Headline, May 17. 2021

Newly elected Chairman Chey Tae-won of the Korea Chamber of Commerce and Industry (KCCI) in Seoul said, “The Korean businesses should try to find solutions from the view point of the people, government and the parliament, and should seek new role to meet the requirements of the times.”

 KCCI board chairmen’s meeting which was held on April 12, 2021 was attended by a total 17 members of the Board.

The participants included Vice-Chairman Yoon Doh-Joon (chairman of Donghwa Pharmaceutical Co.), President Lee Dong-Woo of the Lotte Holdings, Chairman Lee Soon-Hyung of SeAh Steel, Vice Chairman Lee Woo Hyun of OCI, President Lee In-yong of Samsung Electronics, CEO Lee Han-Joo of Bespin Global, President Lee Hyung-hee of SK Suplex, Chairman Chang Byung-gyu of Krafton, Chairman Chung Ki-Ok of LSC Food, Chairperson Hyun Jeong-eun Hyundai Busienss Group, and Execurtive Vice Chairman Woo Tae-hee of KCCI.

LG Chem invests 150 billion won in Korea Battery & ESG Fund

LG Chem announced on May 11 that it will invest 150 billion KRW as a core investor (Anchor Limited Partner) of the KBE (Korea Battery & ESG) Fund managed by the domestic private equity fund management company, IMM Credit Solution.

This is the first time that LG Chem will invest as a core investor for funds raised by an external asset management company.

Plans are to raise over 400 billion won for the KBE Fund and it will find and invest in domestic companies equipped with technologies and growth potentials in ESG industry-related sectors.

Samsung Electronics to expand investment in LSI and foundry businesses

Samsung Electronics announced on May 13 that it will increase its investments in the System LSI and Foundry businesses through 2030 to a total of 171 trillion won, to accelerate research of cutting-edge semiconductor process technology and construction of a new production facility.

Samsung Electronics Pyeongtaek Campus

The plan represents an increase of 38 trillion won from the previous commitment of KRW 133 trillion announced in April 2019 and is expected to help the Company reach its goal of becoming the world leader in logic chips by 2030.

For the past two years, Samsung has been closely collaborating with various semiconductor design companies, component and equipment manufacturers, as well as academia in making progress towards that goal.

Report: S. Korea, US, Japan Arranging Summit on Sidelines of G7 Meeting

The leaders of South Korea, the United States and Japan are reportedly planning to meet on the sidelines of the Group of Seven(G7) summit in Britain next month.

Quoting sources close to the countries on Saturday, Japan's Kyodo News reported that coordination is under way to arrange the trilateral summit on the fringes of the G7 summit set for June 11 to 13 in Cornwall, southwestern England.

According to Kyodo, a government source in Japan said that the U.S. is positive about the meeting as it has no reason to reject it, and a South Korean official said Seoul is aiming to hold it to coincide with the G7 summit.   

The trilateral summit, if realized, would be the first since September 2017, when President Moon Jae-in held a meeting with then U.S. President Donald Trump and then Japanese Prime Minister Shinzo Abe on the sidelines of the UN General Assembly.

N. Korea Propaganda Outlet Criticizes S. Korea's Defense Drill, Military Buildup

A North Korean propaganda media outlet has criticized South Korea's ongoing training and recent combined exercise with the United States, warning that it will only "stab itself in the eyes."

Tongil Voice said on Sunday that South Korea's move for military buildup and drills are completely for a preemptive strike against North Korea, calling it a factor that further aggravates the already critical tension on the Korean Peninsula.

The outlet blasted the South Korean military, saying that its belligerent acts showed that South Korea is the very country that destroys peace and stability on the peninsula.

It added that South Korea will result in "stabbing itself in the eyes with its bare hands" by confronting the North.

Last week, South Korea's Joint Chiefs of Staff kicked off the Hwarang training in the southeastern city of Daegu and its surrounding North Gyeongsang Province as part of efforts to maintain an integrated defense posture. The biennial exercise will run until November in five different regions.

S. Korea, US, Japan Arranging Summit at G7 Next Month

South Korea, the United States and Japan are reportedly arranging summit talks on the sidelines of the Group of Seven(G7) summit in Britain next month.

A government official in Seoul said that coordination is under way to arrange the trilateral summit on the fringes of the G7 summit set for June 11 to 13 in Cornwall, southwestern England.

South Korea is not a member of the G7, but has been invited to the summit as a guest.

Stressing cooperation among the three nations, the United States appears to be positive about the trilateral summit.

The three nations held a meeting of their top security advisers last month and another with their intelligence chiefs this month, in which the need for talks among their leaders was reportedly raised.

Top diplomats of S. Korea, Italy hold phone talks on bilateral cooperation

The top diplomats of South Korea and Italy held phone talks on Friday to discuss bilateral ties, the Korean Peninsula situation and the fight against the COVID-19 pandemic and climate change , the foreign ministry said.

Foreign Minister Chung Eui-yong and his Italian counterpart, Luigi Di Maio, agreed to strengthen cooperation in responding to pending global issues, such as climate change, and closely cooperate for Seoul's successful hosting of the Partnering for Green Growth and the Global Goals (P4G) summit set for May 30-31.

They also agreed to ensure close bilateral cooperation at key multilateral organizations, as Italy has taken this year's rotating presidency of the Group of 20 forum.

Moon, U.S. intelligence chief discuss alliance, N. Korea issues

South Korean President Moon Jae-in had "in-depth" discussions with a visiting top U.S. intelligence official on issues related to the bilateral alliance and North Korea, Cheong Wa Dae said Friday.

Moon greeted U.S. Director of National Intelligence Avril Haines at his office and expressed hope that Seoul-Washington cooperation on intelligence will further develop and the alliance will further solidify, according to Cheong Wa Dae spokesperson Park Kyung-mee.

Haines was quoted as replying that the alliance is not just about security but also about such universal values as democracy, peace and human rights.

The two also "exchanged broad and in-depth opinions" on pending issues between the two nations and the Korean Peninsula security situations, Park said in a press statement without elaborating,

Blinken says U.S., Australia share commitment to UNSC resolutions on N. Korea

 U.S. Secretary of State Antony Blinken reaffirmed his country's commitment to U.N. Security Council resolutions on North Korea on Thursday, amid U.S. outreach for engagement with the reclusive North.

The top U.S. diplomat said he and his Australian counterpart, Marise Payne, discussed a range of challenges, including North Korea, in their bilateral meeting in Washington.

"The (Australian) foreign minister and I touched on a number of key challenges that we face together," he said in a joint press conference with Payne at the State Department.

H.eco Forum 2021 to address climate emergency, discuss solutions

The H.eco Forum addressing environmental issues will be launched on June 10 in Seoul, bringing together policymakers, businesspeople, scholars and activists to discuss what actions must be taken at individual, business and governmental levels to avert a climate catastrophe.

Under the theme “We face the Climate Clock,” the first edition of the H.eco Forum will center on addressing climate change -- the biggest crisis faced by humanity -- and the need for drastic changes to every aspect of our lives to limit global warming to 1.5 degrees Celsius above pre-industrial levels.

Top 4 conglomerates eye W40tr of investments ahead of Korea-US summit

South Korea’s top four conglomerates are reviewing investments worth 40 trillion won ($35.5 billion) in the US as President Moon Jae-in prepares for his first summit with President Joe Biden on Friday.

Industry watchers say that although investments from Samsung, Hyundai, SK and LG are intended to respond to Biden’s protective policies -- such as strengthening chip and battery supply chains, the Buy American policy and Green New Deal initiative -- they are likely to act as a diplomatic gift in light of the summit.

N. Korea’s Zoom-type app Rakwon gains traction

A videoconferencing platform similar to Zoom is widely used in North Korea as the country’s citizens avoid face-to-face meetings just like most people around the world.

According to a report released Thursday by 38 North, a media outlet that specializes in North Korea, the country uses a domestically developed videoconferencing system called Rakwon. The name means “paradise.”

The software was developed a decade ago at Kim Il Sung University, and the news of its existence was first reported in 2012.

The platform wasn’t frequently mentioned in North Korea’s news bulletins until 2020, when it became a means for government offices, organizations and enterprises to communicate during the COVID-19 pandemic.

Vaccine, chips, North Korea on agenda for Seoul-Washington summit

Vaccine sharing, chip investments and the North Korea issue are projected to top the agenda for this week's summit between President Moon Jae-in and U.S. President Joe Biden.

Officials in both countries' presidential offices are already dropping hints at a bilateral vaccine partnership, and this move is anticipated to be backed by South Korean chipmakers' substantial investments in the U.S. Building from cooperation in these areas, the leaders of the two nations are expected to explore measures to encourage North Korea to return to talks.

According to Cheong Wa Dae, Moon will have a summit with Biden at the White House on May 21 (U.S. time). This summit will be Moon's first in-person meeting with Biden since the latter took office on Jan. 20, and Moon will be the second foreign leader to have an in-person summit with the U.S. president, following Japanese Prime Minister Yoshihide Suga.

Biden expresses 'grave concern' to Netanyahu, tells Abbas rocket fire must 'cease'

U.S. President Joe Biden expressed his "grave concern" over violence in Israel and Gaza in a phone call with Israeli Prime Minister Benjamin Netanyahu Saturday while separately telling Palestinian president Mahmud Abbas that Hamas must "cease firing rockets."

Speaking on the sixth day of a paroxysm of Israeli-Palestinian violence that has left scores dead or wounded, Biden expressed his "strong support" for Israel's right to defend itself against rocket attacks by "Hamas and other terrorist groups," in his call with Netanyahu, while also emphasizing his clear concern over the deadly flare-up and casualties on both sides.

"He condemned these indiscriminate attacks against towns and cities across Israel," the White House statement said.

Israel signs FTA with Korea, expands technological cooperation

Israeli Minister of Economy Amir Peretz visited Korea to sign a free trade agreement (FTA), opening a new chapter in the bilateral economic relations between the two countries.

Israel is the first Middle Eastern country to sign an FTA with Korea and Korea is the first Asian country to ink one with Israel, signaling the significance of the agreement.

"Israel and South Korea have a lot in common. We both have ancient history and for many years, we both fought for independence, eventually achieving at a similar time," Peretz said during the signing ceremony at Lotte Hotel Seoul, Wednesday. "The free trade agreement will significantly lower tariffs and eliminate duties in so many areas from cars to mobile phones, plastic, chemical, machinery and many more."

N.Korean Regime Loses Grip on Younger Generation

North Korean leader Kim Jong-un recently criticized young people who have grown up exposed to South Korean pop culture by saying they needed to be converted.

Kim was pointing to the threat to his regime's Stalinist ideology posed by the young generation, who have become curious about the outside world and tend to be more independent-minded than the older generation.

North Korean leader Kim Jong-un and his wife Ri Sol-ju clap at a peformance to mark the birthday of nation founder Kim Il-sung on April 15, in this grab from [North] Korean Central Television.

In a closing speech at a Workers Party meeting earlier this month Kim said, "Turning all party cells into healthy and viable ones which are closely knitted in bonds of human feelings... Those that are not knitted in bonds of human feelings cannot become loyal cells."

U.S. Spy Chief Visits Seoul

U.S. Director of National Intelligence Avril Haines arrives in Seoul on Wednesday after a stopover in Tokyo and will visit the demilitarized zone.

She is set to discuss the North Korean nuclear issue and the upcoming Korea-U.S. summit with South Korean officials and is likely to pay a courtesy call on President Moon Jae-in.

The first-ever female DNI chief, Haines supervises 15 intelligence agencies including the CIA and FBI.

On Wednesday morning, Haines met the chief of Korea's National Intelligence Service, Park Jie-won, who was also in Tokyo, and their counterpart Hiroaki Takizawa.

Moon Marks 4th Year in Office

President Moon Jae-in delivered a special address to mark his fourth year in office at 11:00 a.m. Monday.

In the televised speech, Moon reflected on the past four years and explained how he plans to govern in his final year in office.

He touched on all the major issues including COVID-19 vaccinations, economic recovery and skyrocketing real estate prices. He then took questions from reporters, only 20 of whom were admitted due to coronavirus restrictions.

Moon promised to focus "all efforts" on solving these issues in a "steady and cautious" way, adding that the remaining year is as important as the last four.

US intelligence chief to meet Moon Friday

The US's top intelligence official will be paying a courtesy call on South Korean President Moon Jae-in just one week before Moon's summit with US President Joe Biden, the Hankyoreh has confirmed. The two sides are likely to have an in-depth discussion of solutions for the North Korean nuclear issue, a key item on the agenda for the summit scheduled for May 21.

A senior official at the Blue House said Wednesday that US Director of National Intelligence Avril Haines will be visiting the Blue House on Friday to meet with Moon and Blue House Director of National Security Suh Hoon. The official said that Haines, Moon, and Suh are planning to discuss North Korea policy and the upcoming summit.

S. Korean NIS director delivers Moon’s message to Suga

Park Jie-won, director of South Korea’s National Intelligence Service, met with Japanese Prime Minister Yoshihide Suga while visiting Japan for a trilateral meeting with his American and Japanese counterparts. Park reportedly conveyed a verbal message from South Korean President Moon Jae-in during his meeting with Suga.

A key official from South Korea’s ruling Democratic Party told the Hankyoreh over the phone Thursday about Park’s meeting with Suga the previous day.

“I’m told that Park relayed a verbal message that he’d received from Moon in advance,” the official said.

According to the official, the message expressed hopes for cooperation and improved relations between the two countries.

National Assembly confirms Kim Boo-kyum as prime minister, opposition objects

South Korea’s National Assembly confirmed Kim Boo-kyum as prime minister on Thursday. The vote came 28 days after President Moon Jae-in nominated Kim on April 16.

The main opposition People Power Party (PPP) had objected to Kim’s nomination, which it linked with ethical objections to other ministerial nominees – Lim Hye-sook for Minister of Science and ICT, Park Jun-young for Minister of Oceans and Fisheries, and Noh Hyeong-ouk for Ministry of Land, Infrastructure and Transport. PPP members attended the session but refused to vote on the confirmation bill.

The National Assembly passed Kim’s confirmation bill during a plenary session Thursday. Among the 176 lawmakers who took part in the vote, 168 voted in favor, five voted against, one abstained, and two cast null votes.

Seoul-Washington-Tokyo summit planned during G7 meeting in UK

A plan is being discussed and coordinated to hold a summit meeting among South Korea, the U.S. and Japan on the sidelines of the G7 meeting, which will take place in the U.K. next month, the Kyodo News Agency reported Sunday. There is a possibility for a ‘unofficial brief contact’ in lieu of an official summit between the leaders of South Korea and Japan, the news agency said.

According to KyodoNews and the Tokyo Shimbun, South Korea, the U.S., and Japan are discussing a plan to hold a tripartite summit on the occasion of the G7 meeting, which is scheduled in the U.K. on June 11-13. South Korea is not a G7 member state, but the U.K., which chairs this year’s summit, officially invited President Moon Jae-in to attend. If a Seoul-Washington-Tokyo summit actually takes place, it will be the first time since September 2017 when President Moon met with then U.S. President Donald Trump, and then Japanese Prime Minister Shinzo Abe on the sidelines of the U.N. General Assembly.

U.S. vows to tackle human rights violations in the North

The U.S. State Department issued the 2020 International Religious Freedom Report on Wednesday, shedding light on the oppression of the freedom of religions in countries including North Korea and China where human right violations have been a perennial issue. U.S. President Joe Biden made it clear the agenda of human fights including the freedom of religions will not be put on the backburner even in the process of trying to resume dialogues with Pyongyang for Washington’s new North Korea policy.

The U.S. Department of State designated North Korea as a Country of Particular Concern again this year, citing the cases of executing, torturing, and arresting North Korea people who pursue religious activities.

Seoul-Washington-Tokyo summit planned during G7 meeting in UK

A plan is being discussed and coordinated to hold a summit meeting among South Korea, the U.S. and Japan on the sidelines of the G7 meeting, which will take place in the U.K. next month, the Kyodo News Agency reported Sunday. There is a possibility for a ‘unofficial brief contact’ in lieu of an official summit between the leaders of South Korea and Japan, the news agency said.

According to KyodoNews and the Tokyo Shimbun, South Korea, the U.S., and Japan are discussing a plan to hold a tripartite summit on the occasion of the G7 meeting, which is scheduled in the U.K.

“The Cho Kuk Incident Hurt the Young People” Kim Boo-kyum Lowers His Head and Keeps His Distance with the Ruling Party

On May 6, prime minister nominee Kim Boo-kyum (Bu-gyeom) made comments keeping a distance from the “text bombs” by strong Democratic Party of Korea supporters in connection to the scandal of former justice minister Cho Kuk and from the ramming of legislation by the ruling party. As for the allegation that his daughter and son-in-law received special favors when investing in the private equity fund by Lime Asset Management, Kim aggressively refuted the allegations arguing that they were victims. However, he bowed his head saying he was “ashamed” when it came to other accusations concerning morality.

A Foreign Tourist Arrived in South Korea Every 1.8 Seconds: Foreign Visitors in Korea Expected to Exceed 17.5 Million This Year to Set a Record High

A record-breaking number of foreign tourists visited South Korea this year, and to celebrate this the government organized an event on December 26. The Ministry of Culture, Sports and Tourism and the Korea Tourism Organization announced that they held the event, “Your Korea Mesmerizing the World” at the Incheon International Airport this morning to celebrate the fact that over 17.2 million foreign tourists entered the country. The 17,250,000thforeign visitor to enter Korea was Eko Prasetyo’s family from Indonesia.

Korea vows to build world’s largest semiconductor supply chain by 2030

South Korea has unveiled a bold plan to build the world’s biggest semiconductor supply chain by 2030 by attracting more than 510 trillion won ($450 billion) investment from the private chip sector including Samsung Electronics and SK hynix with the state’s generous tax incentives and relaxed regulations.

The plan called "K-Semiconductor Belt" announced by President Moon Jae-in during his visit to Samsung Electronics’ chip production base in Pyeongtaek on Thursday aims to sharpen Korea’s competitive edge in the global semiconductor industry and localize key chip materials and equipment supplies with major semiconductor companies and their suppliers working in clusters amid a global chip shortage.

Korean retail net purchase in Kospi exceeds 2021 total, half went to Samsung Elec

Individual investors in South Korea net purchased over 50 trillion won ($44.2 billion) in Kospi shares so far this year, already exceeding their last year’s buy and putting half of their money into bellwether Samsung Electronics Co.

According to Korea Exchange on Sunday, retailers net purchased 50.98 trillion won worth Kospi stocks since beginning of the year, topping 2020 total of 47.5 trillion won. Institutional and foreign investors were net sellers during the period, offloading 34.2 trillion won and 15.2 trillion won in Kospi, respectively.

S. Korea’s biz sentiment at 10-yr high in April on strong exports, spending

More Korean companies are turning optimistic about business outlook, pushing the business sentiment index to a 10-year best in April as global demand pickup accelerates from heavy stimuli across the world.

According to data released by the Bank of Korea on Thursday, the business survey index (BSI) of the overall industry for April came to 88, up 5 points from the previous month. It is the second month in a row for the business confidence indicator to improve and the highest reading in 10 years after 88 in June 2011.