Seoul

March 22 (Asia Today) — Seoul Mayor Oh Se-hoon on Sunday renewed his call for the formation of a campaign committee aimed at broadening the party’s appeal to centrist voters, as he completed an interview for the ruling party’s Seoul mayoral nomination.

Oh, who entered the People Power Party primary late, urged party leaders to quickly launch what he described as an “innovation campaign committee” led by figures capable of attracting moderate voters.

Speaking to reporters after the interview at the party’s headquarters in Yeouido, Oh said recent opinion polls show a significant gap in party approval ratings, underscoring the need for a strategy that resonates with centrist voters in the Seoul metropolitan area.

“Without a campaign structure that can expand toward the center, winning the election will be difficult,” he said.

Oh dismissed suggestions that his proposal amounts to sidelining the party leadership under Jang Dong-hyuk, saying his goal is to balance the party’s confrontational stance against the opposition with broader electoral appeal.

“At this point, it would not make sense to ask the leadership to weaken its political stance,” he said.

He also pushed back against media reports portraying his proposal as an attempt to take control of the party or position himself for the next party convention, calling such interpretations “unintended.”

Tensions between Oh and the party leadership are expected to continue. Jang has previously rejected calls for an early launch of the campaign committee, saying it should be formed after the nomination process is completed.

While both sides agree on the need for a campaign body with wider appeal, they remain divided over the timing of its formation.

The interview marked the confirmation of a six-way race for the party’s Seoul mayoral nomination. Other candidates include Rep. Park Soo-min, former Gangdong District Mayor Kim Chung-hwan, former lawmaker Yoon Hee-sook, party official Lee Sang-kyu and business executive Lee Seung-hyun.

— 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=20260323010006563

March 20 (Asia Today) — This commentary is the Asia Today Editor’s Op-Ed.

With Seoul apartment values posting their biggest increase in five years, concerns are growing that a heavier property tax burden will spill into the Jeonse and monthly rental markets. Jeonse is a unique Korean housing lease system where tenants pay a large lump-sum deposit instead of monthly rent, and get it back at the end of the lease.

Landlords are already showing signs of passing higher holding costs on to tenants through steeper rents and larger Jeonse deposits. If the government now moves to raise taxes further, including on single-home owners whose properties are deemed non-residential, it risks worsening instability in the rental market.

According to the Korea Real Estate Board, Seoul apartment Jeonse prices rose for a 57th straight week as of the second week of March, with the cumulative increase reaching 4.79%. Monthly rents climbed even faster. In February, the average monthly rent for an apartment in Seoul stood at 1.515 million won, or about $1,010, up 12.5% from a year earlier.

The sales market, by contrast, has cooled. Apartment prices in Seoul’s three Gangnam districts and Yongsan-gu have fallen for four consecutive weeks. But the Jeonse and monthly rental markets are becoming more unstable as new apartment supply shrinks and listings for existing units tighten. The shortage has been aggravated by the reinstatement in May of a capital gains tax surcharge on owners of multiple homes.

Against that backdrop, higher officially assessed home values are likely to add even more upward pressure on rents. The Ministry of Land, Infrastructure and Transport said this year’s official values for multifamily housing in Seoul rose 18.67% from a year earlier. That was the third-largest increase on record, behind only 2007 and 2021, both periods of sharp home-price gains.

In the three Gangnam districts and the Mapo-Yongsan-Seongdong area, where assessed values climbed more than 20%, many homeowners could see property tax bills rise by more than 50%. Even without a revision to tax law, the annual burden can increase by as much as 50%. Once local education taxes and the rural special tax are included, the actual increase can be even greater.

The number of single-home owners subject to the comprehensive real estate tax also rose sharply. Homes assessed above 1.2 billion won, or about $800,000, now total 487,362, up 170,000 from a year earlier.

For many elderly homeowners living on national pension payments, interest income or dividends, annual property taxes running from several million won to tens of millions of won can be difficult to absorb. Assessed values are also used to calculate regional health insurance premiums and can affect existing pension burdens, making the overall impact even heavier.

South Korea has already seen what happens when landlords shift tax costs onto tenants. During the previous progressive administration, rising tax burdens contributed to sharp increases in monthly rents and Jeonse deposits. Past data show that when the property tax rate rises by 1 percentage point, about 30% of the additional burden is passed on through Jeonse deposits and roughly 40% to 50% through monthly rent.

Even so, the government is considering higher property taxes or smaller long-term holding deductions to curb what it calls high-value single-home investments used for non-residential purposes. But real estate taxation can have broad collateral effects. If efforts to suppress housing prices go too far, tenants may once again end up paying the price.

The government should scrap any reckless plan to raise property tax rates on single-home owners.

— 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=20260319010005978

March 20 (Asia Today) — Kim Hyung-nam, a Seoul mayoral hopeful from the ruling Democratic Party, said Friday he would freeze rent increases and expand public rental housing if elected, framing housing insecurity as the city’s most urgent problem.

Kim, a former secretary-general of the Military Human Rights Center, told Asia Today he would seek to separate the sales market from the rental market to help stabilize housing costs in Seoul. He said he would pursue a temporary 0% cap on rent increases during his term.

Born in 1989, Kim described himself as a younger candidate but said he does not support a separate youth platform. He said problems facing younger residents should be treated as issues affecting all generations, arguing that unresolved housing and economic pressures on people in their 20s and 30s will eventually weigh on broader society.

At the center of his housing agenda is a proposal for the Seoul city government to buy villas and multifamily homes and secure 100,000 public rental units. Kim said public authorities must take the lead in the rental market to reduce housing instability and curb rent burdens.

He also criticized redevelopment policies around university districts, saying they failed to reflect steady demand for small rental units and helped drive up monthly rents by reducing supply.

On broader regional policy, Kim said Seoul’s high housing costs are worsening overcrowding in the capital region. He said people should move to other regions because of opportunity, not because they are priced out of Seoul. For that reason, he called proposals to absorb parts of Gyeonggi Province into Seoul a step backward rather than a fundamental solution.

Kim also pointed to his decade of activism on military human rights issues as evidence of his administrative ability, saying his experience in budget oversight and policy advocacy prepared him to move from criticism and proposals to planning and execution.

He said his broader political goal is to make Seoul a city where people can live without being pushed to the edge by housing and living costs, and pledged to protect what he called “citizens’ tomorrow.”

— 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=20260319010005894

March 20 (Asia Today) — Kim Young-bae, a lawmaker and preliminary candidate for Seoul mayor from the ruling Democratic Party, said Thursday he would focus on practical policies to improve daily life for residents, promising to “give back one hour a day” by reducing commuting, caregiving and administrative waiting times.

Kim, a former Seongbuk district mayor and former presidential secretary, described himself as the most prepared candidate in the June 3 local election, citing experience in local administration, national politics and foreign affairs.

“What citizens really want is for someone to change even a small part of their lives,” Kim said in an interview with Asia Today. “The times call for practical politics and bread-and-butter politics focused on people’s lives, not ideology or division.”

Kim said his central campaign theme is “time inequality,” arguing that long commutes, caregiving burdens and inefficient public services leave residents with less time to plan their lives or pursue new opportunities.

As part of that agenda, he proposed high-density mixed-use development in four central Seoul areas – Yeongdeungpo, Sinchon, Cheongnyangni and the Dongdaemun Stadium area – to expand affordable housing near jobs. He also called for a better-linked public transit system connecting electric bikes, neighborhood buses, subways and city buses to create what he described as a more comfortable “10-minute station area.”

Kim said his strength over primary rivals lies in what he called a combination of administrative ability, political skill and global perspective. A two-term lawmaker, he currently serves as the ruling party’s senior member on the National Assembly Foreign Affairs and Unification Committee and as secretary-general of the Korea-U.S. Parliamentary Alliance.

He also criticized incumbent Seoul Mayor Oh Se-hoon, saying Oh should not seek another term after serving a combined 10 years in office. Kim pointed to a recent audit involving the Han River Bus project and argued that Seoul needs new leadership.

Among his other campaign proposals, Kim pledged to turn Seoul into a K-culture hub city and promote multi-core growth zones around gateway areas bordering Gyeonggi Province to reduce long commutes and ease congestion.

Kim said he wants to work with President Lee Jae-myung to usher in an era of practical politics that delivers tangible results for citizens.

— Reported by Asia Today; translated by UPI

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Original Korean report: https://www.asiatoday.co.kr/kn/view.php?key=20260320010006220

South Korean stocks surged more than 5 percent Wednesday, on a semiconductor rally boosted by the ongoing U.S. chip giant Nvidia’s global artificial intelligence (AI) conference. The Korean won strengthened against the U.S. dollar.

The benchmark Korea Composite Stock Price Index (KOSPI) closed up 284.55 points, or 5.04 percent, to 5,925.03.

The index came under strong buying pressure from foreigners and institutional investors, triggering the Korea Exchange (KRX), the country’s main bourse operator, to issue a buy-side sidecar near the closing bell.

Program trading for the KOSPI was suspended for five minutes at 2:34 p.m., according to the KRX.

Offshore and institutional investors snapped up a combined net 4 trillion won (US$2.7 billion) worth of equities. Retail investors, on the other hand, offloaded 3.9 trillion won.

Trade volume was heavy at 1.1 billion shares worth 26.1 trillion won, with winners far outnumbering losers 614 to 278.

Investors’ appetite for semiconductors increased, following remarks from Nvidia’s Chief Executive Officer (CEO) Jensen Huang on Samsung Electronics, Lee Kyoung-min, an analyst at Daishin Securities, said.

During the ongoing four-day event in California, Huang said on Monday he wants to “thank Samsung, who manufactures the Groq LP30 chip” for the company, adding that the chips are in production and would be shipped in the second half of this year.

“The stock market’s sensitivity to geopolitical issues in the Middle East is markedly declining,” Lee added.

Most large cap shares ended bullish.

Top-cap Samsung Electronics jumped 7.53 percent to 208,500 won, while its chipmaking rival SK hynix climbed 8.87 percent to 1,056,000 won.

Nuclear power plant builder Doosan Enerbility rose 2.78 percent to 107,300 won, on anticipations alternative energy sources would benefit from the recent spike in oil prices.

Brent crude, the international oil benchmark, has remained at the US$100 per barrel level for the past five sessions.

In contrast, defense shares lost ground as investors went to lock in profits. Hanwha Aerospace inched down 0.43 percent to 1,390,000 won, and LIG Nex1 retreated 2.27 percent to 689,000 won.

The Korean won was quoted at 1,483.1 won against the U.S. dollar as of 3:30 p.m., up 10.5 won from the previous session.

Bond prices, which move inversely to yields, closed higher. The yield on three-year Treasurys fell 6.3 basis points to 3.261 percent, and the return on the benchmark five-year government bonds retreated 6.7 basis points to 3.511 percent.

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March 13 (Asia Today) — Several candidates from South Korea’s conservative People Power Party publicly urged Seoul Mayor Oh Se-hoon on Friday to apply for the party’s nomination for the upcoming local elections, as his refusal to do so has prolonged internal tensions.

Oh has delayed submitting his candidacy application while calling for broader party reforms, prompting criticism from party members who say the standoff is deepening divisions ahead of the June 3 local elections.

Incheon Mayor Yoo Jeong-bok, who has secured the party’s nomination for his reelection bid, visited the party’s headquarters in Seoul and called on Oh to move forward with the nomination process.

“The party is in confusion,” Yoo said. “I hope Mayor Oh will quickly apply for the nomination and confidently join the party’s path forward.”

Yoo also urged former nomination committee chairman Lee Jung-hyun – who abruptly resigned earlier in the day – to reconsider his decision and return to the role.

“I ask Chairman Lee to withdraw his resignation and fulfill his responsibility to ensure a successful nomination process,” Yoo said, while also calling on party leader Jang Dong-hyuk to strengthen unity within the party.

South Chungcheong Province Gov. Kim Tae-heum also called on Oh to demonstrate leadership as a senior party figure.

“I understand Mayor Oh’s position,” Kim said. “But as a senior member of the party, I hope he will show dedication to keeping the party united.”

Kim had previously delayed submitting his own nomination application alongside Oh but completed the process Thursday after discussions with party leadership.

Some party figures have issued sharper criticism.

Lee Sang-kyu, a People Power Party candidate for Seoul mayor, accused Oh of creating unnecessary pressure within the party while insisting on the creation of an “innovation campaign committee.”

Another mayoral hopeful, Yoon Hee-sook, wrote on social media that it is not the time for internal disputes over candidate registration.

“Primary candidates must unite and focus on confronting the Lee Jae-myung administration while working toward party reform,” she said.

Criticism has also emerged within the party leadership over Oh’s proposal to launch a reform-oriented campaign committee.

Park Jun-tae, chief of staff to the party leader, questioned whether the proposal effectively amounted to a demand for Jang to step down.

“If the proposal implies that the party leader should resign, it would be difficult for the party to accept,” Park said.

Senior lawmaker Na Kyung-won also criticized Oh’s position in a social media post Thursday, urging him to stop escalating tensions within the party.

— 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=20260313010004055

South Korean stocks sharply rebounded on Thursday from the previous session’s sharpest decline ever, soaring almost 10 percent, amid signs of an easing oil price surge sparked by the ongoing Iran conflict. The local currency rose against the U.S. dollar.

The Korea Composite Stock Price Index (KOSPI) added 490.36 points, or 9.63 percent, to close at 5,583.9, snapping the three-session losing streak.

It marked the largest daily gain in terms of points in KOSPI history, renewing the previous record of 338.41 points set on Feb. 3.

Also, the 9.63 percent rise is the second steepest since Oct. 30, 2008, when the index rose 11.95 percent in the midst of the global financial crisis.

The country’s main bourse operator, the Korea Exchange (KRX), issued a buy-side sidecar around opening, suspending the selling of KOSPI futures for five minutes.

Trade volume was heavy at 1.6 billion shares worth 44.8 trillion won (US$30.5 billion), with gainers sharply beating decliners 898 to 21.

Individual investors drove the steep rally, scooping up a net 1.79 trillion won, while foreigners and institutions sold a net 144.6 billion won and 1.7 trillion won, respectively.

“The KOSPI experienced the sharpest decline in history and dropped near the 5,000-point line the previous day,” Roh Dong-gil, an analyst at Shinhan Securities, said. “Bargain hunters returned to the market to pull off a turnaround.”

Overnight on Wall Street, the Dow Jones Industrial Average rose 0.49 percent and the tech-heavy Nasdaq Composite climbed 1.29 percent on calmed oil price hikes.

In Seoul, market heavyweights led the rally.

Market bellwether Samsung Electronics surged 11.27 percent to 191,600 won, and chip giant SK hynix soared 10.84 percent to 941,000 won.

Top carmaker Hyundai Motor escalated 9.38 percent to 548,000 won, and its sister Kia jumped 6.19 percent to 166,400 won.

Defense shares were among the biggest winners as industry leader Hanwha Aerospace vaulted 4.38 percent to 1.38 million won and LIG Nex1 shot up 23.26 percent to 763,000 won.

Shinhan Financial Group rose 4.62 percent to 92,900 won, and internet giant Naver advanced 5.77 percent to 220,000 won.

Samsung Biologics, a leading pharmaceutical firm, mounted 8.64 percent to 1.65 million won, and entertainment giant CJ ENM increased 5.91 percent to 64,500 won.

The Korean won was quoted at 1,468.1 won against the U.S. dollar at 3:30 p.m., up 8.1 won from the previous session.

Bond prices, which move inversely to yields, closed higher. The yield on three-year Treasurys fell 3.4 basis points to 3.189 percent, and the return on the benchmark five-year government bonds declined 3.5 basis points to 3.442 percent.

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