• Xi to visit North Korea for summit next week SEOUL, June 5 (AJP) - Chinese President Xi Jinping will visit North Korea next week for a summit with the reclusive country's leader Kim Jong-un, state media in both countries reported on Friday. The state-run Korean Central News Agency (KCNA) said Xi will pay a state visit to North Korea from June 8 to 9 at Kim's invitation.
• Lee 'mulls cabinet reshuffle' after DP falls short in key local election races SEOUL, June 5 (AJP) - President Lee Jae Myung is reportedly mulling a new prime minister as part of a partial cabinet reshuffle, after the ruling Democratic Party (DP) failed to win several key posts such as Seoul mayor despite its overall victory in this year's local elections, which wrapped up earlier this week.
• South Korea extends current account surplus streak to 36 months SEOUL, June 5 (AJP) - South Korea extended its current account surplus in April, boosted by strong semiconductor exports, according to preliminary data released by the Bank of Korea on Friday. The country's current account surplus reached US$28.29 billion in April, the second-largest on record, after hitting an all-time high of US$37.93 billion in the previous month.
• Seoul stands firm on building nuclear submarines domestically SEOUL, June 05 (AJP) - South Korea’s presidential office said Friday there has been no major change to plans to build nuclear-powered submarines domestically, as Seoul and Washington seek to make tangible progress in related talks by the end of the year.
• What lies ahead for DP after falling short where it mattered most despite overall win? SEOUL, June 5 (AJP) - South Korean voters handed President Lee Jae Myung's ruling Democratic Party (DP) a broad victory in this week's local elections while simultaneously delivering a warning against one-party dominance, as the conservatives retained the key Seoul mayoralty and narrowed losses in parliamentary by-elections.
• Michelle Steel's nomination as US ambassador to South Korea clears Senate panel SEOUL, June 5 (AJP) - Michelle Steel, U.S. President Donald Trump’s nominee for ambassador to South Korea, has cleared a key Senate committee, leaving only a final confirmation vote before the full Senate. The Senate Committee on Foreign Relations voted 14-8 on Thursday to advance Steel’s nomination, moving her one step closer to taking up the post in Seoul.

AJP Briefing

• Hyundai Chair to skip Huang's Seoul 'samso' dinner, plans separate meeting SEOUL, June 05 (AJP) - Hyundai Motor Group Chairman Chung Eui-sun will not attend a dinner with Nvidia CEO Jensen Huang and other Korean conglomerate heads held Friday, opting instead for a separate encounter with the chip leader next week, industry sources said. Chung withdrew from the so-called "samso" gathering — named for the samgyeopsal grilled pork belly and soju on the menu — citing a scheduling conflict, the sources said. The dinner, at a restaurant near Hongdae in
• KOSPI opens sharply lower after Wall Street chip sell-off, prompting sidecar halt SEOUL, June 5 (AJP) - South Korean stocks plunged in early trading on Friday, prompting a temporary halt on program sell orders as investors dumped semiconductor shares following an overnight sell-off in U.S. chipmakers. Just 30 minutes into Friday's trading session, the benchmark KOSPI was down 5.65 percent at 8,151.63, while the junior KOSDAQ shed 3.67 percent to 1,011.25. According to the Korea Exchange, a sell-side sidecar was activated at 9:08:25 a.m. after a sharp decline in KOSPI 20
• Homeplus to permanently close 37 suspended stores, putting 3,500 jobs at risk SEOUL, June 04 (AJP) - Homeplus, South Korea's second-largest hypermarket chain, will permanently shut 37 stores it had temporarily closed last month, a move that threatens the jobs of about 3,500 workers, the company told its labour unions. According to industry sources on Thursday, the retailer sent a a notice to the Korea Mart Labor Union's Homeplus branch and a separate general union that it had decided to close the stores, which had been suspended since May 10 due to their low cont

ASIA Insight

• ASIA DEEP INSIGHT: US Defense Chief speech in Singapore brings tough choices for Seoul The world is changing fast, and the recent defense meeting in Singapore proved it. United States Defense Secretary Pete Hegseth spoke at the Shangri-La Dialogue, and his words carry a heavy message. For South Korea, sitting right between major global powers, his speech is a loud wake up call. The days of relying on a system where America promises to protect everyone without asking for much in return are officially over. Washington wants friends to pay more and do much more on their own. This new by Park Sae-jin
• Expanded World Cup brings new chances for Asia as South Korea looks beyond 11th straight berth SEOUL, June 1 (AJP) - This year's World Cup, now just over a week away, will be remembered as special for several reasons. It will be the first hosted by three countries in the quadrennial football extravaganza's history, spread across vast distances in North America and, most notably, the first to expand from 32 to 48 teams. For Asia, the number itself matters almost as much as the tournament. What once felt like a narrow gate to the sport's grandest stage has widened significantly by Lee Hugh

AJP Watch

• Won weakens further as KOSPI drops over 6% SEOUL, June 5 (AJP) - The South Korean won continued weakening on Friday, with the exchange rate climbing to 1,542 per dollar around noon, from the previous session's close of 1,529.70. The decline came less than a day after the exchange rate weakened past 1,540 won during extended trading, marking its highest intraday level since the global financial crisis. It appears to be largely due to a sharp sell-off in South Korean stocks. The country's benchmark KOSPI tumbled more than 6 perce
• Hawkish signals fail to curb won's slide SEOUL, June 4 (AJP) - Although the Bank of Korea (BOK) has effectively pivoted back toward monetary tightening, the won-dollar exchange rate is instead plunging to its weakest level since the global financial crisis. Downward pressure on the Korean won is intensifying as investors question how much domestic monetary policy can do on its own. A stronger greenback, surging oil prices and synchronized tightening fears among major central banks are adding to the strain. In the Seoul foreign exchan
• Shin's BOK signals active central bank intervention, putting monetary tightening and CBDC in spotlight SEOUL, June 02 (AJP) - The Bank of Korea (BOK) International Conference themed "Central Banks and the Future of Money," which ran from Monday to Tuesday, served as less of a purely academic event and more of a debut public stage highlighting the long-term vision of BOK Governor Shin Hyun-song. The central bank positioned staunch advocates of price and financial stability at the forefront while pitching a future monetary order centered around central bank digital currencies (CBDCs) as i

AJP Focus

• Won plummets past 1,540 as bonds extend losses SEOUL, June 5 (AJP) - South Korea's financial markets remained unsettled on Friday as the won-dollar exchange rate closed at about 1,540 won, for the first time in nearly 17 years and bond yields extended their rise. Heavy foreign selling in local equities continued to weigh on the won and debt markets, while traders saw no clear signs of actual intervention by foreign exchange authorities. In the Seoul foreign exchange market, the exchange rate closed at 1,539.1, down 9.4 from the previou
• South Korea sees record drug tests as narcotics use rises among young people SEOUL, June 5 (AJP) - The number of drug tests is rising as synthetic drugs spread among teenagers and cases of fatal mixed-drug use increase. According to a report released by the National Forensic Service (NFS) earlier this week, the number of drug tests conducted reached 140,775 last year, the highest on record. Drug-related busts and the amount of narcotics seized have both risen steadily year after year. The Korea Customs Service (KCS) seized 769 kilograms of drugs in 704 cases in 2023, 7