Korea

Aug. 9 (Asia Today) — SK hynix is rapidly expanding its manufacturing base in South Korea as the chipmaker prepares for continued growth in global demand for artificial intelligence memory through the end of the decade.

The company is increasing capacity for high-bandwidth memory, DRAM, NAND flash and advanced semiconductor packaging across its major production sites while preparing another large-scale manufacturing hub in southwestern South Korea.

Industry research firm Omdia forecasts demand for DRAM and NAND memory to grow at an average annual rate of about 19% through 2030.

SK Group Chairman Chey Tae-won has also said he expects the global shortage of memory chips to continue through 2030.

That outlook is driving SK hynix to expand production capacity at several locations simultaneously.

Yongin becomes long-term DRAM and HBM production base

In Yongin, south of Seoul, SK hynix is focused on securing large-scale manufacturing capacity for long-term memory demand.

The company plans to build four semiconductor fabrication plants, or fabs, in phases at the Yongin Semiconductor Cluster.

Construction is underway on the first fab, known as Y1, while preparations are moving forward for subsequent facilities.

SK hynix plans to invest about 600 trillion won, or approximately $407 billion, in Yongin over the long term, making the complex a major production center for high-bandwidth memory and next-generation DRAM.

The company’s board Friday approved 35.2 trillion won ($25 billion) in investment for the second phase of the Yongin project through 2031.

Construction of the second fab, Y2, is scheduled to begin in July 2027, with its first cleanroom expected to become operational in June 2029.

The facility is expected to produce advanced DRAM products, including high-bandwidth memory used in AI servers.

Cheongju expands from NAND into AI memory hub

SK hynix is also significantly broadening the role of its Cheongju production base in central South Korea.

Cheongju was historically centered on NAND flash production, but the company is adding capacity for next-generation DRAM, advanced packaging and enterprise solid-state drives.

M15X is being developed as a new DRAM production base after SK hynix accelerated the project in response to rapidly growing AI memory demand.

The company plans to expand production of high-bandwidth memory and other next-generation DRAM products at M15X while linking the facility with nearby packaging and testing infrastructure.

P&T7, which began construction in April, is dedicated to advanced packaging for AI memory products, including high-bandwidth memory.

The facility will handle semiconductor packaging and wafer testing, adding back-end manufacturing capacity to SK hynix’s existing front-end wafer fabrication operations.

SK hynix announced in January that it plans to invest about 19 trillion won, or $12.9 billion, in P&T7.

The company has said Cheongju will become a major center for AI memory production as demand for high-bandwidth memory continues to rise.

NAND capacity will also expand through M17.

SK hynix’s board recently approved 19.1 trillion won, or about $12.9 billion, for the new facility.

Construction of M17 is scheduled to begin in February 2027, with its first cleanroom expected to open in December 2028.

The facility will produce NAND flash memory for applications ranging from personal computers to enterprise and AI servers.

New $271 billion semiconductor hub planned in southwest

SK hynix is also planning a major new production base in southwestern South Korea.

The company plans to invest about 400 trillion won, or approximately $271 billion, in phases to develop a new semiconductor cluster beyond its existing Yongin and Cheongju operations.

The precise location, fab configuration and construction timetable have not yet been finalized.

The company has said rapid growth in AI services could eventually create memory demand that cannot be met by its existing expansion plans alone.

The southwestern project is therefore expected to become another major pillar of SK hynix’s long-term manufacturing network.

Together with planned investments of about 600 trillion won ($407 billion) in Yongin and 100 trillion won ($67.9 billion) in Cheongju, the southwestern project forms part of an approximately 1,100 trillion won ($781.3 billion) long-term domestic semiconductor investment strategy.

Icheon retains research and advanced production role

SK hynix’s headquarters in Icheon, Gyeonggi Province, is expected to retain its role as a major research, development and manufacturing center.

The site operates the M10, M14 and M16 fabs, with M16 serving as a key production base for advanced DRAM.

As new production sites are added elsewhere in South Korea, Icheon is expected to remain an important center for both research and advanced memory manufacturing.

The overall strategy combines continued use of existing facilities with the addition of substantial new manufacturing capacity to respond to rising AI memory demand.

Chongqing sale review separate from South Korea expansion

Separately, SK hynix is reviewing options for its semiconductor packaging and testing plant in Chongqing, China, including a possible sale.

The company stressed that the review of its Chongqing operation is separate from the expansion of production capacity in South Korea.

“Nothing has been decided, and we may ultimately decide not to sell it,” an SK hynix official said. “It is one of several options being considered as part of our global fab operations.”

The official said the company’s new investments in South Korea are intended to secure additional production capacity.

The Chongqing facility handles semiconductor packaging and testing, the back-end manufacturing processes that prepare chips for final use.

SK hynix’s expansion strategy reflects the increasingly important role of high-bandwidth memory and other advanced memory products in AI computing, where rapidly growing server deployments are driving demand for both processing power and memory capacity.

— Reported by Asia Today; translated by UPI

© Asia Today. Unauthorized reproduction or redistribution prohibited.

Original Korean report: https://www.asiatoday.co.kr/kn/view.php?key=20260810010002802

Aug. 7 (Asia Today) — South Korean Unification Minister Chung Dong-young said Friday that broader public discussion should come before any government move to routinely use North Korea’s official state name, taking a cautious position on a proposal outlined during a recent presidential policy briefing.

Chung made the remarks during a meeting of the Peaceful Unification Advisory Council, an advisory body under the unification minister, at the government complex in Seoul.

“Because the policy briefing was compressed for time, the explanation that we would proceed only after public discussion was omitted,” Chung said.

He said the ministry had already explained at a media briefing before the presidential report that it did not intend to lead the change unilaterally and that any move should come only after public discussion and greater public acceptance.

President Lee Jae Myung also expressed caution during a government policy briefing Wednesday, saying a proposal for the two Koreas to use each other’s official state names remained open to debate.

South Korea ordinarily refers to the North as North Korea, or “Bukhan” in Korean. North Korea’s official name is the Democratic People’s Republic of Korea, while it commonly refers to itself in Korean as “Joseon.”

The question has political and constitutional implications in South Korea because Seoul does not formally treat inter-Korean relations as conventional state-to-state relations. The two governments, however, have used their official names in numerous inter-Korean agreements over the past several decades.

Chung defended the rationale for discussing the change.

He noted that guidelines issued in 1995 by three South Korean media organizations – the Journalists Association of Korea, the National Union of Media Workers and the Korean Producers and Directors Association – recommended that each side use the other’s official name.

Chung said the guideline has not been consistently followed.

He also cited similar calls from South Korea’s seven major religious organizations, civic groups and the Peaceful Unification Advisory Council, saying broader acceptance by the media would be an important factor in determining whether the terminology becomes more widely used.

Former Unification Minister Jeong Se-hyun argued at the meeting that the government should move more actively toward using the official names.

“Since the Inter-Korean Basic Agreement, more than 100 summit agreements and other documents have used the official state names,” Jeong said.

He questioned why South Koreans should be reluctant to use the Democratic People’s Republic of Korea in speech when the same name has already appeared in formal documents.

Former Unification Minister Lim Dong-won said using the term “Joseon” may sound new to many South Koreans but is not historically unprecedented.

He said there was a need to gradually change public perceptions of the terminology.

Paik Nak-chung, professor emeritus at Seoul National University, also noted that since the two Koreas joined the United Nations simultaneously in 1991, presidential documents and numerous inter-Korean agreements have used each other’s official state names.

He described the proposal as essentially calling each side by the name already recorded in official documents.

The meeting was also attended by former Unification Minister Lee Jae-joung, National Museum of Korean Literature Director Lim Heon-young and Ham Se-woong, chairman of a memorial organization honoring Korean independence activist Ahn Jung-geun.

The Unification Ministry launched the Peaceful Unification Advisory Council in January as a ministerial advisory body bringing together senior figures and active experts to develop proposals for peaceful coexistence and shared growth on the Korean Peninsula.

— Reported by Asia Today; translated by UPI

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Original Korean report: https://www.asiatoday.co.kr/kn/view.php?key=20260807010002452

Aug. 7 (Asia Today) — Four Republican members of the U.S. House Judiciary Committee have asked South Korea’s media regulator for a briefing on how it plans to enforce the country’s revised Information and Communications Network Act, arguing the law could infringe on the constitutional rights of U.S. companies and users and be used to suppress politically disfavored views.

The lawmakers said the revised law, which took effect July 7, could expose U.S. companies such as YouTube and their users to penalties without sufficiently clear standards for determining what constitutes false information.

The request follows a House Judiciary Committee subpoena issued to Coupang in February and a July report in which the Republican-led committee accused the South Korean government of discriminating against U.S.-owned businesses.

House Judiciary Committee Chairman Jim Jordan of Ohio and Reps. Scott Fitzgerald of Wisconsin, Darrell Issa of California and Michael Baumgartner of Washington sent a letter to the Korea Media and Communications Commission seeking details about its enforcement plans. Jordan made the letter public on X.

The lawmakers described the revised law as a significant threat to online speech and expression. They argued that the commission could take action against American companies and users for exercising rights protected under the U.S. Constitution.

Their concerns center on the scope of the law and the standards that will be used to enforce it.

The legislation passed South Korea’s National Assembly on Dec. 24 and took effect July 7. Under the revised law, certain media outlets and content publishers with at least 100,000 subscribers can face punitive damages for knowingly distributing false or manipulated information. Repeat violations covered by separate provisions can result in administrative penalties of up to 1 billion won, or about $705,000.

The Korea Media and Communications Commission has said the law is intended to protect people from harm caused by illegal, false and manipulated information.

The Republican lawmakers, however, argued that the law does not provide sufficiently clear standards for determining false information or explain in enough detail how those standards will be enforced.

They warned that vague provisions could be used against “politically disfavored opinions” and could have a chilling effect on online expression.

“No foreign government should be able to pressure American companies to censor constitutionally protected speech,” Fitzgerald said, describing South Korea’s law as “vague, expansive, and ripe for abuse.”

The Judiciary Committee also argued that the law could affect U.S.-based platform operators such as Google’s YouTube and their users.

The lawmakers said South Korea is following the path of the European Union’s Digital Services Act. The House Judiciary Committee has previously issued reports arguing that European digital regulation can restrict free expression by Americans and hinder innovation by U.S. companies.

The committee has been examining whether foreign digital regulations pressure U.S. technology companies to moderate speech or create barriers to American innovation.

The U.S. State Department has also raised concerns since the legislation passed the National Assembly in December, warning that the measure could create unnecessary barriers to digital services.

The latest congressional action comes as scrutiny of South Korean regulation of U.S.-owned businesses has intensified.

Jordan and Fitzgerald issued a subpoena Feb. 5 to Harold Rogers, Coupang’s chief administrative officer and general counsel, seeking communications between the company and the South Korean government as well as testimony before the committee.

The committee said it was investigating whether South Korean laws, regulations and judicial orders discriminate against U.S. companies or infringe on Americans’ due process rights.

Republican committee members cited a Nov. 13, 2025, joint fact sheet issued after a meeting between U.S. President Donald Trump and South Korean President Lee Jae Myung.

They said the agreement committed South Korea to ensuring U.S. companies are not treated discriminatorily or subjected to unnecessary barriers in digital services, including regulations governing online platforms.

The lawmakers have argued that South Korea’s investigation of Coupang and the possibility of criminal penalties against American executives could conflict with that commitment.

According to the Judiciary Committee, South Korean authorities assigned about 400 investigators from 11 agencies to the Coupang customer information case.

The committee said the investigation involved about 150 face-to-face meetings, 200 interviews and more than 1,100 requests for documents and other materials.

It also said a former employee had retained limited, non-sensitive information involving about 3,000 customers and that the information was later recovered. The committee said Coupang had also agreed to compensate users.

In a footnote to its subpoena letter, the committee cited a report that Coupang had announced a compensation package valued at $1.18 billion.

The Judiciary Committee followed the February subpoena with an interim report July 1 accusing the South Korean government of discriminatory treatment of Coupang and other American-owned companies and of violating commitments made between the two countries.

Fitzgerald said Congress would continue examining what he characterized as efforts by foreign governments to export censorship and interfere with Americans’ First Amendment rights.

— Reported by Asia Today; translated by UPI

© Asia Today. Unauthorized reproduction or redistribution prohibited.

Original Korean report: https://www.asiatoday.co.kr/kn/view.php?key=20260807010002272

A record-high heatwave is sweeping through the Korean Peninsula, sending temperatures skyrocketing, reaching 42.5C (108.5F) on Sunday. According to the Korea Disease Control and Prevention ​Agency, at least 14 people have died since mid-May as a result.

Hong Myung-bo’s appointment under scrutiny amid raids with lack of proper interview process previously alleged.

Seoul ‌police have raided the Korea Football Association (KFA) offices ⁠⁠as part of an “obstruction of business” investigation into the appointment of former coach Hong Myung-bo.

Hong returned as national ⁠team coach in 2024 after a previous spell in charge from 2013 to 2014.

His appointment came under scrutiny after the KFA abandoned a months-long search involving foreign candidates ‌and appointed him following a brief meeting.

The issue resurfaced after South Korea’s disappointing FIFA World Cup campaign, which ended in a group-stage exit.

At a parliamentary hearing last month, Hong rejected suggestions by lawmakers that he had received special treatment in his appointment, ⁠while taking responsibility for South Korea’s ⁠failure at the tournament.

South Korea’s Ministry of Culture, Sports and Tourism said in October 2024 that the KFA breached its own rules in the appointments of Hong and former coach Jurgen Klinsmann, finding that the technical director’s ⁠meeting with Hong did not constitute ⁠a proper interview.

However, it found no evidence of illegal conduct and did not order Hong’s contract to be cancelled.

Police had already been ‌investigating complaints alleging improper interference in Hong’s appointment before the World Cup.

No criminal findings have been announced ‌against ‌Hong or KFA officials.

The KFA did not immediately respond to a request by Al Jazeera for comment.

Ukraine’s military intelligence says North Korea is preparing to deploy a missile unit to western Russia, which would mark another major expansion of military cooperation between Moscow and Pyongyang. The report comes as Kyiv warns its dwindling ballistic missile defenses are costing civilian lives.

Andrii Cherniak of Ukraine’s Main Directorate of Intelligence (GUR) told Reuters that the deployment will involve approximately 90 North Korean personnel stationed in Russia’s Voronezh region — which borders Ukraine — alongside the Russian military’s 112th Guards Missile Brigade. Ukrainian intelligence assesses the unit could ultimately field six launchers and as many as 120 KN-23 and KN-24 short-range ballistic missiles (SRBMs), although the final composition is expected to be determined during senior-level talks next month.

The Ukrainian intelligence assessment has not been independently verified.

If confirmed, the deployment would represent a further deepening of North Korean support for Russia, after supplying Russia with ammunition, smaller numbers of ballistic missiles, and troops.

The Ukrainian Air Force today said Russia launched another major overnight strike combining drones with ballistic missiles. Preliminary figures showed Ukrainian air defenses shot down 98 of the 115 drones launched, but failed to intercept a single ballistic missile. As well as the inherent difficulty of intercepting these threats, this statistic also points to the exhaustion of its Patriot interceptor stockpiles.

The attack killed at least 17 people and injured dozens more after strikes hit multiple locations across Kyiv.

President Volodymyr Zelensky directly linked the casualties to continued shortages of advanced air-defense systems.

“Ballistic missile interceptors could have saved the lives of those killed today,” Zelensky wrote on social media. “It is very important that our partners understand that delays in supplying them, or an unwillingness to provide anti-ballistic systems, lead directly to such horrific casualties and destruction.”

Ukraine has spent months urging Western partners to provide additional Patriot batteries and interceptor missiles, which remain among the few systems capable of defeating ballistic missile threats such as Russia’s Iskander and North Korea’s KN-23 and KN-24. While Ukrainian forces routinely claim to intercept the majority of incoming drones and many cruise missiles, ballistic missiles continue to present one of the most difficult threats to defend against.

Last month, U.S. President Donald Trump suggested Washington might grant Ukraine a license to manufacture Patriot interceptors domestically before later appearing to back away from the proposal, saying the technology was “a hard thing to give away.”

According to Ukraine’s military administration, seven sites across Kyiv were struck during the latest attack, which began shortly after midnight. Zelensky said the primary targets included civilian industrial facilities, among them a brewing company and warehouses storing construction materials.

“Partners who are not yet ready to play a more active role in supplying interceptors can help by implementing new sanctions. A significant share of Russia’s ballistic missile production is still not under sanctions,” Zelensky wrote on X. “Even now. New steps are needed — from the G7, the European Union, and everyone who supports the protection of life. Thank you to those who are willing to help in this way.”

Kyiv Mayor Vitali Klitschko said rescue operations continued throughout the day.

“There may still be people under the rubble,” he said.

Emergency crews rescued two survivors from a destroyed warehouse near the city center. Klitschko said 24 people were injured, including an ambulance driver, while four remained in critical condition. The strikes also ignited multiple fires at warehouses and industrial sites, while Ukrainian authorities reported an ammonia leak triggered by one of the impacts.

The latest attack coincides with what Ukrainian intelligence says was Russia’s first use of North Korean ballistic missiles since August 2025.

Cherniak told Reuters that Pyongyang recently delivered another batch of 40 KN-23 and KN-24 missiles to Russia, along with additional personnel. He said Russia ultimately expects to receive 120 North Korean ballistic missiles and six launchers.

According to Ukrainian authorities, one of the newly delivered North Korean missiles struck the central Ukrainian village of Radushne last week, flattening a residential home and killing at least five members of the same family.

In the strike on Radushne, for the first time in a while, the Russians used a North Korean missile, according to preliminary data. Of course, more examinations will follow, and everything will be verified, but as of now – it is a North Korean ballistic missile. The alliance… pic.twitter.com/UtTTNGwBUb

— Volodymyr Zelenskyy / Володимир Зеленський (@ZelenskyyUa) July 30, 2026

Clearly, any increase in Russia’s ballistic missile inventory poses a serious challenge for Ukraine’s already strained air defenses. The situation is likely to become more difficult heading into the coming winter, when Russia normally steps up its strikes against Ukraine’s electrical grid.

The KN-23, known in North Korea as the Hwasong-11A, is a traditional SRBM that can reach out to around 800 kilometers (497 miles) and has a 500-kilogram (1,102-pound) class unitary high-explosive warhead. It offers greater range than Russia’s 9M723 Iskander SRBM, which carries a similarly sized warhead but has a range of 500 kilometers (311 miles). This weapon has also been fired from adapted railcars, a concept you can read more about here.

As for the KN-24, or Hwasong-11B, this has a range of approximately 410 kilometers (255 miles), making it more of a battlefield support SRBM, but still sufficient for Russia to strike many targets within Ukraine. It is often considered a North Korean analog of the U.S.-made Army Tactical Missile System (ATACMS).

However, the North Korean SRBMs are considered less accurate than their Russian-made counterparts and have been associated with strikes causing significant civilian casualties.

According to a report from Ukrainian state prosecutors, around half of the KN-23s that had been launched by Russia between late December 2023 and late February 2024 not only deviated from their trajectory but also exploded in midair.

An investigation by Conflict Armament Research (CAR) into the wreckage of a KN-23/KN-24 missile used by Russia in Ukraine found that the missile contained more than 290 foreign-made electronic components, with approximately 75 percent linked to U.S. companies, 16 percent to European firms, and the remainder to Asian manufacturers. This suggests that North Korea continues to obtain critical Western technology despite longstanding international sanctions and points to continued limitations in Pyongyang’s high-technology production capabilities.

🚨 🇺🇦🇷🇺🇰🇵 Analysis of the debris from one of the North Korean ballistic missiles fired by Russia at Ukraine found it was constructed with more than 290 non-domestic electronic components. Many of them were produced by US companies in the last 3 years.

This analysis was conducted… pic.twitter.com/YHwwAZG0Wo

— Colby Badhwar (@ColbyBadhwar) February 20, 2024

North Korea first began supplying KN-23 and KN-24 missiles to Russia in late 2023. Cherniak said Pyongyang delivered approximately 150 ballistic missiles between late 2023 and August 2025. Ukraine also says North Korea has supplied millions of much-needed artillery projectiles and deployed around 14,000 troops to Russia’s Kursk region under the countries’ 2024 mutual defense agreement.

Cherniak said roughly 9,500 North Korean troops remain in Kursk but are not currently engaged in combat operations against Ukraine. Zelensky said last month that Russia is seeking an additional 30,000 North Korean troops and is preparing facilities in the Voronezh region to receive them.

Overall, North Korean-supplied missiles make up only a very small fraction of the weapons used in Russian strikes on Ukraine, but there has long been concern about the direction the burgeoning military relationship between Moscow and Pyongyang could take. There have been particular concerns that Russian expertise in the development of ballistic missiles and nuclear weapons — as well as other weapons and technologies — could be provided to North Korea.

North Korea: Kim Jong-un shows unseen nuclear weapons to Russia’s defence minister

The reported new deployment comes as Russia appears to be increasing its reliance on ballistic missiles to exploit one of Ukraine’s most significant military vulnerabilities. With few signs that Russia has been able to further ramp up production of its own Iskander missiles, an increased supply of North Korean ballistic missiles would take advantage of a gap in Ukrainian air defenses and further threaten its cities, energy infrastructure, and other targets. The bigger concern is not simply another shipment of missiles, but the prospect of Russia tapping into an expanding North Korean production base financed by Moscow, allowing it to sustain high-volume ballistic missile attacks for far longer than it otherwise could.

Ukraine’s ability to defeat ballistic missiles of any origin has become increasingly constrained by the availability of interceptor missiles. Patriot remains the primary system capable of reliably engaging Iskander, KN-23, and KN-24 ballistic missiles, but the U.S.-made interceptors are expensive, produced in relatively modest numbers, and are also needed to meet U.S. and allied needs around the world. European-supplied SAMP/T batteries also provide a limited anti-ballistic capability, but have been provided in only limited numbers so far.

Global demand for Patriot interceptors has surged amid conflicts in Europe and the Middle East, straining U.S. and allied inventories and production capacity. Those constraints have become significant enough that Congress has questioned whether the Pentagon can sustain higher transfer rates to Ukraine even as Kyiv presses for more interceptors. Meanwhile, although the United States continues discussing licensed Patriot production with Ukraine, any domestic manufacturing effort would take many months—if not years—to produce missiles in meaningful numbers, leaving Kyiv dependent on allied deliveries for the foreseeable future.

Whether or not the reported North Korean missile unit deployment materializes, the operational trend is becoming increasingly clear. Russia is continuing to expand the scale and complexity of its long-range strike campaigns, pairing mass drone attacks with growing numbers of ballistic missiles specifically intended to exploit one of Ukraine’s most difficult defensive challenges. As Kyiv’s leadership continues to press for additional Patriot batteries and interceptor missiles, the consequences of those shortages are becoming increasingly evident with every large-scale strike.

Contact the author: thomas@thewarzone.com

Aug. 4 (Asia Today) — More than half of the unresolved cases at South Korea’s anti-corruption agency have been pending for more than three months, raising concerns that chronic understaffing is undermining its ability to investigate alleged crimes involving senior government officials.

Data submitted by the Corruption Investigation Office for High-ranking Officials to People Power Party lawmaker Shin Dong-wook showed that 646 of its 1,243 unresolved cases had been pending for more than three months as of July 22.

The figure represented 52% of the agency’s unresolved caseload. The agency generally classifies cases pending for more than three months as long-running investigations.

The data showed that 597 cases had been pending for three months or less. An additional 252 cases had been pending for more than three months but less than six months, while 248 had been unresolved for six months to less than a year.

Another 146 cases had remained unresolved for at least one year.

The agency attributed the backlog primarily to a continuing increase in criminal complaints and accusations, along with a chronic shortage of personnel.

Under the law establishing the agency, it may employ 25 prosecutors, including its chief and deputy chief. It currently has 23 prosecutors, meaning it has not filled even its legally authorized staffing level.

The agency operates four investigative divisions, but only 18 prosecutors, including four division chiefs, are assigned directly to investigative work. Based on the total backlog, that is equivalent to more than 300 unresolved cases for each division.

The agency was launched in 2021 under the administration of former President Moon Jae-in to investigate alleged abuse of authority, bribery, violations of political funding laws and other crimes involving senior public officials and their family members.

Its creation was intended to strengthen oversight of powerful officials and root out corruption in government. Staffing shortages, however, have repeatedly been cited as a major limitation on the agency’s operations.

Legal experts said a prolonged backlog could damage public confidence not only in the agency’s investigative capabilities but also in the institution itself.

Cases involving high-ranking officials frequently involve complex facts, extensive questioning of witnesses and time-consuming efforts to obtain evidence. Excessive delays, however, can weaken the effectiveness of an investigation.

Concerns about South Korea’s overall ability to process criminal cases are also likely to increase as prosecutors face a growing number of unresolved investigations while long-pending cases accumulate at the anti-corruption agency.

“The number of long-running cases has increased because of the continuing rise in criminal complaints and accusations and the chronic shortage of personnel,” an agency official said.

“All members of the agency are making every effort to process cases promptly,” the official said.

— Reported by Asia Today; translated by UPI

© Asia Today. Unauthorized reproduction or redistribution prohibited.

Original Korean report: https://www.asiatoday.co.kr/kn/view.php?key=20260803010000486

Michelle Park Steel, the new U.S. ambassador to South Korea, met with Foreign Minister Cho Hyun on Tuesday, as she began her official duties by submitting a copy of her credentials.

Steel visited Seoul’s foreign ministry to hand the copy to the ministry’s chief of protocol before paying a courtesy call on Minister Cho, according to officials.

Under diplomatic protocol, newly arrived ambassadors assume their posts upon submitting a copy of their letters of credence to the foreign ministry, which serves as a preliminary step before the formal presentation ceremony with the head of state.

Accompanied by her husband, Shawn Steel, she did not respond to reporters’ questions before entering the ministry building.

The foreign ministry said Cho and Steel would discuss measures to strengthen bilateral relations.

Steel landed in South Korea on Thursday, becoming the second Korean American ambassador to serve as U.S. ambassador to the country.

Her arrival ended an 18-month vacancy in the post, following the departure of former Ambassador Philip Goldberg, who served from July 2022 to January 2025.

The new U.S. ambassador took up the role at a pivotal moment for Seoul-Washington relations, with several issues pending, including tensions over South Korea’s regulatory action against U.S.-listed Coupang over a massive data breach, Seoul’s investment pledges in the U.S. and the South’s push to build nuclear-powered submarines.

“The ambassador is expected to draw on her understanding of the South Korea-U.S. alliance and bilateral relations to help strengthen ties and friendship between the two countries,” Park Doo-soon, the ministry’s spokesperson, said in a regular briefing.

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Aug. 2 (Asia Today) — Chung Cheong-rae rebounded in the South Korean ruling Democratic Party’s leadership race Sunday, defeating Kim Min-seok in the southeastern region after narrowly losing the opening contest in central South Korea.

Chung and Kim have each won one of the first two regional rounds ahead of the party’s Aug. 17 national convention, leaving the race for party leader virtually even.

Chung received 25,189 votes, or 46.65%, from eligible party members in Busan, Ulsan and South Gyeongsang Province.

Kim finished second with 23,675 votes, or 43.84%, leaving Chung ahead by 1,514 votes, or 2.81 percentage points.

Former party leader Song Young-gil received 5,129 votes, or 9.49%. The officially reported percentages were rounded to 46.65% for Chung, 43.85% for Kim and 9.5% for Song.

Kim had narrowly won Saturday’s opening round in the Chungcheong region, which includes Daejeon, Sejong and North and South Chungcheong provinces.

Kim received 45.05%, compared with Chung’s 44.61%, a margin of 303 votes, or 0.44 percentage points. Song received 10.34%.

After the first two rounds, Chung held a narrow cumulative lead with about 45.5%, compared with Kim’s 44.5%.

The results announced during the regional contests represent only the first-choice votes of eligible party members. Delegate votes and the results of a public opinion survey will be announced at the national convention in Daejeon.

One-person, one-vote system raises importance of members

The Democratic Party finalized an electoral roll last week containing 17,667 delegates and more than 1.52 million dues-paying party members.

The leadership election is the first to apply a one-person, one-vote principle equally to delegates and eligible members, replacing a system in which individual delegate votes carried substantially more weight.

Combined votes from delegates and eligible party members will account for 70% of the final result, while a public opinion survey will make up the remaining 30%.

The large number of party members means their preferences are expected to play a decisive role.

The Chungcheong and southeastern electorates together represent less than 20% of the total party electorate, however, making it too early to predict the final outcome.

Chung told reporters after Sunday’s results that he had regained the lead.

“I have come from behind,” Chung said.

He compared his campaign with former President Roh Moo-hyun’s victory over Lee In-je during the 2002 presidential nomination race.

Chung said Roh defeated an opponent supported by an established political organization and numerous lawmakers despite having little comparable institutional backing.

“Just as Roh Moo-hyun defeated Lee In-je, who lined up organizations and lawmakers behind him, Chung Cheong-rae will defeat Kim Min-seok,” he said.

Chung also told party members during a speech at the BEXCO convention center in Busan that “organization cannot defeat a political wind.”

Candidates exchange accusations of factional betrayal

The close race has intensified a broader conflict over factions within the ruling party.

During a joint campaign speech in Ulsan, Kim called for an end to what he described as a damaging confrontation between factions aligned with President Lee Jae-myung and Chung.

“We must end the vicious cycle of the Lee-Chung conflict,” Kim said.

He said he would refer people responsible for improper factional activity during the campaign to the party’s ethics committee.

Chung responded by invoking Kim’s conduct during the 2002 presidential election.

Kim left Roh’s then-ruling party after joining lawmakers who pushed for Roh to form a unified presidential ticket with independent candidate Chung Mong-joon.

The group was widely criticized by Roh’s supporters as having abandoned the party’s presidential nominee.

“A person who betrays once will betray again,” Chung said, directing the remark at Kim.

The renewed dispute over the episode reflects the extent to which events from the 2002 presidential campaign continue to influence relationships and perceptions inside South Korea’s progressive political camp.

Song also criticized Chung’s attempt to return as party leader.

“The Democratic Party does not permit consecutive terms,” Song said. “Is there really a need to seek another term?”

Ranked-choice votes could determine winner

The Democratic Party is using a preferential voting system in the three-candidate leadership contest.

Voters rank the candidates by preference. Should no candidate receive a majority of first-choice votes, the candidate finishing last will be eliminated and that candidate’s second-choice votes will be redistributed to the remaining two contenders.

The redistribution process will continue until one candidate secures a majority.

The regional percentages released so far include only first-choice votes and do not show how Song’s supporters ranked Chung and Kim as their second choices.

With Chung and Kim each receiving less than 50%, Song’s redistributed votes could determine the winner if the close three-way pattern continues through the remaining regional contests.

The regional campaign will continue Saturday in Jeju and Incheon, followed by Gangwon Province, Daegu and North Gyeongsang Province on Aug. 9.

Voting in the Honam region, covering Gwangju and North and South Jeolla provinces, is scheduled for Aug. 15. The final regional events will take place in Gyeonggi Province and Seoul on Aug. 16.

A 5% strategic-region bonus will apply in the traditionally conservative Yeongnam and Gangwon regions.

The party leader candidates are also scheduled to participate in televised debates on KBS on Wednesday and SBS on Aug. 12.

The final result will be announced at the Democratic Party’s national convention in Daejeon on Aug. 17.

— Reported by Asia Today; translated by UPI

© Asia Today. Unauthorized reproduction or redistribution prohibited.

Original Korean report: https://www.asiatoday.co.kr/kn/view.php?key=20260802010000251

July 31 (Asia Today) — People Power Party floor leader Chung Jeom-sik on Friday accused South Korea’s governing party of seeking to abolish prosecutors’ supplementary investigative authority to help President Lee Jae-myung avoid his criminal trials.

Chung called the proposed revision to the Criminal Procedure Act “an unprecedentedly harmful law” that would remain a disgrace in the country’s constitutional history.

He also demanded the withdrawal of a separate bill that would shorten the review period for legislation designated for fast-track consideration, calling it a measure that would turn the National Assembly into a rubber stamp.

“In a few hours, the filibuster will be forcibly ended through collusion by the broader governing bloc and this unprecedentedly harmful law will pass,” Chung said at a People Power Party floor strategy meeting.

He claimed that more than half of the public opposed eliminating prosecutors’ supplementary investigative authority but that the Democratic Party was disregarding public opinion.

The bill would bar prosecutors from conducting additional investigations after police transfer a case to them. Prosecutors would instead be able to request that police conduct further investigative work.

Supporters say the measure would complete the separation of investigative and prosecutorial authority and strengthen defendants’ rights. Opponents say it could delay investigations and weaken protections for crime victims.

Chung focused particularly on a provision governing when courts may dismiss criminal indictments.

He accused the Democratic Party of quietly adding language during a meeting of the National Assembly’s Legislation and Judiciary Committee that could make it easier to terminate the president’s pending trials.

“Is the ‘working National Assembly’ advocated by the Democratic Party merely a legislature creating an escape route to erase President Lee Jae-myung’s trials?” Chung said.

The claim that the provision was designed to end Lee’s cases represents the opposition party’s interpretation of the legislation.

Chung said ordinary citizens could suffer from inadequate or delayed investigations if prosecutors lost their supplementary investigative authority while powerful figures could escape legal scrutiny.

He described the bill as “the end of the rule of law.”

Opposition plans second filibuster

Chung also criticized a revision to the National Assembly Act scheduled to follow the criminal procedure bill.

The legislation would reduce the maximum review period for fast-track bills from 330 days to 90 days.

“This is an authoritarian law intended to turn the National Assembly more quickly into a machine that raises its hand and follows orders,” Chung said.

The fast-track system was introduced to prevent legislation from being blocked indefinitely while preserving time for negotiations among political parties.

Chung said the Democratic Party’s proposal would destroy that balance and encourage the hasty passage of legislation.

“There is a saying that trying to arrive 10 minutes earlier can send you 10 years too soon,” he said. “If legislation is rushed, the country could suffer lasting consequences.”

He called the proposal a “rubber-stamp National Assembly law” and said it should be withdrawn.

The People Power Party planned to begin a second filibuster immediately after debate ended on the Criminal Procedure Act revision.

Choi Eun-seok, the party’s senior floor spokesperson, said the filibuster against the National Assembly Act revision was expected to begin at about 5 p.m.

Chung also rejected a demand from Democratic Party members of the Science, ICT, Broadcasting and Communications Committee that People Power Party lawmaker Lee Jin-sook be removed from the committee.

He called the demand an improper attempt to interfere with the opposition party’s committee assignments.

“The Democratic Party must abandon its authoritarian belief that the National Assembly is its property or its plaything,” Chung said.

Election commission investigation

The People Power Party said it would move quickly to establish a recommendation committee for a special counsel investigation of the National Election Commission.

The National Assembly approved the investigation bill Thursday through an agreement between the governing and opposition parties.

The investigation is expected to examine a ballot shortage during the June 3 local elections and other allegations involving the election commission.

Choi said the party was reviewing potential candidates from several perspectives.

“We will work to establish the recommendation committee and launch the investigation as quickly as possible,” he said.

— Reported by Asia Today; translated by UPI

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Original Korean report: https://www.asiatoday.co.kr/kn/view.php?key=20260731010011674

July 31 (Asia Today) — South Korea’s National Assembly passed legislation Friday eliminating prosecutors’ authority to conduct direct and supplementary investigations, advancing a major restructuring of the country’s criminal justice system.

Han Byung-do, acting leader and floor leader of the governing Democratic Party, said before the vote that the revision to the Criminal Procedure Act would mark the beginning of a new system rather than the end of prosecution reform.

“Today’s revision of the Criminal Procedure Act is not the end of prosecution reform but the beginning of a new criminal justice system,” Han said during a party Supreme Council meeting.

He said the government and governing party must prevent investigative gaps and ensure that crime victims and other citizens remain protected during the transition.

The legislation passed later Friday after lawmakers ended a filibuster by the opposition People Power Party.

Under the revised law, prosecutors will no longer be allowed to conduct their own investigations, including additional investigative work after receiving cases from police.

Prosecutors will instead be permitted to request supplementary investigations from judicial police officers.

Police generally must complete the requested work within one month and report the results to prosecutors. The period may be extended for up to one additional month when necessary.

The legislation also requires investigative information to be recorded in South Korea’s criminal justice information system.

Han said the Democratic Party would take responsibility for completing the regulations and institutional arrangements needed to launch the Public Prosecution Office and the Serious Crimes Investigation Agency on Oct. 2.

The new Public Prosecution Office will be responsible primarily for indictments and maintaining prosecutions in court. The Serious Crimes Investigation Agency will investigate major offenses formerly handled directly by prosecutors.

“We will take responsibility until the end so that the two agencies can begin operating in a stable manner,” Han said.

Opposition lawmakers and some legal professionals have warned that eliminating prosecutors’ supplementary investigative authority could create delays, weaken oversight of police investigations and leave victims with fewer avenues for redress.

The Democratic Party says the legislation includes safeguards intended to prevent cases from being ignored or delayed and to preserve the rights of victims and complainants.

Governing party promises further legislation

Han said the governing party would continue pursuing legislation dealing with public welfare and political reform.

“We will respond to people’s livelihoods with speed and to reform with results,” he said.

Han cited legislation authorizing a special counsel investigation of the National Election Commission and a proposal to shorten the review period for bills designated for fast-track consideration.

The fast-track proposal would reduce the maximum review period from 330 days to 90 days, including 60 days for consideration by the relevant standing committee and 30 days for review by the Legislation and Judiciary Committee.

The People Power Party opposes the change, saying it would weaken opportunities for negotiation and allow the parliamentary majority to rush controversial bills through the legislature.

Han said the Democratic Party would work to create a more productive National Assembly in which legislation affecting people’s livelihoods is reviewed and passed without unnecessary delays.

“We will not avoid the responsibility entrusted to us by the public,” he said.

Party vows to address stock market volatility

Han also said the Democratic Party and the government would work together to reduce uncertainty in South Korea’s capital markets.

The comments followed heightened volatility linked in part to leveraged investment products tied to individual stocks.

Han said officials would examine whether adequate investor protections were in place when the products were introduced.

“We recognize the current market conditions and investors’ concerns with the utmost seriousness,” he said. “We will calmly and transparently review the introduction process and whether investor protection measures were sufficient.”

Han urged the People Power Party not to use investors’ concerns as political ammunition.

“Using investor anxiety for political attacks and increasing market uncertainty through unverified claims can undermine confidence in the South Korean stock market and cause serious harm to investors,” he said.

He said lawmakers should instead identify the causes of instability and develop effective measures to address them.

The Democratic Party’s special committee on South Korea’s capital markets will communicate with financial regulators and industry officials to evaluate policy measures and market reactions, Han said.

The party will also continue efforts to improve corporate value and governance at publicly traded companies, he said.

— Reported by Asia Today; translated by UPI

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Original Korean report: https://www.asiatoday.co.kr/kn/view.php?key=20260731010011686

July 31 (Asia Today) — South Korea’s arms procurement agency signed a contract with Hanwha Ocean on Friday for the detailed design and construction of the first KDDX next-generation destroyer.

The agreement moves the long-delayed naval program into its full design and construction stage after nearly three years of disputes over the selection of a shipbuilder.

The lead ship is scheduled to be delivered to the South Korean Navy by the end of 2032.

The Defense Acquisition Program Administration said KDDX will be South Korea’s first large destroyer built with a domestically developed hull, combat management system, multifunction radar and other core weapons systems.

Although the vessel is sometimes described in South Korea as a Korean-style Aegis destroyer or a mini-Aegis ship, it is not expected to use the U.S.-developed Aegis Combat System.

Instead, the destroyer will combine a South Korean integrated combat system with an indigenous phased-array radar to detect, track and engage aircraft, missiles, ships and other threats.

The contract for the detailed design and lead ship is valued at about 882.1 billion won, or about $617 million.

The entire program, including five additional destroyers, is expected to cost about 7.8 trillion won, or $5.46 billion.

The government has not determined which companies will build the five follow-on ships or how those contracts will be awarded.

Contract ends prolonged shipbuilder dispute

Hanwha Ocean, formerly Daewoo Shipbuilding and Marine Engineering, completed the KDDX conceptual design.

HD Hyundai Heavy Industries later conducted the basic design, leading to expectations that it would receive a negotiated contract for the detailed design and lead ship.

Hanwha Ocean instead called for a competitive bidding process, citing a military-secrets case involving HD Hyundai Heavy Industries employees.

The acquisition agency accepted that request and held a competition.

Hanwha Ocean and HD Hyundai Heavy Industries were reportedly separated by less than 0.6 point in the final evaluation.

A 1.2-point security penalty imposed on HD Hyundai Heavy Industries was considered decisive.

Employees of the company had been convicted of photographing or improperly handling military secrets related to the KDDX program.

Hanwha Ocean was selected as the preferred bidder June 11. The company’s selection had previously been reported as part of a six-ship program valued at approximately 7.8 trillion won or $5.46 billion.

HD Hyundai Heavy Industries challenged the evaluation but its objection was rejected in early July. Negotiations between the acquisition agency and Hanwha Ocean then led to Friday’s final agreement.

The contract was signed before all cost data were finalized. The final value may therefore be adjusted to reflect verified construction expenses.

South Korean systems to replace foreign equipment

The KDDX is expected to displace about 7,000 tons when lightly loaded and will be larger than South Korea’s Chungmugong Yi Sun-sin-class destroyers.

It will be smaller than the Navy’s Sejong the Great and Jeongjo the Great-class destroyers equipped with the American Aegis system.

The ship will feature a low-observable design and an integrated mast intended to reduce its radar signature.

Planned armament includes a 5-inch naval gun and South Korean vertical launch systems capable of carrying surface-to-air, anti-ship, land-attack and anti-submarine weapons.

The exact number of vertical launch cells has not been officially confirmed.

The acquisition agency said major systems, including the combat management system, sonar, multifunction phased-array radar and ship-launched surface-to-air missiles, will be developed domestically.

South Korea plans to apply technologies developed since the basic design was completed, including digital-twin construction, layered counter-drone defenses and a communications environment using 5G and integrated wired and wireless networks.

A digital twin is a computerized replica of the ship that can be used to test design changes, construction procedures and equipment performance before work is carried out on the physical vessel.

The Navy is also considering integrated electric propulsion to reduce noise and improve anti-submarine survivability.

Automation is expected to reduce the number of sailors required to operate the ship compared with older destroyer classes.

Schedule remains a challenge

The KDDX basic design was completed in December 2023 and the detailed design and lead ship construction were originally expected to begin soon afterward.

Disputes between Hanwha Ocean and HD Hyundai Heavy Industries delayed the program by about two years.

The acquisition agency and Hanwha Ocean will now need to shorten portions of the development and construction schedule to meet the 2032 delivery target.

Jung Jae-jun, head of the acquisition agency’s force resources division, described KDDX as a national project bringing together South Korea’s shipbuilding and defense capabilities.

Jung said the government would examine several options for the construction of the follow-on vessels while seeking to deploy the new destroyers on schedule.

He said the program could also strengthen the international competitiveness of South Korean naval vessels.

Hanwha Ocean previously said it felt a significant responsibility after being selected as the preferred bidder and would work with the government to normalize the delayed program.

Competition between Hanwha Ocean and HD Hyundai Heavy Industries is expected to continue as the government determines how to award contracts for the five remaining destroyers.

— Reported by Asia Today; translated by UPI

© Asia Today. Unauthorized reproduction or redistribution prohibited.

Original Korean report: https://www.asiatoday.co.kr/kn/view.php?key=20260731010011621

July 31 (Asia Today) — South Korea will launch a strategic investment fund worth more than 20 trillion won, or about $13.6 billion, next year to provide long-term capital to artificial intelligence, semiconductor and other industries considered vital to national security and economic growth.

The government said Friday that it would establish a separate strategic investment account within the Korea Investment Corporation rather than create an independent sovereign wealth fund.

Deputy Prime Minister and Finance and Economy Minister Koo Yun-cheol announced the plan during an emergency economic meeting and a meeting of economic ministers at the Government Complex Seoul.

The new account will use KIC’s international investment network and asset-management expertise while expanding the corporation’s mandate beyond its traditional role of investing public foreign-exchange assets overseas.

The government plans to submit a revision to the Korea Investment Corporation Act to the National Assembly in August and complete the legislation before the end of the year.

The fund is expected to begin operating in 2027.

Government shares to provide initial capital

The fund will begin with more than 20 trillion won in assets.

The government plans to contribute more than 16 trillion won, or about $10.9 billion, in shares it holds in public financial institutions, including the Korea Development Bank and the Export-Import Bank of Korea.

It will also contribute about 4 trillion won, or $2.7 billion, in private-company shares received as payment for inheritance and gift taxes.

The government is considering accepting private donations intended to increase national wealth as another source of capital.

The fund will target artificial intelligence, semiconductors and other advanced strategic industries as well as data centers, critical infrastructure and overseas companies important to South Korea’s supply chains.

Unlike conventional policy financing, which often relies on loans, guarantees or subsidized credit, the fund will primarily make direct equity investments.

The government said the approach would allow it to remain invested in promising companies for longer periods and share in their growth.

The fund will also be able to exercise shareholder voting rights to promote corporate value, protect critical technologies and help companies defend themselves against hostile takeovers.

Fund to serve as an anchor investor

The government wants the strategic account to serve as an anchor investor capable of attracting global institutional investors to South Korean projects.

By committing public capital first, the fund could reduce perceived risk and encourage foreign sovereign funds, pension funds and private investors to participate.

The government also plans to connect the new account with existing policy funds.

Venture and growth funds usually must sell their holdings and return capital to investors within four to eight years.

Under a proposed relay-investment system, the strategic fund could purchase stakes in promising companies when those shorter-term policy funds reach maturity or begin liquidation.

The arrangement is intended to prevent companies with long development cycles from losing financial support before they become commercially established.

The model could be particularly important for semiconductor fabrication, artificial intelligence infrastructure, biotechnology and other sectors requiring large investments over many years.

Separate governance structure planned

The government said it would create governance safeguards intended to protect the fund’s investment independence.

KIC’s board structure would be divided between its existing foreign-reserve investment account and the new strategic account.

A dedicated investment committee and advisory committee would be established for strategic investments.

An operating committee would set broad policy and investment priorities but would not intervene in individual investment decisions, the government said.

The separation is intended to prevent short-term political considerations from determining which companies receive investments.

The plan also represents a change from an earlier proposal to establish a completely separate sovereign wealth fund.

The government instead decided to expand KIC’s mandate and use its existing personnel, investment systems and global relationships.

Long-term capital for industrial strategy

South Korea has introduced several public financing programs to support advanced industries, including funds targeting chips, artificial intelligence, batteries and biotechnology.

The new strategic account differs because it is designed to hold equity investments for extended periods rather than provide loans or exit investments according to fixed fund schedules.

The government expects the fund to support major national projects involving semiconductors, physical artificial intelligence and data centers while helping South Korean companies secure critical overseas supply chains.

It also hopes investment returns will gradually expand the fund’s assets and reduce its dependence on additional government contributions.

The success of the plan will depend on whether the government can maintain commercial investment discipline while pursuing broader industrial and national-security objectives.

It will also require clear rules governing voting rights, corporate intervention, investment losses and potential conflicts between financial returns and government policy.

— Reported by Asia Today; translated by UPI

© Asia Today. Unauthorized reproduction or redistribution prohibited.

Original Korean report: https://www.asiatoday.co.kr/kn/view.php?key=20260731010011712

South Korea, the United States, Japan and eight other countries on Friday issued a joint alert about North Korean information technology (IT) workers accused of generating revenue to help fund Pyongyang’s weapons of mass destruction programs.

The relevant authorities of the 11 countries released the alert, urging all countries, companies and other entities to deepen their understanding of North Korean IT worker schemes, implement measures to deal with them and strengthen countermeasures, such as enhancing identity verification procedures.

“North Korea relies upon a network of skilled Information Technology workers, deployed within and outside of North Korea, to obtain false identities and remotely earn income to fund North Korea’s unlawful nuclear weapons and ballistic missile programs,” they said in the alert released by the U.S. State Department.

They pointed out that North Korean IT workers impersonate nationals of other countries to obtain work and income through online platforms operated by private companies for employment, procurement and contracting of services.

“These workers seek out contracts with the intent of remitting their salaries to their parent North Korean agencies. They also pose an insider threat to companies and are involved in data exfiltration, cryptocurrency theft, and theft of sensitive information,” they said.

“North Korean IT workers employ increasingly sophisticated methods, including the integration of AI, to obfuscate their identities and expand their activities globally.”

All U.N. member states must repatriate to North Korea all North Korean nationals earning income in that member state’s jurisdiction, subject to limited exceptions, they stressed, citing a U.N. Security Council resolution on the reclusive regime.

“Additionally, contracting with North Korean IT workers and paying them for services rendered may also violate the domestic laws of many countries, including Japan, the United States, and the Republic of Korea, and may result in legal consequences or financial penalties,” they said.

The countries that issued the joint alert included Britain, Australia, Canada, France, Germany, Italy, the Netherlands and New Zealand.

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July 30 (Asia Today) — South Korea’s state-run housing guarantor failed to properly investigate debtors and recover claims after paying about 15 trillion won, or $10.3 billion, under defaulted guarantees over the past five years, a government audit found Thursday.

The Housing and Urban Guarantee Corporation, commonly known as HUG, has yet to recover about 12 trillion won, or $8.2 billion, of that amount.

The Board of Audit and Inspection released the findings of its regular audit of the corporation, identifying problems in guarantee issuance, project financing reviews, debt collection and customer refunds.

HUG provides guarantees intended to protect tenants if landlords fail to return jeonse deposits.

Jeonse is a housing rental arrangement widely used in South Korea in which a tenant provides a large refundable deposit instead of paying, or in exchange for paying less, monthly rent.

Corporation undercharged guarantee fees

Auditors found that HUG undercharged a corporate rental business by about 2.77 billion won, or $1.9 million, when issuing guarantees covering 12,752 homes.

HUG’s rules required it to calculate the fee using the company’s credit rating on the date the guarantee was issued. Employees instead used an earlier, more favorable credit rating from the application date.

The audit board called for disciplinary action against the employees involved and instructed HUG to review ways of collecting the unpaid fees.

HUG has reported financial losses since 2022 as rental deposit guarantee defaults increased, including cases involving large-scale jeonse fraud.

Its operating loss grew from 242.9 billion won, or about $166 million, in 2022 to 2.19 trillion won, or about $1.5 billion, in 2024.

Weak reviews led to $261 million in PF guarantees

The audit also found deficiencies in HUG’s reviews of housing project financing guarantees.

Such guarantees rely largely on a developer’s projected income from future home sales, making an accurate assessment of expected cash flow essential.

Auditors found that HUG accepted financial data in which developers had arbitrarily delayed construction payments, improving the projects’ apparent debt-service capacity.

As a result, HUG approved a combined 382 billion won, or about $261 million, in guarantees for three projects that should have been rejected under its own standards.

HUG also incorrectly graded two other projects and collected about 1.64 billion won, or $1.1 million, less in guarantee fees than it should have.

Thousands of debtors were not investigated

The audit board also found major gaps in HUG’s efforts to identify assets belonging to debtors after paying claims on their behalf.

An examination of seven regional management centers found no record of an asset investigation for 2,915 of 9,003 debtors, or 32.3%.

The rate varied widely among regional offices. The Seoul Northern Center investigated the assets of only 21.6% of the debtors assigned to it, compared with 99.8% at the Seoul Western Center.

HUG’s headquarters failed to adequately monitor or address those differences, auditors said.

Tenants missed refunds

HUG also failed to refund fees to some tenants who had been enrolled in both a landlord rental deposit guarantee and a tenant jeonse deposit return guarantee.

The audit identified 1,699 cases involving about 173 million won, or approximately $118,000, in unreturned fees.

It also found 454 guarantee-default cases in which money owed to tenants had not been properly returned.

The audit board instructed HUG to analyze the causes of the problems and develop improvements in its core operations, including guarantee reviews, issuance procedures and debt recovery.

It also called for disciplinary or corrective action against employees responsible for improper decisions.

— Reported by Asia Today; translated by UPI

© Asia Today. Unauthorized reproduction or redistribution prohibited.

Original Korean report: https://www.asiatoday.co.kr/kn/view.php?key=20260730010011338

July 30 (Asia Today) — South Korea’s military began inspecting front-line Army units Thursday after a corps changed its guard procedures and stopped loading live ammunition into heavy weapons deployed near the border with North Korea.

The review follows concerns that the change could weaken the military’s ability to respond quickly during an emergency.

The Joint Chiefs of Staff said the Army Ground Operations Command began an on-site inspection of the 1st Corps on Thursday and plans to examine other front-line corps under its command.

Military officials will consider additional measures after completing the inspections.

The Ground Operations Command oversees five regional corps – the Capital, 1st, 2nd, 3rd and 5th corps – as well as the 7th Maneuver Corps. The inspections will cover front-line units in some of the five regional corps.

The 1st Corps, which is responsible for the western section of the inter-Korean border, reportedly changed its procedures during the first half of this year.

Under the revised procedures, soldiers at guard posts and general outposts did not load live ammunition into crew-served weapons, including K6 heavy machine guns and K4 automatic grenade launchers.

The ammunition was instead stored in ammunition boxes near the weapons.

South Korean front-line units are generally required to keep live ammunition loaded in weapons used for guard operations. The 1st Corps reportedly made an exception under the authority of its commander, Lt. Gen. Han Ki-sung.

The measure was reportedly intended to prevent accidental discharges, but critics said it could delay the military’s response to a North Korean attack or other emergency in the heavily fortified border area.

Questions have also been raised about whether Han’s decision was influenced by an accidental discharge that occurred while he commanded the Army’s 25th Infantry Division last year.

During that incident, a K6 machine gun round was accidentally fired toward North Korea while soldiers at a general outpost were inspecting the weapon.

A military official said inspectors would examine whether it was appropriate for a commander to change ammunition-loading procedures at his discretion, along with other operational issues.

“The use of firearms at front-line guard posts and general outposts is based on the principle that live ammunition must be loaded,” the Joint Chiefs of Staff said.

The military said it would take necessary action after examining units operating under exceptions to that rule.

Detailed information cannot be disclosed because of operational security, it said.

— Reported by Asia Today; translated by UPI

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Original Korean report: https://www.asiatoday.co.kr/kn/view.php?key=20260730010011169

New U.S. Ambassador to South Korea Michelle Steel is set to arrive in Seoul on Thursday, becoming the first U.S. envoy to assume the post since President Donald Trump returned to office, sources said.

Steel is expected to arrive at Incheon International Airport, west of Seoul, at around 3:20 p.m. from Los Angeles, according to the sources. She was nominated by Trump in April and confirmed by the U.S. Senate last month.

The ambassadorial post has been vacant since Philip Goldberg left South Korea in January last year.

The submission of copies of her credentials is expected to take place as early as next week, as Foreign Minister Cho Hyun and the foreign ministry’s chief of protocol are currently accompanying President Lee Jae Myung on his trip to South America and are scheduled to return early next week, the sources added.

Before formally beginning their duties, newly appointed foreign ambassadors are required to present copies of their credentials to the chief of protocol at the foreign ministry. U.S. ambassadors also traditionally pay a courtesy call on the foreign minister on that occasion.

A Korean American Republican politician, Steel was born in Seoul in 1955 and immigrated to the United States in the mid-1970s. She served two terms in the U.S. House of Representatives representing California from 2020 to 2024.

Steel is the second Korean American to serve as the top U.S. envoy to South Korea, following Sung Kim, who served in Seoul from 2011 to 2014.

Responding to a question from Yonhap News Agency in Washington last week, Steel described strengthening the South Korea-U.S. alliance as her “top priority.”

Her arrival comes as Seoul and Washington face a series of pending security and economic issues, including South Korean investment in the U.S., civilian nuclear cooperation, Seoul’s push to build nuclear-powered submarines and ongoing efforts to modernize the decades-old alliance.

Steel’s nomination had drawn criticism from some progressive civic groups here, which view her as a conservative figure.

South Korean government officials, however, said she has a firm understanding of the importance of the South Korea-U.S. alliance and is committed to cooperating with the Seoul government.

“South Korea and the U.S. have a wide range of issues to work on together amid the rapidly evolving security and economic landscape,” a foreign ministry official said. “We welcome Ambassador Steel’s arrival and hope it will help advance discussions on those issues.”

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July 27 (Asia Today) — A South Korean court sentenced former President Yoon Suk Yeol on Monday to 18 months in prison, suspended for three years, after finding him guilty of making false statements during his successful 2022 presidential campaign.

The Seoul Central District Court said Yoon’s statements concerned his relationship with Jeon Seong-bae, a shaman also known as Geonjin, and his alleged introduction of a lawyer to former tax official Yoon Woo-jin.

“The impact of a candidate publicly making false statements during a debate or other campaign event on an election is extremely significant,” the court said. It added that the seriousness of Yoon’s conduct should not be regarded as minor.

Yoon’s attorneys said the court misunderstood the facts and relevant law and accepted only the special counsel’s arguments. They said they would appeal.

If the ruling is upheld by the Supreme Court, the main opposition People Power Party could be required to return about 39.7 billion won, or $27.1 million, in campaign expenses reimbursed by the government following Yoon’s election.

It would be the largest repayment of election expenses by a political party in South Korean history.

Yoon was charged over comments he made while running for president.

During an interview at the launch of a Buddhist leaders’ forum on Jan. 17, 2022, Yoon said a party official had introduced him to Jeon and that he and his wife, former first lady Kim Keon Hee, had never met Jeon together.

Prosecutors argued that Yoon had repeatedly received advice from Jeon and falsely portrayed their relationship as a chance introduction during the campaign.

Yoon was also charged over remarks at a Kwanhun Club debate on Dec. 14, 2021. He denied introducing a former senior prosecution official as an attorney for Yoon Woo-jin, a former district tax office chief who had faced a bribery investigation.

The court said Yoon’s statement contradicted the nature of his relationship with the former tax official.

Under South Korean election law, candidates who receive at least 15% of the vote can receive full government reimbursement of eligible campaign expenses. Candidates who receive between 10% and 15% can recover half of their expenses.

A political party must return reimbursed campaign expenses and the candidate’s deposit if its presidential nominee receives a final conviction carrying a fine of at least 1 million won, or about $680, for an election-law offense. The repayment must generally be made within 30 days.

The ruling adds to Yoon’s mounting legal problems following his removal from office over his brief declaration of martial law in December 2024.

The Supreme Court this month upheld a seven-year prison sentence against Yoon for offenses that included obstructing authorities attempting to detain him and violating legal procedures surrounding the martial law declaration.

Yoon was separately sentenced to life imprisonment in February after a lower court convicted him of leading an insurrection through the martial law declaration. His appeal is pending before the Seoul High Court.

In June, a lower court sentenced him to 30 years in prison for ordering military drone flights into North Korea in an alleged attempt to escalate tensions and create a justification for martial law. Yoon has appealed that ruling.

— Reported by Asia Today; translated by UPI

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Original Korean report: https://www.asiatoday.co.kr/kn/view.php?key=20260727010009828

Lee Kang-In makes the switch to Atletico after helping Paris Saint-Germain to consecutive Champions League titles.

South Korea midfielder Lee Kang-In has agreed to join Atletico Madrid from Paris Saint-Germain, the Spanish club.

Atletico said on Saturday the player would sign a contract through June 2031. The transfer fee was undisclosed, but it is reportedly between 35 and 40 million euros ($39.8m and $45.5m).

The 25-year-old Lee played all three group-stage games at the World Cup, where South Korea failed to advance after losing twice.

Born in Incheon, Lee moved to Spain when he was 10 to join Valencia’s training academy and ended up playing 62 games for the club. After a stint with Mallorca, he joined PSG in 2023, scoring 16 goals in 124 appearances.

He will now play for an Atletico side that finished La Liga in fourth place and reached the Copa del Rey final last season. Lee will help fill the creative void left by Antoine Griezmann, who has left for the MLS as Atletico’s all-time top scorer.

July 23 (Asia Today) — South Korea and the United States have opened a shipbuilding cooperation center in Washington, moving their partnership beyond government declarations and preliminary agreements toward developing and implementing commercial projects.

The Korea-U.S. Shipbuilding Partnership Center will serve as a base for $150 billion in planned shipbuilding investment, U.S. shipyard modernization, workforce development and joint research.

The center’s opening was accompanied by 15 agreements involving South Korea’s three largest shipbuilders, U.S. shipyards, technology companies, universities and research institutions.

The agreements give the Make American Shipbuilding Great Again initiative, known as MASGA, a more detailed framework. Its success, however, will depend on how quickly the center can generate ship orders, maintenance contracts and actual investments.

South Korea’s Ministry of Trade, Industry and Resources and the U.S. Department of Commerce jointly held the opening ceremony Thursday at the Mayflower Hotel in Washington.

About 130 government, congressional, corporate and industry officials from the two countries attended, including South Korean Trade, Industry and Resources Minister Kim Jung-kwan and U.S. Commerce Secretary Howard Lutnick.

Acting Navy Secretary Hung Cao and U.S. Ambassador to South Korea Michelle Steel also attended.

The center was established as a follow-up to the Korea-U.S. Shipbuilding Partnership Initiative signed May 8. Operations began about two months after the two governments reached the agreement.

“KUSPC is an unprecedented cooperation platform in the global shipbuilding industry and a symbol of South Korea’s firm commitment to helping rebuild the U.S. shipbuilding industry,” Kim said.

Kim said the center would help South Korean shipbuilding technology take root across U.S. coastal industrial regions.

He also said the planned $150 billion shipbuilding investment would be implemented promptly and called on the United States to provide continuing ship orders, investment incentives and regulatory relief.

‘Team Korea’ formed for U.S. market

The center will connect South Korean shipbuilders with U.S. shipyards, technology companies and research institutions.

Its work will include improving shipyard productivity, training skilled workers, developing equipment supply chains, supporting joint technology projects and identifying direct investment opportunities.

Center President Lee Jong-geon said the organization would link the two governments with shipyards, universities, research institutions and investors.

He said the center would support workforce training, productivity consulting and joint technology development to help restore the fundamental competitiveness of the U.S. shipbuilding industry.

The 15 agreements announced at the ceremony cover four areas: the creation of Team Korea, supply chain cooperation, workforce development and joint technology research.

HD Hyundai Heavy Industries, Hanwha Ocean and Samsung Heavy Industries joined the Korea Offshore & Shipbuilding Association, the Korea Research Institute of Ships and Ocean Engineering and the new center to form Team Korea for coordinated expansion in the U.S. market.

The three shipbuilders will focus on shipyard modernization and the development of equipment supply chains. The research institute will handle studies and demonstrations of future maritime technology while the center will provide local market information and business networks.

HD Korea Shipbuilding & Offshore Engineering agreed to work with Siemens Digital Industries Software on digital systems for next-generation ship design and production.

The company also plans to provide Fraser Industries with shipyard productivity assessments and support for the introduction of automation technology.

Hanwha Ocean will work with the Chamber of Commerce for Greater Philadelphia to help local manufacturers enter the shipbuilding supply chain.

South Korean marine equipment company JJ & Companies will provide equipment and vessel repair technology to Nichols Brothers Boat Builders and Everett Ship Repair to strengthen local maintenance, repair and overhaul capacity.

HD Hyundai Samho also signed a contract to supply four port cranes to Washington United Terminals at the Port of Tacoma, extending the partnership beyond shipyards to port modernization.

Workforce programs target labor shortage

The center will also support programs designed to address the shortage of skilled shipbuilding workers in the United States.

Hanwha Philly Shipyard will provide welding, painting and other technical training at Delaware County Community College in Pennsylvania. The program will connect classroom instruction with internships and employment at the shipyard.

Samsung Heavy Industries and Vigor Marine Group plan to establish a workforce training center equipped with virtual reality and augmented reality welding systems.

The Korean research institute, shipbuilding association and partnership center will also work with the American Bureau of Shipping to develop technical certification, safety training and qualification programs.

The South Korean government plans to dispatch retired engineers and production specialists to U.S. shipyards to advise on process efficiency, yard operations, quality control and environmental management.

U.S. shipyard managers and engineers will also be offered one- to two-month training placements at South Korean shipyards.

Joint research to combine Korean production and U.S. technology

South Korea plans to invest 120 billion won, or about $80.4 million, over five years in joint shipbuilding research with the United States.

Seven South Korean companies and institutions and nine U.S. organizations will carry out eight projects combining South Korean shipbuilding and production capabilities with U.S. artificial intelligence and robotics technology.

The projects include AI-based ship design optimization, 3D printing of marine components measuring up to 16 feet, autonomous welding of aluminum naval vessel panels and automated painting of large ship sections.

Other projects include autonomous transporters for large ship blocks, fully automated pipe-spool production, AI-based virtual reality training and autonomous navigation and engine controls for software-defined unmanned vessels.

HD Hyundai Heavy Industries will work with U.S. defense technology company Anduril Industries to develop and test autonomous navigation and engine automation platforms for unmanned vessels.

Samsung Heavy Industries will collaborate with Saronic Technologies on unmanned surface vessels and the application of automation systems at U.S. shipyards.

Hanwha Ocean will jointly design a global fast sealift vessel with Leidos subsidiary Gibbs & Cox.

HD Korea Shipbuilding & Offshore Engineering will also work with ABSG Consulting to develop and verify an operating platform for next-generation autonomous vessels.

The center will begin operations with 6.6 billion won, or about $4.4 million, in government funding this year.

Its initial operating period runs from 2026 through 2028 with a budget of 19.93 billion won, or about $13.4 million. It will operate as a nonprofit organization from the Korea International Trade Association’s Washington office.

The government also plans to link the center with a bilateral shipbuilding investment council established in June.

South Korea’s strategic investment corporation and state-run financial institutions, including the Export-Import Bank of Korea, Korea Development Bank and Korea Trade Insurance Corp., will provide financing for investments in U.S. shipyards and vessel construction projects.

Orders and long-term contracts remain key test

South Korean shipbuilders said the center represents a shift from government-level pledges to the development of specific commercial projects.

They said South Korean strengths in ship design, production management and smart shipyard technology could support U.S. shipyard modernization while creating opportunities in workforce training and equipment supply.

U.S. requests for information on combat vessels and military support ships have also raised expectations for future cooperation.

Industry officials cautioned, however, that the number of agreements signed will be less important than the volume of actual orders and investments they produce.

South Korean shipbuilders have begun entering the U.S. Navy maintenance, repair and overhaul market. Stable profitability will require the companies to move beyond individual repair assignments toward multiyear contracts and bundled service agreements.

The pace of shipyard investment will also depend on how the $150 billion financing package is structured and what conditions are attached to it.

Other unresolved questions include how much work can be awarded to South Korean shipbuilders, how investment responsibilities will be divided between companies and state financial institutions and whether U.S. regulations and domestic-content requirements will be eased.

Industry officials said the center must become more than a liaison office and establish itself as a business development organization connecting the U.S. government, Congress, ship purchasers and local shipyards.

They said MASGA’s performance will ultimately be judged by commercial and naval vessel orders, long-term maintenance contracts and completed shipyard investments.

— Reported by Asia Today; translated by UPI

© Asia Today. Unauthorized reproduction or redistribution prohibited.

Original Korean report: https://www.asiatoday.co.kr/kn/view.php?key=20260723010008621

July 22 (Asia Today) — South Korea’s ruling Democratic Party leadership race has descended into an increasingly bitter dispute over allegations that members of a controversial religious group may be attempting to influence the party’s Aug. 17 national convention.

The dispute began after former Prime Minister Kim Min-seok, a candidate for party leader, raised the possibility that the Shincheonji Church of Jesus was intervening in the election.

Shincheonji is a South Korean religious movement whose alleged political activities have become the subject of a national investigation. The church has denied allegations that it directed members to join political parties or interfere in elections.

Kim’s claims have revived questions about why proposed legislation authorizing a special counsel investigation into Shincheonji was abandoned while rival candidate Jung Chung-rae was serving as Democratic Party leader.

The controversy has escalated beyond the original allegations. Jung has denied wrongdoing and threatened legal action, while his allies have demanded that Kim produce evidence, apologize or withdraw from the race.

Party members have warned that the dispute could deepen factional divisions and make it difficult to reunify the party after the convention.

The conflict is increasingly being viewed as a proxy battle between supporters of President Lee Jae Myung and those aligned with Jung.

Kim is generally associated with the party faction loyal to Lee. Jung, a former party leader, has developed his own base among rank-and-file members, and several senior party figures have publicly rallied behind him.

“The essence of this convention is to defeat an alliance of anti-Lee forces, divisive elements and Shincheonji,” Kim said Tuesday. “We must also examine, one by one, why the Shincheonji special counsel investigation did not proceed.”

Kim did not identify Jung by name. His remarks, however, were widely interpreted as criticism of Jung because proposed special counsel investigations into Shincheonji and the Family Federation for World Peace and Unification were abandoned during Jung’s tenure as party leader.

Rep. Lee Geon-tae, an ally of President Lee, reinforced Kim’s allegation in a social media post.

“It appears difficult to dismiss Shincheonji’s alleged intervention in the party convention as mere speculation,” Lee said. “We need to determine why the special counsel legislation was halted.”

Jung denied the allegations and said he would take legal action against the dissemination of false information.

Rep. Moon Jeong-bok, a Supreme Council member aligned with Jung, challenged Kim during a party leadership meeting Wednesday.

“What evidence supports the claim of a secret alliance with Shincheonji, and why is this allegation being used to place the party in danger?” Moon said. “He said he has evidence, so he must disclose it and accept responsibility.”

Reps. Choi Min-hee, Lee Sung-yoon and Han Min-soo, who are running for seats on the party’s Supreme Council and are considered Jung allies, issued a similar demand at a news conference.

They said Kim should apologize and withdraw his candidacy if he could not substantiate the allegation.

“He is portraying the Democratic Party as though it were violating the constitutional separation of religion and politics to gain an advantage in the election,” they said.

Some party officials said Kim’s accusation could backfire because Jung’s supporters may interpret it as an attempt to associate all of them with Shincheonji.

“It could be understood as linking every party member who supports Jung to Shincheonji,” a Democratic Party official said. “That could provoke voters and create even greater barriers between groups of supporters.”

Party members said the larger concern was that the fight could undermine unity long after the leadership election ends.

The repeated allegations, threats of lawsuits and demands for candidates to withdraw have pushed debate over party policies and future priorities into the background, they said.

“A certain level of conflict was expected before the convention, but the candidates are now crossing lines that should not be crossed,” another Democratic Party official said.

“The candidates and party leadership must prevent further division so these wounds do not remain after the primary is over.”

— Reported by Asia Today; translated by UPI

© Asia Today. Unauthorized reproduction or redistribution prohibited.

Original Korean report: https://www.asiatoday.co.kr/kn/view.php?key=20260723010008191