According to the Ministry of Land, Infrastructure and Transport, a total of 309 closures of comprehensive construction companies in South Korea were reported from January to July this year, Chosun Biz reported. This marks an increase of 4.74% compared to the same period last year (295 cases). This means that, on average, about 1.5 construction companies have closed each day this year. Looking at the number of closure reports from comprehensive construction companies on an annual basis, the figure increased from 170 in 2022 to 360 in 2023, and then decreased to 295 last year.
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As Yeochun NCC faces a default crisis due to a conflict over operational funding with Hanwha Solutions and DL Chemical, which each hold a 50% equity stake, the price of Yeochun NCC’s corporate bonds has also plunged, Chosun Biz. According to the Korea Exchange as of this morning, the corporate bond Yeochun NCC78 was traded at 9,000 won. This marked a decrease of 1,070.4 won from the previous trading day.
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South Korea will prepare measures to help companies cope with higher U.S. tariffs and expand into new markets, the Finance Ministry said on Tuesday, as it kicked off a task force to prepare the new administration's economic policy plans, Reuters reported. On the domestic front, the government will come up with measures to boost short-term demand, as well as financial support for mid- to long-term technology development to enhance market competitiveness, it said in a statement. South Korea reached a trade deal with the U.S.
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Three cabinet-level South Korean officials met U.S. Commerce Secretary Howard Lutnick in Washington for trade talks, Seoul said on Wednesday, as top business leaders were also reported to be flying in to help lobby for a deal on U.S. tariffs, Reuters reported. South Korean Finance Minister Koo Yun-cheol joined Industry Minister Kim Jung-kwan and Minister for Trade Yeo Han-koo, who have been in Washington since last week, for two hours of talks with Lutnick, a ministry spokesperson said in Seoul. The finance ministry spokesperson did not offer details of the discussions. U.S.
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President Trump’s trade agreement with Japan, announced this week, has intensified pressure on South Korea to cut a deal that doesn’t leave it at a disadvantage relative to its biggest rival in East Asia, the New York Times reported. Kim Jung-Kwan, South Korea’s industry minister, who arrived in Washington on Wednesday for negotiations, pledged an “all-out effort” to strike a deal by the Aug. 1 deadline to stave off a 25 percent tariff that the White House threatened in April and again this month. Moving forward, Mr.
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South Korea's first-generation online video service (OTT) platform Watcha is in danger of going through corporate restructuring, Chosun Biz reported. This comes as Inlight Ventures, one of the investors, has requested court administration. Due to prolonged deficits, it has become difficult for the investor to recover the invested funds, prompting the creditor to directly request the restructuring process. Watcha plans to request the withdrawal of corporate restructuring through negotiations with investors. However, the situation is challenging.
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In the first quarter of this year, 18 out of 23 savings banks located in Seoul showed non-performing loans (NPLs) ratios exceeding the recommended level, Chosun Biz reported. Notably, the number of savings banks in the Seoul area with NPL ratios exceeding double digits increased from 8 to 12 during the same period. The situation of savings banks has worsened since the real estate project financing (PF) defaults began in the second half of 2022.
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South Korea’s central bank kept interest rates steady Thursday in a widely expected move, amid easing concerns over the economic outlook and caution against rising household debt, the Wall Street Journal reported. The decision follows a rate cut at the Bank of Korea’s previous meeting in May, when it moved to support the flagging economy. Since then, exports have rebounded despite higher U.S. tariffs, and domestic political unrest has subsided.
U.S. President Donald Trump on Monday set a 25% tax on goods imported from Japan and South Korea, as well as new tariff rates on a dozen other nations that would go into effect on Aug. 1, the Associated Press reported. Trump provided notice by posting letters on Truth Social that were addressed to the leaders of the various countries. The letters warned them to not retaliate by increasing their own import taxes, or else the Trump administration would further increase tariffs.
A court on Friday approved a request to allow discount store chain Homeplus Co. to pursue a merger and acquisition (M&A) deal before a court decision on whether to approve its rehabilitation plan, the Korea Times reported. The Seoul Bankruptcy Court approved Homeplus' pursuit of the M&A deal and the selection of an M&A adviser prior to its rehabilitation plan-related court ruling.