Economy - The Korea Times

Gov't launches inter-ministry council to bridge gaps in shipbuilding, shipping industries

The Ministry of Trade, Industry and Energy and the Ministry of Oceans and Fisheries jointly launched a public-private council Tuesday to strengthen cooperation between Korea’s shipbuilding and shipping industries, as concerns mount over weak coordination between the two sectors, despite their global competitiveness. The Shipbuilding-Shipping Mutual Growth Strategy Council was launched at Lotte Hotel Seoul, drawing about 100 participants, including the ministers of trade and energy and of oceans and fisheries, as well as the heads of Korea Gas Corp., the Korea Shipbuilding & Offshore Plant Association and the Korea Shipowners’ Association, along with senior executives from major shipbuilders and shipping firms. Korea holds the world’s second-largest share of shipbuilding orders and ranks fourth globally in shipping capacity, yet critics have pointed to weak coordination between the two industries. The initiative comes amid growing concerns over geopolitical risks to energy supply chains, including disruptions linked to the conflict in the Middle East. The council unveiled a four-pr

Apr 28, 2026By Jhoo Dong-chan

Gov't launches inter-ministry council to bridge gaps in shipbuilding, shipping industries

Finance chief highlights capital market reforms to boost growth

Finance Minister Koo Yun-cheol said Tuesday the government aims to further develop the capital market for economic growth, emphasizing ongoing reform efforts to advance the country's financial and foreign exchange markets. "The Korean government is making all-out efforts to position the capital market as a core engine of economic growth and to upgrade it in line with global standards," Koo was quoted by the finance ministry as saying during a meeting with James Kim, chairman of the American Chamber of Commerce in Korea (AMCHAM). The ministry cited a comprehensive road map aimed at securing Korea's inclusion in the developed market index of global index provider Morgan Stanley Capital International (MSCI). He highlighted plans to operate the country's foreign exchange market on a 24-hour basis and to establish an offshore won settlement system. "We will build momentum so that Korea's capital market can earn a fair 'Korea premium' by steadily implementing the tasks outlined in the MSCI road map," Koo said. In response, Kim said Korea needs to further strengthen the competitiveness of its ca

Apr 28, 2026By Yonhap

Finance chief highlights capital market reforms to boost growth

Tax agency collects $23 mil. unpaid taxes by uncovering hidden overseas assets

A foreign athlete who earned a high salary in Korea’s professional sports league left the country for an overseas team without filing taxes, only to be tracked down and forced to pay up overdue income tax, according to the National Tax Service (NTS), Monday. The agency identified the player’s assets through information-sharing with foreign tax authorities and recovered the unpaid taxes through cross-border collection. The athlete ultimately settled the arrears through a local representative. The case underscores a broader push by the tax agency, which has recovered a total of 33.9 billion won ($23 million) in delinquent taxes over the past nine months through cooperation with tax authorities in three countries. The amount, recovered since NTS Commissioner Lim Kwang-hyun took office in July 2025, accounts for the bulk of the agency's total cross-border collections of 37.2 billion won since 2015. In another instance, a foreign business operator left Korea during an ongoing tax audit, anticipating a hefty bill. The NTS traced its financial accounts in a third country along with high-val

Apr 27, 2026By Park Han-sol

Tax agency collects $23 mil. unpaid taxes by uncovering hidden overseas assets

Regulator introduces auto insurance discounts for vehicle rotation compliance

Drivers who comply with a government-led vehicle rotation scheme aimed at easing energy supply strain will receive a 2 percent annual discount on their auto insurance premiums under a new policy-backed rider announced Monday. The benefit will be applied retroactively from April 1. The plan was unveiled at the National Assembly in Seoul by the Democratic Party of Korea’s special committee on economic responses to the Middle East conflict, in coordination with the Financial Services Commission and the General Insurance Association of Korea. The measure comes as the U.S.-Iran war continues to heighten concerns over global oil supply. Since April 8, public sector vehicles have been subject to an odd-even rotation system, which restricts their use every other business day based on license plate numbers. For private vehicles, a five-day rotation scheme, under which cars are asked to stay off the road one designated weekday, remains voluntary. To encourage participation, a temporary 2 percent premium discount is set to be offered to eligible drivers across all insurers. The program applies on

Apr 27, 2026By Park Han-sol

Regulator introduces auto insurance discounts for vehicle rotation compliance

Korea freezes price caps on fuel products for another 2 weeks

The government said Thursday it will maintain the current price ceilings on fuel products for another two weeks considering international oil prices and demand-side controls. Maximum prices for regular gasoline, diesel and kerosene supplied to gas stations by local oil refineries will remain unchanged at 1,934 won ($1.31), 1,923 won and 1,530 won per liter, respectively, for the next two weeks, according to the Ministry of Trade, Industry and Resources. It marks the second consecutive time the government froze price ceilings at the current level. The government sets maximum prices for fuel products every two weeks under the price cap system introduced in mid-March to stabilize domestic fuel prices. The government decided to implement price caps in light of lingering volatility in the global energy market due to the fragile ceasefire between the United States and Iran, as well as the need to manage domestic demand for fuel products, despite a recent fall in international fuel prices, the ministry explained. Over the past two weeks, global gasoline prices fell by around 8 percent, diesel p

Apr 23, 2026By Yonhap

Korea freezes price caps on fuel products for another 2 weeks

Gov't to expand tax cuts on LPG butane next month; review stronger punitive measures against collusion

The government announced Thursday it will more than double fuel tax cuts on liquefied petroleum gas (LPG) butane products starting next month, while pushing for stronger penalties against collusion, in a bid to stabilize market prices directly affecting people's livelihoods. Under the latest measure to support people's livelihoods, the current 10 percent tax cut on butane will be expanded to 25 percent until the end of June, according to the Ministry of Finance and Economy. The ministry said it made such a decision as the impact of international LPG price hikes caused by the Middle Eastern crisis is expected to be felt domestically beginning in May. It added the move can help lower financial burden for butane users, who are mostly in the low-income group. International butane prices have jumped nearly 50 percent to an average of $800 per ton this month from $540 per ton in March. Late last month, the government also more than doubled tax cuts on gasoline and diesel from 7 percent and 10 percent to 15 percent and 25 percent, respectively, through the end of May. The finance ministry said t

Apr 23, 2026By Yonhap

Gov't to expand tax cuts on LPG butane next month; review stronger punitive measures against collusion

Asia emerges as global leader as West backpedals, says sustainability expert

HONG KONG — Asia is steadily advancing to the forefront of sustainability discussions and, if this momentum continues, is poised to emerge as a global leader in sustainability, said Nana Li, head of Asia-Pacific sustainability and stewardship at Impax Asset Management. The U.S. and E.U., which once led the sustainability push, are now backpedaling, weighed down by the aftermath of the Russia-Ukraine war and ongoing geopolitical tensions in the Middle East. Facing greater economic disruption than Asia, they are shifting their focus away from sustainability, according to Li. "There's been a very strong pushback from corporates. The past 12 months have almost felt like backpedaling," Li told The Korea Times in a recent interview. However, political endorsement from Asian governments has remained consistent, including in China, Japan, Korea, India and Indonesia, she added. With 15 years of experience, Li leads Impax's sustainability research, stewardship strategy and policy advocacy across the Asia-Pacific region, coordinating engagement with portfolio companies and regulators. Prior to jo

Apr 23, 2026By Lee Yeon-woo

Asia emerges as global leader as West backpedals, says sustainability expert

Korea's debt growth 'strictly managed': budget minister

The International Monetary Fund’s (IMF) recent projection that shows Korea among the countries with the fastest-rising debt-to-gross domestic product (GDP) ratios may be overstated, as the government retains sufficient fiscal capacity and control, Budget Minister Park Hong-keun said Tuesday. At a press conference, Park downplayed the global lender’s concerns over the rapid pace of debt growth, stressing that it is being strictly managed through spending restructuring and enhanced fiscal efficiency. “Projections are inherently uncertain, as they depend on economic conditions, policy responses and timing. IMF forecasts have often exceeded actual outcomes in the past,” Park said. “Korea’s debt level remains comparatively low among major economies. Fiscal sustainability should be assessed not only by the ratio itself but also by the country’s ability to manage it.” Park added that the government has already carried out spending cuts worth about 27 trillion won ($18 billion) this year — the largest on record — and is preparing additional measures, including reducing manda

Apr 21, 2026By Jun Ji-hye

Korea's debt growth 'strictly managed': budget minister

Lee appoints BOK governor after parliamentary confirmation

President Lee Jae Myung on Monday approved the appointment of Shin Hyun-song as governor of the Bank of Korea (BOK) after his parliamentary confirmation report was adopted through bipartisan agreement, the presidential office said. With the approval, Shin will take office Tuesday. Earlier in the day, the National Assembly's strategy and finance committee adopted a confirmation hearing report for Shin following his hearing last Wednesday. Opposition lawmakers had taken issue with allegations that Shin's daughter, a British national, was illegally reissued a Korean passport. "Many committee members shared the view that there shouldn't be a vacuum in the Bank of Korea's governorship as the domestic and external economic conditions are severe," said Rep. Lim Lee-ja of the main opposition People Power Party, who heads the committee. It marked the first time a confirmation hearing report for a BOK chief nominee was not adopted on the day of the hearing since 2014, when the position became subject to the appointment procedure. Outgoing BOK Gov. Rhee Chang-yong completed his four-year term earlier

Apr 20, 2026By Yonhap

Lee appoints BOK governor after parliamentary confirmation

Trade commission to impose anti-dumping duties on Chinese cold-rolled steel products

Korea's trade watchdog on Thursday made a preliminary decision to impose anti-dumping tariffs on cold-rolled steel products imported from China, citing damage to the local industry. Under the decision, the Korea Trade Commission (KTC) will ask the Ministry of Economy and Finance to impose tariffs ranging from 22.34 to 33.67 percent on imports of cold-rolled carbon steel and alloy steel products with zinc or zinc-alloy coatings from the neighboring nation until it reaches a final ruling in September, according to its officials. The commission opened an investigation into alleged dumping of such products by Chinese companies following a complaint from Korean firms in November. Cold-rolled carbon steel and alloy steel products are widely used as construction materials and in the manufacturing of automotive parts, home appliances and metal products The KTC said it has also launched a probe into alleged dumping of sodium hydroxide solid products imported from China and Taiwan.

Apr 16, 2026By Yonhap

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