Stories from Seoul · South Korea

New data indicates generative AI usage has jumped to 44.5%, though paid subscription rates remain low at 7.9%. This trend highlights a massive gap between free adoption and monetization in the AI sector.

The Samsung labor union has threatened to commence an 18-day general strike starting on the 21st of next month if no agreement is reached during upcoming rallies. The dispute involves significant labor demands. This potential strike could disrupt major manufacturing operations.

Truck drivers have initiated an indefinite general strike that has been ongoing since April 7. The movement has successfully blockaded four major logistics centers across the nation, disrupting supply chains. The strike aims to address labor demands and remains unresolved as of late April. South Korea will allow children aged 7 and older to issue specific prepaid cards starting May 4. The eligibility age was previously set at 12 years old. The cards allow elementary school students to make purchases using funds from their accounts. Proponents suggest the initiative will help instill proper economic habits in young children. These individuals are now eligible for state support, including medical care and job assistance services.

A former Samsung researcher has been sentenced to seven years in prison for leaking critical DRAM semiconductor technology to a Chinese competitor. The sentencing follows investigations into the theft of proprietary manufacturing processes. This breach highlights ongoing concerns regarding intellectual property security in the global semiconductor industry. The sentence is a two-year increase from the five-year term handed down in the first trial. He faces charges related to obstructing an investigation by the High-ranking Public Officials Corruption Investigation Office. The sentence includes an additional two years compared to the initial five-year sentence from the first trial.

Gold prices have reached new record levels, significantly impacting consumer purchasing power for jewelry. The KOSPI index closed at 6690.9, rising 49.88 points from the previous session. The KOSDAQ index also rose by 4.68 points to finish at 1220.26. The KRW/USD exchange rate increased by 5.4 won. The KOSPI index closed at 6,690, marking its third consecutive day of record closing highs. The index rose 0.8% despite an initial 0.3% drop to 6,619 at the market open. Net buying from both individual and institutional investors drove the upward trend. This follows recent volatility influenced by declines in the New York stock market. This represents a 1.5% increase over the three-day period. Analysts suggest market momentum remains strong despite discussions regarding high price-to-earnings ratios.

The South Korean government has announced a massive $54 billion industrial aid package aimed at bolstering key sectors, specifically including the steel industry. This significant investment is intended to support companies like Yieh Corp Steel and stabilize the domestic manufacturing landscape. The move comes as part of broader economic efforts to strengthen industrial resilience. AutoLink focus systems are gaining attention and will receive government subsidies for applications starting in 2026. Gangwon Province in South Korea is offering monthly financial support of up to 500,000 won for children from birth to age 17. Families residing in Gangwon for over a year are eligible for this policy, which aims to provide over 100 million won in total financial aid. The initiative is promoted as a way to ease parental concerns and support children's futures.

Kia has announced a $10,000 price reduction for its EV4 model. This strategic move is a direct response to the launch of the new Volkswagen ID.3 Neo. The price cut aims to maintain competitiveness in the rapidly evolving electric vehicle market. The Kia K9 luxury sedan is seeing substantial discounts of up to 7 million won in April. Combined with inventory incentives, the effective purchase price is dropping to the 50 million won range, making it more affordable than the Genesis G80.

Shinhan Bank and Hyundai Engineering have entered a strategic partnership to collaborate on data centers and renewable energy projects. This move aims to transition the bank's role from simple capital provider to a leader in industrial structural improvement.

South Korea and Ghana have signed three agreements and Memorandums of Understanding (MOUs) to expand cooperation in climate change, artificial intelligence, and maritime security. This class features an independently developed electromagnetic propulsion system capable of 15 days of continuous underwater travel. The first round of applications for livelihood support subsidies has opened for vulnerable populations facing rising living costs. Eligible recipients include basic livelihood security recipients and the near-poverty group. Support amounts range from 450,000 KRW to 600,000 KRW per person. To prevent congestion during the first week, a weekday application system based on the last digit of the applicant's birth year is being implemented. The government will provide financial support to 70% of citizens based on income level.

The KOSPI and KOSDAQ indices rose by 4% driven by strong performance from Samsung Electronics and SK Hynix. This surge follows significant movement in regional liquidity and ETF assets. The KOSPI index rose 0.48% to 2,640. SK Hynix shares increased by over 2.5% to the 1.32 million won level. Market gains are driven by strong performance in US technology companies, boosting investor sentiment in the domestic semiconductor and IT sectors. This upward trend persists despite instability in the Strait of Hormuz and the failure of second-round US-Iran face-to-face negotiations. Stock markets in South Korea and other Asian regions experienced upward movement.