The following is the third in a series of articles on Sejong City, a new multifunctional administrative city that was launched on July 1. ― Ed.The Lee Myung-bak government had sought to build a new business hub in Sejong City, South Chungcheong Province, as an alternative to an administrative city plan.Though its idea of creating a business-oriented city instead of an administrative city reinvigorated the region’s property market in early 2010, the National Assembly voted down President Lee’s pr

A majority of South Korean companies see business conditions for their exports will continue to stagnate in the third quarter of the year mainly due to global economic uncertainties triggered by the European debt crisis, a poll showed Friday.The export business survey index came in at 87.5 for the July-September period, the lowest level in 13 quarters since it hit 66.1 in the second quarter of 2009, according to the poll of 964 companies by the Korea International Trade Association.The latest nu

South Korean stocks rallied 1.91 percent on Friday as European leaders reportedly decided to ease bailout rules for debt-ridden governments, analysts said. The local currency gathered ground against the U.S. dollar.The Korea Composite Stock Price Index climbed 34.83 points to finish at 1,854.01. Trading volume was moderate at 309.8 million shares worth 4.29 trillion won ($3.73 billion) with gainers far outpacing losers 578 to 248.“Extreme fears over the eurozone seem to have been lifted. Germany

The Finance Ministry said Thursday that it has revised its projection for the nation’s economic growth for this year down to 3.3 percent, from its earlier forecast of 3.7 percent.In its unveiling of the second-half economic policy direction, the Finance Ministry cited external factors including the eurozone fiscal crisis for the revision.Earlier, the International Monetary Fund and the Organization for Economic Development and Cooperation also lowered their respective forecasts for Korea’s GDP g

Korean conglomerates brace for tough times in second half of yearChiefs of the nation’s major business groups called on the government to put more efforts into revitalizing the economy through deregulations at a meeting in Seoul on Thursday.Seoul members of the Korea Chamber of Commerce and Industry shared the view that “the corporate sentiment has been worsening since the second half of 2010 and exports are in a declining mode.”The participants including KCCI chairman Sohn Kyung-shik expressed

Hyundai Motor has continued to post lethargic sales of fuel-efficient cars including the Avante and Sonata hybrids.The automaker’s monthly sales of the Avante hybrid dropped to 118 units on average in May despite a price cut, while the average monthly figure stood at 175 units throughout 2011.Monthly sales of the Sonata hybrid have also fallen to 969 units, compared to the average figure of 1,027 units last year.Though Hyundai Motor has actively been promoting the hybrid models since the first h

Government maps out contingency plan to contain fallout from possible embargoAbout 600 Korean companies may face financial difficulties if Iran halts all Korean imports in protest of Seoul’s decision to ban Iranian oil following European Union sanctions, analysts said Wednesday.The Iranian Embassy to Seoul has said the country may stop Korean imports if Seoul imposes the import ban on Iranian oil.If Iran implements the ban, Korea’s small and mid-sized enterprises trading with the country could b

South Korean stocks closed marginally lower Wednesday as lingering concerns over the eurozone debt crisis kept investors reluctant to make risky bets, analysts said. The local currency rose against the U.S. dollar.The Korea Composite Stock Price Index edged down 0.15 points, or 0.01 percent, to finish at 1,817.66. Trading volume was moderate at 315.3 million shares worth 4.26 trillion won ($3.68 billion), with losers outpacing gainers 465 to 338.“There’s nothing from the ‘outside’ to invite inve

South Korean stocks closed 0.23 percent lower on Tuesday as investor sentiment remained cautious over a deal to rescue the debt-mired eurozone, analysts said. The local currency rose against the U.S. dollar.The Korea Composite Stock Price Index dropped 4.16 points to finish at 1,821.22. Trading volume was light at 208 million shares worth 2.36 trillion won ($2.03 billion) with decliners outstripping gainers 485 to 305.“There’s a perspective that the summit will again stop short at a mere declara

A group of real estate experts downplayed the possibility of a Japan-like property bubble burst at a forum hosted by the Korea Chamber of Commerce and Industry on Tuesday.Participants who shared the view that the nation’s property market is different from Japan included professor Choi Hee-gap from Ajou University.Choi said that Japan suffered a property market crash ― “which was initiated by enterprises in the 1980s” ― in the wake of policymakers’ rapid hikes in interest rates in the 1990s.“Unli

Conglomerates recall their successful countermeasures against 2008-9 global financial crisisChiefs of the nation’s major conglomerates are rolling up their sleeves to minimize the negative impact from the eurozone debt crisis, directing their respective staff to set up instruction manuals to cope with external woes.Some of the business groups have been reusing or upgrading successful countermeasures used during the 2008-09 global financial crisis.When the demand for vehicles declined sharply in

The nation’s unionized truck drivers walked out of their jobs on Monday, demanding a 30 percent hike in trucking fees and legislation of a guaranted minimum wage and labor rights.Government and industry officials expressed worries over the impact on the economy from the general strike, which comes three years after truckers staged a strike in June 2009.Public officials are also concerned about the possibility that parcel delivery service workers will follow suit.Government officials said about t

South Korean stocks fell 1.19 percent Monday ahead of a European Union summit and amid weak U.S. and Chinese economic data, analysts said. The local currency fell against the U.S. dollar.The benchmark Korea Composite Stock Price Index plunged 22.01 points to 1,825.38, marking the third straight session of decline. Trading volume was very light at 277 million shares worth 4.08 trillion won ($3.51 billion), with losers outpacing gainers 501 to 316.“There is persistent uncertainty surrounding the E

Philips Electronics became the first foreign company to be subject to the nation’s antitrust regulatory sanctions for pressuring stores not to cut prices despite the Korea-EU Free Trade Agreement.The Fair Trade Commission said Sunday that it reprimanded the Netherlands-based company with fines of 1.5 billion won ($1.3 million) for not reflecting the reduced tariff on its prices of products in the local market.The company, which sells a variety of home appliances as a unit of Royal Philips Electr

South Korea’s leading business confidence index fell for the third quarter, reflecting concerns that persistent global economic woes will hurt the country’s exports in the coming months, a survey carried out by a local economic organization showed Sunday.The business survey index for the July-September quarter came to 88, a drop of 11 points from the estimate for the current quarter, the Korea Chamber of Commerce and Industry said.The BSI forecast for the April-June period reached 99, up from 77

The largest luxury cruise ship to arrive in South Korea docked in the port of Jeju Saturday as the resort island moves to emerge as one of Northeast Asia’s leading tourist destinations.The Voyager of the Seas cruise liner arrived early in the morning at Jeju Port to the fanfare of local authorities and traditional performances.Jeju prepared special garlands and plaques for the passengers who arrived on the ship that weighs 137,276 gross tons, is 311 meters long, has a maximum width of 47.55 mete

A plan to privatize Korea Aerospace Industries, the nation’s sole aircraft manufacturer, faces growing opposition from union workers and local residents.Civic groups and local politicians also oppose the move.KAI’s largest share holder is the Korea Finance Corp. with 26.41 percent stake. The state-run financier and three other major shareholders plan to sell a stake of about 40 percent (worth about $1 billion) in KAI within this year. The other three owners are Hyundai Motor Group, Samsung Techw

South Korea joining the ranks of the exclusive “20-50 club” marks a new chapter in the development history of the country, the government said Saturday.The finance ministry said as the country’s population has passed the 50 million mark and it has been able to maintain a per capita income of over $20,000, South Korea has achieved an unprecedented feat for a newly industrialized economy.The 20-50 club is a coined termed by the local media to highlight countries who possess sizable populations and

Daewoo International Corp., a South Korean trading firm, said Sunday it has given $50,000 in scholarships to a Colombian association of Korean War veterans’ family members.A ceremony was held in the South Korean embassy in Bogota on Wednesday and attended by about 30 people, including the top South Korean envoy to Colombia, according to the company.A committee, made up of members of the South Korean embassy and Daewoo International Corp., plans to award scholarships to 50 recipients over the nex

South Korean stocks will be influenced by the results coming out of the European Union’s summit meeting scheduled for late next week that could help determine the future of the euro monetary union, local analysts said Saturday.The country’s key stock index, the KOSPI, closed at 1,847.39 on Friday, a drop of 0.57 percent or 10.77 points from the week before. The decrease marks the first time in five weeks that the bourse lost ground on a weekly basis, and was brought on by disappointment over the