the most pressing issues across the globe into focus, I'm Kim Mok-yeon. As gold prices continue their record-breaking ascent, Goldman Sachs, a major investment bank in the United States has revised its year-end forecast to 3,100 dollars per ounce, citing a combination of economic uncertainty, central bank demand, and geopolitical risks. The surge has sparked intense debate over the forces driving the market and the broader implications for investors. While some see gold as the ultimate hedge against inflation and economic turmoil, others question whether digital assets can still rival its status as a safe-haven investment. Today, we weigh in on the key factors shaping the market and the potential wild cards that could define the next phase of the gold rally. For this, we connect to Song Soo-young, Professor of Business and Economics at Chung-Ang University. Welcome, Professor. Also joining us from Texas is Hwa-gyun Kim, Professor of Banking and Finance at Texas A&M University's Mays Business School. Great to have you with us. (KIM) 1. So let's start with Prof.Kim, like I've mentioned, Goldman Sachs has raised its year-end gold price forecast to 3,100 dollars per ounce. What factors do you believe are driving this upward revision? (SONG) 2. Prof. Song, If the U.S. or other major economies adjust interest rates, trade policies, or gold reserves, how do you expect the market to react? (SONG) 3. The Financial Times describes gold as the ultimate "Trump Trade" asset as the price hike is also attributed to Trump's tariff policies. Prof.Song, Could you explain for us, the relationship between trade wars and gold demand? (KIM) 4. The U.S. dollar has weakened despite expectations of strength amid trade wars. Prof.Kim, how could this paradox be explained? (KIM) 5. In the wake of this, reports suggest that central banks are buying more gold than expected. Prof.Kim, What are the implications of this trend for the global economy? (SONG) 6. The price of gold on the KRX market is currently trading at a 16-percent premium over international gold prices. Prof.Song, What are the key factors contributing to this discrepancy? (SONG) 7. But p even with the high premium, why are domestic investors still willing to pay significantly more for gold compared to international markets? (KIM) 8. Compared to equities and cryptocurrencies, gold has outperformed. Prof.Kim, why do you think gold remains such a strong safe-haven asset despite the rise of digital alternatives? (SONG) 9. While gold prices surge, bitcoin has remained range-bound and experienced outflows from ETFs. Prof.Song, Do you think Bitcoin can still be considered a "digital gold" alternative? (KIM) 10. Prof.Kim, what do you see as the biggest wild card for the gold market in 2025? Could it be geopolitics, inflation, central bank policy, or something else?
S. Korea's producer prices for January rise for third consecutive month
2025/02/20 17:00
Producer prices rose for the third month in a row in January driven by higher oil prices. According to the Bank of Korea the producer price index stood at 1-hundred-20-point-1-8 last month up 0-point-6 percent on month. This latest hike is the highest in 17 months. Manufactured items including petroleum products and agricultural goods have been keeping the index high.
S. Korea's consumer sentiment rises for second month, driven by expectations of political stability
2025/02/20 10:00
South Korea's consumer sentiment has risen for the second consecutive month, reflecting growing optimism over future political stability. According to the Bank of Korea on Thursday, the Consumer Sentiment Index for this month reached 95-point-2, marking a 4-point increase from the previous month. This is the largest jump since June 2021. Officials said that expectations of political stability and rising stock prices led to an improved outlook on living conditions. However, the index has not yet returned to pre-martial law levels.
Government announces measures to bolster regional construction
2025/02/19 20:00
A host of measures has been unveiled to bolster regional construction by expanding related development projects, as struggles in the sector have become a cause of concern. Our Park Kun-woo has more. At an economic policy meeting held in Seoul on Wednesday, the government unveiled plans to boost the local economy, especially in the struggling construction field. "We're facing downward pressure due to a delayed recovery in domestic demand, and rising external uncertainties. The construction sector, hit by fewer orders, is seeing sluggish investment and employment, delaying any regional recovery. The government will boost support for the sector in its first quarter spending plan." This comes after the Bank of Korea predicted another decrease in construction investment this year, following a decline last year. Among the plans the government put forward are underground railway projects, worth around 3 billion U.S. dollars, in the cities of Busan, Daejeon and Ansan. These cities were chosen as their local governments have already completed discussions, regarding the project areas and cost-sharing with the central government. The projects involve either putting elevated railways running through the city center underground, or covering them with deck structures while developing the surrounding land for residential and commercial facilities. The government also plans for the state-owned Korea Land and Housing Corporation (LH) to buy around three thousand unsold apartments in areas outside the capital region. This follows an increase in the number of unsold houses in regional areas at the end of last year that nearly doubled compared to 2023. On Wednesday, the government hinted at the possibility of even increasing the number of purchases, depending on market conditions. Additionally, new strategic projects exempt from greenbelt zone restrictions will be announced next week to enable more flexible land development. Park Kun-woo, Arirang News.
94.8% of S. Koreans have experience using subscription services
2025/02/19 10:00
Subscription services are showing strength in the consumer market, with a recent survey showing that 94.8 percent of respondents have experience using subscription services. According to the Korea Chamber of Commerce and Industry on Wednesday, a survey on consumer subscription service usage conducted with Macromill Embrain on one thousand adults nationwide, showed that video streaming services led the way with 60.8 percent, followed by shopping membership at over 52 percent. Nearly 40 percent of the respondents had subscribed to 3 to 4 different services. The survey also showed that the service that those in their twenties and thirties want to subscribe to the most is 'generative AI,' while those in their forties, fifties and sixties prefer subscriptions to health and home products.
S&P 500 sets record highs ahead of FOMC minutes release
2025/02/19 10:00
The S&P 500 closed at a record-high on Tuesday, as markets awaited the minutes of the Federal Reserve's January monetary policy meeting. The S&P 500 rose zero-point-two percent, to stand at 6-thousand-one hundred-29 points. This comes ahead of the Federal Open Market Committee minutes release set for Wednesday afternoon, which could contain clues about how long the Fed will keep rates unchanged. At the Fed's meeting last month, it decided to leave its benchmark lending rate unchanged following three straight cuts, saying inflation remained "somewhat elevated."
S. Korean gov't to provide wide ranging support for companies hit by tariff threats
2025/02/18 20:00
Against this backdrop, a set of measures has been unveiled to help local exporters, bracing for the impact of the U.S.' tariff plans. Our Lee Soo-jin explains what these measures entail. The South Korean government on Tuesday announced plans to offer a broad range of support services to companies affected by U.S. President Trump's recent tariff threats and is also working to diversify its export markets. This comes amid growing concerns about the potential impact of tariffs on exports, especially given their critical role in driving Korea's economic growth. "Last year, exports supported our struggling economy. They grew by 8-point-1 percent annually to a record high, leading Korea to become the world's sixth-largest exporter. However, policy shifts from the new U.S. administration have made this year's outlook more uncertain than ever." The remarks were made during an export strategy meeting, where the Acting President announced that the government would provide "export vouchers" for small and medium-sized enterprises. With these vouchers, companies can receive consultations in various fields, including legal, taxation, marketing, and certifications. And 90 percent of the 240 billion won, or around 166 million U.S. dollar budget for the vouchers will be allocated in the first half of the year. The government also announced that it will offer tax benefits to companies relocating to Korea due to shifts in the global trade environment, even before they have fully scaled down their overseas operations. As part of further efforts to provide financial relief,.. the government will provide short-term liquidity for companies hit by tariff threats, by supplying around 254 billion dollars in trade financing this year, a record-high amount. The country's export market is also expected to become more diversified in the future, as the government is aiming to expand into countries such as Mexico, Mexico, South Africa, Vietnam, and India by setting up five new export centers overseas. Lee Soo-jin, Arirang News.
STOCK
2025/02/18 20:00
2025. 2. 18. KOREAN STOCK MARKET KOSPI : 2,626.81 ▲16.39 +0.63% KOSDAQ : 773.65 ▲5.17 +0.67% KOSPI200 : 347.84 ▲2.73 +0.79% ASIAN STOCK MARKET NIKKEI225 : 39,270.40 ▲96.15 +0.25% HANG SENG : 22,976.81 ▲360.58 +1.59% SHANGHAI : 3,324.49 ▼31.34 -0.93% WALL STREET (February 17) DOW JONES : CLOSED NASDAQ : CLOSED S&P500 : CLOSED EXCHANGE RATE USD : 1,443.70 (+2.00) JPY : 949.83 (-0.50) CNY : 198.19 (-0.67) EUR : 1,509.82 (-2.67)
S. Korea automobile exports saw sharp decline in January, impacted by Lunar New Year holiday
2025/02/18 20:00
Korea's auto exports lost substantial ground in January owing to fewer working days given the prolonged lunar new year holiday. Our Choi Soo-hyung covers the latest data. South Korea's automobile exports saw a sharp decline last month. Data from the Ministry of Trade, Industry and Energy released on Tuesday shows that the declines were impacted by fewer working days due to the Lunar New Year holiday in the last week of January. The country's auto exports totaled 4-point-9-9 billion dollars in January – nearly 20 percent down from a year ago. While this figure fell short of last year's all-time high for the month, it still marks the second-largest January export value on record. By volume, exports dropped nearly 18 percent, with Hyundai Motor and Kia Motor both seeing double-digit declines. Hyundai shipped over 85 thousand units, down more than 15 percent, while Kia's exports fell nearly 18 percent to just under 77 thousand. Among the smaller auto firms, KG Mobility and Renault Korea recorded export growth, while GM Korea saw a decline of nearly 30 percent. Eco-friendly vehicle exports declined slightly, dropping more than four percent overall. While hybrid and plug-in hybrid exports surged, demand for electric vehicles weakened with EV shipments plunging by nearly 42 percent. As well as fewer working days in January, a high base effect from the record-breaking performance last January also played a role. Following U.S. President Donald Trump's announcement that tariffs could be imposed on automobiles starting in early April, a significant impact is expected. Although the exact plan has not been revealed yet, it is predicted that any decision will greatly affect South Korea, as more than half of its automobile exports go to the U.S. The domestic sales volume in January exceeded 105-thousand units, marking a 9-percent decrease compared to the same month last year. Choi Soo-hyung, Arirang News.
S. Korea automobile exports saw sharp decline in January, impacted Lunar New Year holiday
2025/02/18 17:00
Korea's auto exports lost substantial ground in January owing to fewer working days given the prolonged lunar new year holiday. Our Choi Soo-hyung covers the latest data. South Korea's automobile exports saw a sharp decline last month. Data from the Ministry of Trade, Industry and Energy released on Tuesday shows that the declines were impacted by fewer working days due to the Lunar New Year holiday in the last week of January. The country's auto exports totaled 4-point-9-9 billion dollars in January – nearly 20 percent down from a year ago. While this figure fell short of last year's all-time high for the month, it still marks the second-largest January export value on record. By volume, exports dropped nearly 18 percent, with Hyundai Motor and Kia Motor both seeing double-digit declines. Hyundai shipped over 85 thousand units, down more than 15 percent, while Kia's exports fell nearly 18 percent to just under 77 thousand. Among the smaller auto firms, KG Mobility and Renault Korea recorded export growth, while GM Korea saw a decline of nearly 30 percent. Eco-friendly vehicle exports declined slightly, dropping more than four percent overall. While hybrid and plug-in hybrid exports surged, demand for electric vehicles weakened with EV shipments plunging by nearly 42 percent. As well as fewer working days in January, a high base effect from the record-breaking performance last January also played a role. Following U.S. President Donald Trump's announcement that tariffs could be imposed on automobiles starting in early April, a significant impact is expected. Although the exact plan has not been revealed yet, it is predicted that any decision will greatly affect South Korea, as more than half of its automobile exports go to the U.S. The domestic sales volume in January exceeded 105-thousand units, marking a 9-percent decrease compared to the same month last year. Choi Soo-hyung, Arirang News.
STOCK
2025/02/17 20:00
2025. 2. 17. KOREAN STOCK MARKET KOSPI : 2,610.42 ▲19.37 +0.75% KOSDAQ : 768.48 ▲12.16 +1.61% KOSPI200 : 345.11 ▲2.35 +0.69% ASIAN STOCK MARKET NIKKEI225 : 39,174.25 ▲24.82 +0.06% HANG SENG : 22,616.23 ▼4.10 -0.02% SHANGHAI : 3,355.83 ▲9.11 +0.27% WALL STREET (February 14) DOW JONES : 44,546.08 ▼165.35 -0.37% NASDAQ : 20,026.77 ▲81.13 +0.41% S&P500 : 6,114.63 ▼0.44 -0.01% EXCHANGE RATE USD : 1,441.70 (-1.80) JPY : 950.33 (+4.52) CNY : 198.86 (+0.59) EUR : 1,512.49 (+3.31)
S. Korea sees job growth in Jan., gov't pledges record no. of public sector jobs in Q1
2025/02/14 20:00
Overall employment in Korea rebounded during the first month of this year but by age and sector, the trend remained largely inconsistent. Our Moon Hye-ryeon explains. South Korea’s job market saw a rebound last month, but employment challenges persist, particularly in the construction and manufacturing sectors. According to Statistics Korea’s employment report released on Friday, the number of employed people aged 15 or older reached just under 27-point-9 million in January, marking a year-on-year increase of 135-thousand. This comes following a decline in December. By industry, the health and social welfare sector led job gains, followed by professional, scientific, and technical services and the information and communication sector. However, jobs in construction saw the biggest decline since data collection began due to a slump in the construction sector, alongside a drop in manufacturing jobs for the seventh straight month despite booming semiconductor exports. Retail and wholesale employment also saw losses marking 11 consecutive months of decline. By age group, employment among those aged 60 or older saw the biggest increase, adding 340-thousand jobs. In contrast, younger workers struggled. The number of employed individuals aged 15 to 29 dropped by 218-thousand, the sharpest decline since January 2021. With this latest data, the country's Finance Minister and Acting President Choi Sang-mok pledged a series of measures to vitalize the country's job market during an economic policy meeting on Friday. "We will create over 1-point-2 million public sector jobs by the first quarter the highest number ever through expedited hiring." State-run institutions plan to increase new recruitment from 20-thousand last year to 24-thousand this year, and raise the proportion of long-term internships that are particularly favored by young job seekers. The government also signed an agreement with six major business associations to strengthen employment initiatives in the first half of the year. Beyond direct job creation, Choi outlined plans to allocate seven trillion Korean won just under 4-point-9 billion U.S. dollars in social infrastructure budgets, and 17 trillion Korean won in public institution investments to support the struggling construction sector. Employment and Labor Minister Kim Moon-soo who also attended the meeting, announced the launch of a platform next month to provide tailored job-matching services to young job-seekers looking to find work after graduation. Moon Hye-ryeon, Arirang News.
Ministry of Economy and Finance data shows delay in recovery of domestic demand
2025/02/14 20:00
On the economic front. The authorities forecast a delay in the recovery of domestic demand as well as employment concerns, citing increasing risks at home and abroad. Cha Yun-kyung has more. The Ministry of Economy and Finance announced on Friday that there continue to be delays in the recovery of domestic demand and difficulties in employment in its latest economic green book, a monthly report on the South Korean economy. The ministry stated that domestic demand had shown some signs of recovery in the six months since May last year, however, this slowed from November, in contrast to its expectations, and continues to be in the doldrums. The falls in the indicators for domestic demand, including consumption and investment, have been worsening due to national political crisis and potential U.S. tariffs. Retail sales fell 0-point-6 percent compared to last month, and 3-point-3 percent comparing the same month last year. Negative figures in new employment, for two months in a row, are also drawing attention. The number of young people finding work decreased by 218-thousand, the largest drop since January, 2021. The government concluded that economic sentiment has dampened due to the expansion of domestic and external uncertainties, raising downward pressure on growth. Cha Yun-kyung, Arirang News.
S. Korea's February green book presents bleaker economic assessment
2025/02/14 17:00
And taking into account the Trump administration's tariff plans the Economy and Finance Ministry here has sounded the alarm over the growing presence of risks factors against the South Korean economy. In its latest monthly economic report shared on this Friday the ministry also underscored a host of national concerns such as the reality that domestic spending and construction investment remain sluggish while employment trends remain uneven. February's assessment stands more bleak compared to that shared in January.
S. Korea sees job growth in Jan., gov't pledges record no. of public sector jobs in Q1
2025/02/14 17:00
And on the topic of jobs. Overall employment in Korea rebounded during the first month of this year but by age and sector the trend remained largely inconsistent. Our correspondent Moon Hye-ryeon explains. South Korea's job market saw a rebound last month, but employment challenges persist, particularly in the construction and manufacturing sectors. According to Statistics Korea's employment report released on Friday, the number of employed people aged 15 or older reached just under 27-point-9 million in January, marking a year-on-year increase of 135-thousand. This comes following a decline in December. By industry, the health and social welfare sector led job gains, followed by professional, scientific, and technical services and the information and communication sector. However, jobs in construction saw the biggest decline since data collection began due to a slump in the construction sector, alongside a drop in manufacturing jobs for the seventh straight month despite booming semiconductor exports. Retail and wholesale employment also saw losses --marking 11 consecutive months of decline. By age group, employment among those aged 60 or older saw the biggest increase, adding 340-thousand jobs. In contrast, younger workers struggled. The number of employed individuals aged 15 to 29 dropped by 218-thousand, the sharpest decline since January 2021. With this latest data, the country's Finance Minister and Acting President Choi Sang-mok pledged a series of measures to vitalize the country's job market during an economic policy meeting on Friday. "We will create over 1-point-2 million public sector jobs by the first quarter --the highest number ever --through expedited hiring." State-run institutions plan to increase new recruitment from 20-thousand last year to 24-thousand this year, and raise the proportion of long-term internships that are particularly favored by young job seekers. The government also signed an agreement with six major business associations to strengthen employment initiatives in the first half of the year. Beyond direct job creation, Choi outlined plans to allocate seven trillion Korean won --just under 4-point-9 billion U.S. dollars --in social infrastructure budgets, and 17 trillion Korean won in public institution investments to support the struggling construction sector. Employment and Labor Minister Kim Moon-soo who also attended the meeting, announced the launch of a platform next month to provide tailored job-matching services to young job-seekers looking to find work after graduation. Moon Hye-ryeon, Arirang News.
January sees job growth in S. Korea, but record drop for construction jobs
2025/02/14 10:00
Job growth in South Korea perked back up in the first month of the year, but some sectors saw big declines. Data from Statistics Korea on Friday showed that there were 27-point-8 million people in employment in January a rise of some 135 thousand from the same month the year before. This is due to jobs being added in healthcare and welfare, as well as professional, scientific, and technical services. However, jobs in construction saw the biggest decline since data collection began due to a slump in the construction sector, alongside a drop in manufacturing jobs despite booming semiconductor exports.