The Korea Times

Vietnam, Saudi picked as promising export markets

By Lee Hyo-sikKorea’s outbound shipments have stayed sluggish this year, hit by a slowdown in China, Russia and other large emerging economies, which import less finished and intermediate industrial goods from Asia’s fourth-largest economy.However, exports to Vietnam, Saudi Arabia and some other rapidly-growing nations have jumped by double digits, according to the Korea Trade-Investment Promotion Agency (KOTRA), Monday, urging local exporters to more actively target these markets.The country’s shipments to Vietnam jumped 30.2 percent in the first eight months of the year from the same period last year. Exports to Saudi Arabia rose 22 percent, followed by Morocco at 19.4 percent, the Czech Republic at 16.7 percent and Mexico at 14.1 percent. Iran, Italy, Egypt, Spain and Qatar bought more goods from Korea this year than they did last year.The nation’s overall outbound shipments dropped 6.1 percent during the January to August period.“Local exporters should make inroads into these ten countries, which have posted relatively robust economic growth,”

Oct 5, 2015By Lee Hyo-sik

Companies

Shipbuilders in sales mode for cash

By Lee Hyo-sikHyundai Heavy Industries (HHI) and other local shipbuilders are disposing of almost everything they can to secure much-needed cash to improve their deteriorating bottom lines.HHI and its smaller affiliates have been unloading their stakes in Hyundai Motor and other companies, while Samsung Heavy Industries and Daewoo Shipbuilding & Marine Engineering (DSME) have sold real estate holdings and other non-core assets to bolster their cash flow.On Sept. 25, Hyundai Heavy disposed of its 1.44 percent stake in Hyundai Motor for 500 billion won ($424 million), while its affiliate Hyundai Samho Heavy Industries sold a 1.5 percent stake in POSCO for 226.1 billion won.In addition, the world’s largest shipbuilder and its affiliates are expected to unload their shares in other listed companies.HHI has a 16.6 percent stake in Hyundai Merchant Marine, while Hyundai Samho and Hyundai Mipo Shipbuilding each have a 1.03 percent stake in Hyundai Motor and 3.77 percent in KCC.Samsung and Daewoo have been no exception in the ongoing asset disposal drive.On Sept. 10, Samsung unload

Oct 5, 2015By Lee Hyo-sik

Companies

Korea's exports to Australia jump 15%

By Lee Hyo-sikKorea’s exports to Australia jumped 15.6 percent in the first eight months of the year from the same period last year, thanks to the Korea-Australia Free Trade Agreement (FTA), which went into effect in December, the Federation of Korean Industries (FKI) said Friday.The country’s overall outbound shipments fell 6.3 percent during the same period, however, indicating that local exporters were able to sell more goods to Australia on lower tariffs and other eased trade barriers.The FKI said made-in-Korea products accounted for 5.95 percent of Australia’s import market, up from 4.29 percent in 2014.To further boost bilateral trade in natural resources, finance, information technology and other sectors, FKI held a meeting of the Korea-Australia Economic Cooperation Committee in Sydney Thursday.In an opening speech, POSCO Chairman Kwon Oh-joon, who is also the Korea-Australia committee chairman, said both countries should make the best use of the free trade pact to complement each other’s economic structures and bolster growth.“Korea’s driv

Oct 2, 2015By Lee Hyo-sik

Companies

SM Group moves to Magok district in western Seoul

By Lee Hyo-sikSamra Midas (SM) Group, a mid-sized conglomerate focusing on construction and shipping, said Friday that it will move its headquarters and research and development centers to the Magok Industrial District in western Seoul in February.The group, which operates 17 affiliates, is building its 12-story headquarters building on a 2,991-square-meter site.Its chemical, shipbuilding, manufacturing and other units will move to its new Magok headquarters, while its construction affiliates will remain at the group’s building in Yeongdeungpo District, western Seoul, where they are now.SM began as a construction firm in 1988 and has expanded into shipping, chemical materials, cosmetics, auto parts and other sectors over the years by acquiring companies. The group has been interested in purchasing companies that went bankrupt and were under court management.Among others, it acquired TK Chemical and Woobang in 2008, and Korea Line, the country’s fourth-largest shipping firm, in 2013.A group spokesman said the company will continue to acquire other firms in order to become

Oct 2, 2015By Lee Hyo-sik

Companies

Domestic carmakers reclaiming clout

/ YonhapBy Lee Hyo-sikThe tide has turned in favor of Hyundai Motor and other domestic carmakers as foreign brands are bearing the brunt of the escalating Volkswagen emission-cheating scandal.The country’s five carmakers -- Hyundai Motor, Kia Motors, GM Korea, Renault Samsung Motor and Ssangyong Motors -- saw their sales jump by double digits in September on the launch of new models and lower consumption taxes levied on automobiles.Analysts say that sales of locally produced vehicles will continue to pick up in coming months as more consumers shun Volkswagen and other imported car brands amid concerns over the reliability of foreign vehicles.Even before the German automaker admitted on Sept. 18 to installing a controversial software program in nearly 11 million diesel-engine cars worldwide, the sales of imported vehicles here had been declining in recent months.In September, the five domestic carmakers sold a combined 128,067 cars in the highly competitive local market, up 15.7 percent from a year earlier.Hyundai sold 51,954 cars last month, up 8.7 percent, while motorists boug

Oct 2, 2015By Lee Hyo-sik

Companies

VW recalls may hit 150,000

Seen above is a Volkswagen Korea dealership in Seoul. Below, a sedan is parked in front of an Audi Korea dealership in the capital. The German automakers may have to recall up to 150,000 diesel-engine vehicles in Korea, after it was proven that the firms had cheated during emission tests. / YonhapMinistry will announce test result in NovemberBy Lee Hyo-sikAudi Volkswagen is expected to recall up to 150,000 diesel-engine vehicles in Korea, following the scandal over its cheating on emissions tests, according to government and auto industry officials Thursday.If realized, this would be the largest recall ever by an automaker in the country’s history.Since 2009, Volkswagen has sold more than 110,000 diesel-powered vehicles here. Local motorists have also purchased about 35,000 Audi diesel cars.But Volkswagen Korea said the number of vehicles to be recalled will be smaller because not all of the cars sold here would have had the software in question activated.The company said it will decide whether to recall or not after the government completes emissions tests on its vehicles in N

Oct 1, 2015By Lee Hyo-sik

Companies

POSCO gets W1.24 tril. from Saudi fund

POSCO Chairman Kwon Oh-joon, left, with Abdulrahman Al Mofadhi, center, secretary general of the Public Investment Fund of Saudi Arabia, after signing an agreement to sell a 38 percent stake in POSCO Engineering and Construction (E&C) to the Saudi sovereign fund for 1.24 trillion won, at the POSCO E&C headquarters in Songdo, Incheon, on June 15. POSCO E&C CEO Hwang Tae-hyun was also present at the signing ceremony. / Courtesy of POSCOBy Lee Hyo-sikPOSCO has received 1.24 trillion won ($1.05 billion) from the Saudi sovereign fund for a 38 percent stake in POSCO Engineering and Construction (E&C), securing much-needed cash to improve its financial health.The world’s fourth-largest steelmaker said Thursday that the Public Investment Fund (PIF) of Saudi Arabia made the payment, sealing the deal 13 months after both sides signed a sales agreement. POSCO now holds a 52.8 percent stake in one of Korea’s largest construction firms, followed by PIF’s 38 percent. The remaining 9.2 percent is held by other institutional investors.POSCO pushed for the sale of th

Oct 1, 2015By Lee Hyo-sik

Companies

Retailers pin hopes on Korean version of 'Black Friday'

Lotte Mart began selling novels and other books at 30 percent discount at its outlet in downtown Seoul, Wednesday. The discount campaign will continue through Oct. 14. / Courtesy of Lotte MartBy Lee Hyo-sikDepartment stores and other retailers here are rushing to capitalize on the Korean version of “Black Friday,” which begins today and will continue through Oct. 14, by offering deep discounts on groceries and other household items.Some online vendors plan to slash the prices of items by up to 80 percent to woo the growing number of price-sensitive consumers searching for bargains amid the prolonged economic downturn.According to retailers Wednesday, more than 26,000 retailers nationwide will take part in the Korea Black Friday, the country’s largest shopping promotion campaign.They include three major department stores ― Lotte, Shinsegae and Hyundai ― and three discount store chains ― E-Mart, Home plus and Lotte Mart. Traditional markets, online shopping malls and dining franchises will also offer deep discounts to consumers during the 15-day period.

Sep 30, 2015By Lee Hyo-sik

Companies

Tripartite committee urged to do more on labor reform

Park Yong-Maan, chairman of the Korea Chamber of Commerce and Industry (KCCI) speaks during a press conference at the Hyundai Hotel in Gyeongju,North Gyeongsang Province, Tuesday. / Courtesy of KCCIBy Lee Hyo-sikThe government, unions and management shouldn’t remain complacent after reaching a preliminary agreement on how to overhaul Korea’s labor market, the head of the country’s largest business association said Tuesday, urging them to do more.In a press conference during an annual gathering of heads of regional chambers in Gyeongju, North Gyeongsang Province, Park Yong-Maan, chairman of the Korea Chamber of Commerce and Industry (KCCI), expressed regrets over the recent agreement by the tripartite committee of labor, management and the government.Park, who is also Doosan Group chairman, said that the nation needs to speed up its labor reform drive, which will benefit workers, companies, job seekers and all others, stressing that it doesn’t have much time.“Among others, we need to make it easier to hire and dismiss workers and improve wo

Sep 22, 2015By Lee Hyo-sik

Tripartite committee urged to do more on labor reform

Companies

Korea to inspect Volkswagen vehicles

Volkswagen Korea CEOThomas KuehlBy Lee Hyo-sikThe Korean government will inspect diesel-powered Volkswagen and Audi vehicles sold here to check if the cars comply with emission standards.If the German automakers are found to have manipulated the amount of exhaust emissions to pass the state test, as they did in the United States, this could tarnish the carmakers’ image here and hurt sales.The move comes three days after the U.S. government ordered Volkswagen and Audi to recall nearly 500,000 diesel-powered vehicles sold in the world’s largest automobile market.Last Friday, Volkswagen admitted it installed a controversial software program in its Jetta, Beetle, Passat and Golf cars, all produced between 2009 and 2015. Audi A3 vehicles were also found to have the software that enables the cars to detect when they undergo smog emission tests and lower exhaust emissions. The emission controls are then turned off during ordinary driving.The U.S. Environmental Protection Agency said the software deceived regulators measuring toxic emissions, adding that Volkswagen could face an

Sep 22, 2015By Lee Hyo-sik

Lee Hyo-sik

Read more

Vietnam, Saudi picked as promising export markets

Shipbuilders in sales mode for cash

Korea's exports to Australia jump 15%

SM Group moves to Magok district in western Seoul

Domestic carmakers reclaiming clout

VW recalls may hit 150,000

POSCO gets W1.24 tril. from Saudi fund

Retailers pin hopes on Korean version of 'Black Friday'

Tripartite committee urged to do more on labor reform

Korea to inspect Volkswagen vehicles

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