Seoul Economic Daily (June 1)
“Chinese imported cars overtook Japanese vehicles in Korea’s import market for the first time in April…. The result is striking, considering that all Chinese imports came from a single brand, BYD.” The “Red Tech threat” extends beyond EVs and looks poised “to engulf the AI and advanced manufacturing ecosystem. Before it is too late, the public and private sectors must mobilize all their capabilities to drive structural reform of mainstay industries such as steel and petrochemicals, where competitiveness is weakening, and to nurture new industries. If we fail to confront the reality of the crisis and respond complacently, we will surrender not only future growth engines but also industrial leadership itself.”
Tags: Advanced manufacturing, AI, BYD, China, Competitiveness, Confront, Crisis, EVs, Future, Growth engines, Industrial leadership, Japan, Korea, Mainstay industries, Mobilize, Petrochemicals, Red Tech threat, Steel, Structural reform, Surrender
Institutional Investor (July 18)
“The cyclically adjusted price-to-earnings ratio for emerging market equities is 15x, compared to 27x for those in developed markets and 34x for those in the U.S.” At just above 10x, “China is trading at a significant discount,” but investors can also easily “steer clear of China.” Other emerging market opportunities “worth considering” include Korea, Brazil, Malaysia, Hungary, Thailand, Mexico, and much of Latin America where P/E ratios range from 10x to 25x.
Tags: Brazil, China, Cyclically adjusted, Developed markets, Discount, Emerging markets, Equities, Hungary, Investors, Korea, Malaysia, Mexico, P/E ratio, Thailand
The Korea Economic Daily (June 15)
“Everything Asian policymakers were sure they knew about 2023 is going sideways.” When the year opened, “conventional wisdom” expected “Chinese growth would help the region make up for lost economic time.” Now the worry “is about deflation risks as factory-gate prices go negative” with consumer prices in China “on the verge of contraction.” Its exports are “cratering,” but China’s falling imports are “the bigger problem for Korea, and Asia more broadly.” In May, China’s imports fell by 4.5%, “dampening hopes that post-pandemic ‘revenge spending’ by 1.4 billion Chinese would propel Asian growth sharply higher.”
Tags: Asia, China, Consumer prices, Contraction, Cratering, Deflation risks, Exports, Factory-gate prices, Growth, Imports, Korea, Negative, Policymakers, Sideways
Market Insider (September 30)
“Japan and Korea have dumped billions of dollars into the foreign exchange market to prop up” their currencies. Nevertheless, “the dollar has surged 26% against the yen and has risen 21% versus the won.” The yen and won are hardly unique. “Both developed and emerging market economies, have slumped against the dollar,” but both currencies “have also been hurt by trade deficit concerns” as their “economies are importers of oil.”
Tags: Currencies, Developed, Dollars, Economies, Emerging, Forex, Importers, Japan, Korea, Market, Oil, Prop up, Slumped, Surged, Trade deficit, Won, Yen
Bloomberg (May 27)
“The great deal maker has yet to make even a decent deal as president; he hasn’t negotiated anything on health care, immigration or infrastructure, and the trade negotiations with China may be a bust.” In Korea, Donald Trump’s “gut instincts” have resulted in a blunder that’s “worse than it looks: Kim Jong Un appears shrewd. China is stronger. And U.S. allies know not to trust Washington.”
Tags: Allies, Blunder, China, Deal maker, Health care, Immigration, Infrastructure, Kim Jong Un, Korea, Trade negotiations, Trump, Trust
Business Times (March 28)
Kim Jong Un’s visit to Beijing “is only the latest sign of moving geopolitical plates over the Korean stand-off. Following spiralling tensions in the peninsula in 2017 over the North’s nuclear weapons and missile programmes, 2018 has brought unexpected, and what could yet prove remarkable, diplomatic respite that has seen a mini-rapprochement between North and South.”
Tags: Beijing, Diplomatic, Geopolitical, Kim, Korea, Missiles, Nuclear weapons, Rapprochement, Stand-off, Tensions
Korea Times (October 1)
A combination of Japan’s Obon holidays and a harvest festival, Korea’s Chuseok break has begun and “a record number of travelers flocked to Incheon International Airport on the first day.” On Sunday, 114,746 passengers used the airport to depart, but the new record is expected to be broken again during the remainder of the 10-day Chuseok holiday season. Flights to Japan are especially popular with Korean Air reporting that “99 percent of its tickets to Japan have been booked,” while flights on low-cost carriers were snapped up long ago.
Korea Times (May 9)
“Moon Jae-in of the largest Democratic Party of Korea couldn’t take office as president in more trying times ― the country is besieged by big challenges from within and without.” To succeed, he “should ditch partisan politics” and “adopt partnership governance.”
Tags: Besieged, Challenges, Korea, Moon, Partnership, Politics, President, Trying times
Chosun Ilbo (May 9)
Koreans elect their next president today, five months since the National Assembly impeached Park Geun-hye…. Korea had to endure unprecedented conflict and chaos over the past few months, and society continues to be divided along generational lines as many older people cling to certainties to which they have become accustomed. Many hope that things will now return to normal.”
Institutional Investor (February 6)
“Markets across much of Asia, including in China and Korea, will be closed in observance of Lunar New Year this coming week, providing a break for investors concerned over cooling growth in China.”
Tags: Asia, China, Cooling growth, Investors, Korea, Lunar New Year, Markets
