Korea JoongAng Daily - Daily News from Korea

The author is a business administration professor at Furman University and author of "The Story of Tariffs" (2025).

On Jan. 9, 1991, U.S. Secretary of State James Baker met Iraqi Foreign Minister Tariq Aziz in Geneva, five months after Iraqi forces under Saddam Hussein invaded Kuwait.

The seven-hour meeting ended without progress. Washington demanded Iraq's unconditional withdrawal, while Baghdad insisted that Israeli forces first leave Palestinian and Syrian territories. Aziz refused to accept a letter from President George H. W. Bush setting Jan. 15 as the deadline.

In November 1990, the United Nations Security Council authorized the use of "all necessary means" if Iraq failed to withdraw, marking the first such approval since the Korean War. Despite mounting pressure, Hussein did not yield.

Iraq appeared to underestimate the United States, assuming fears of casualties shaped by the Vietnam War would force an early ceasefire. Instead, the United States assembled a coalition of 42 countries.

From Jan. 17, coalition forces launched overwhelming airstrikes that crippled Iraq's defenses and communications. A week later, the ground offensive proved equally decisive. The United States declared victory just 100 hours after ground operations began.

The Gulf War ended in a swift U.S. victory but left economic scars. After Iraq's invasion of Kuwait, global oil prices surged about 40 percent. Inflation rose from around 4 percent to the 6 percent range. The Federal Reserve slowed its rate cuts despite concerns over slowing growth.

As the Fed hesitated, the economy slipped into recession under high rates and rising oil prices. Financial instability worsened as savings and loan institutions collapsed.

Today, ceasefire negotiations between the United States and Iran face difficulties. Oil prices are rising again, reflecting uncertainty, while inflationary pressure is increasing. The Fed has taken a cautious stance, making rate cuts unlikely.

This delay is also straining private credit, a key funding source for mid-sized firms. If it weakens, investment could fall and unemployment rise, adding pressure on growth. The consequences of war extend beyond geopolitics.

This article was originally written in Korean and translated by a bilingual reporter with the help of generative AI tools. It was then edited by a native English-speaking editor. All AI-assisted translations are reviewed and refined by our newsroom.

The author is the dean of the Graduate School of Architecture and Urban Design at Hongik University,

The phrase "elementary school palate" is sometimes used to describe adults who still prefer the foods they enjoyed as children, often with a subtly dismissive tone. I still enjoy tteokbokki (stir-fried rice cake) and ramyeon, but with age I have come to distinguish between flavors built on simple seasoning and those developed through time and technique.

My first experience with Pyongyang naengmyeon (cold buckwheat noodles) came in my late twenties. At the time, I could not understand why anyone would eat such a mild dish. Compared with the bold and spicy Hamhung-style noodles, it seemed bland. Yet over time, I found myself willingly waiting in long lines in the summer heat outside restaurants such as Eulmildae.

Architecture is not so different from food. Just as seasoning can create an immediate and accessible taste, striking forms and dramatic exteriors in architecture can quickly attract attention. For those unfamiliar with deeper spatial experiences, such designs are often easier to appreciate.

Yet visually powerful architecture also has a role in contemporary cities. The issue lies in how it is received. More important than its form is how it functions within the urban context. The Dongdaemun Design Plaza, designed by Zaha Hadid, illustrates this point. At its opening, many admired its overwhelming form and unfamiliar spatial qualities, and it was quickly hailed as a new symbol of Seoul. It has since become one of the city's representative buildings. Even so, it remains unclear whether it has been fully integrated into the fabric of the city.

I respect Hadid's architectural philosophy. Her work is not the product of superficial design but the result of long experimentation and accumulated knowledge. Still, it is worth asking whether the enthusiasm surrounding the Dongdaemun Design Plaza stemmed from a genuine understanding of her work within Seoul's context, or from a rapid reaction to her status as the first female recipient of the Pritzker Architecture Prize and her distinctive formal language.

Seoul is increasingly filled with attention-grabbing imagery. Large-scale redevelopment projects continue to introduce more elaborate forms, often competing to stand out. Discussions about apartment design along the Han River frequently involve the names of globally renowned architects. While the emergence of new landmarks is welcome, a city's character cannot be defined by surface impressions alone.

Cities are often thought to be remembered through iconic buildings, but lived experience suggests otherwise. When people think of Paris, the Eiffel Tower may come to mind first, yet the memory of the city is more deeply rooted in narrow streets, small squares and everyday spaces such as cafes. Italian architect Aldo Rossi described the city as a structure shaped by accumulated memory and time. Streets, squares and residential blocks endure beyond changing eras and form the essence of urban identity.

Perhaps Seoul is still in the process of developing its own flavor. Rapid growth has produced a layered landscape where tradition and modernity coexist without full coordination. In this process, the city sometimes resembles an improvised dish. As food relies on seasoning when time is lacking, urban development can fall back on the quick creation of landmarks rather than the gradual accumulation of character.

The Dongdaemun Design Plaza may serve as a compelling photographic subject, but it is less easily absorbed into the everyday rhythm of the city. While singular buildings can shape moments, it is the countless ordinary structures between them that ultimately define the character of a place.

Walking through ordinary neighborhoods, one occasionally encounters scenes that quietly invite attention. They are not striking, but they hold the gaze. In such moments, the city's identity reveals itself through the rhythm of accumulated time...

The author is an editorial writer and senior reporter on science at the JoongAng Ilbo.

The space age is coming to Jeju, long known primarily as a tourist destination. It is a striking reversal. In 1999, plans by the Korea Aerospace Research Institute to build a launch site in Daejeong, on the island's southwest coast, collapsed amid local opposition. Residents warned of disruptions to tourism and the need for evacuations within a two- to three-kilometer (1.24- to 1.86-mile) radius during launches. Jeju's leadership and residents turned the project away.

Over the decades that followed, Korea's space program advanced elsewhere. Launches of the Naro rocket and the Nuri rocket took place from Goheung in South Jeolla Province. At the same time, the global space industry entered the "New Space" era, led increasingly by private companies. Startups began developing satellites and launch vehicles, some even reaching public markets.

In that period, space-related infrastructure gradually appeared in Jeju, including satellite control facilities and observatories. But the island's transformation accelerated only in the past three years. The Agency for Defense Development launched a solid-fuel rocket from a maritime platform off Seogwipo. Large companies established satellite production facilities, and startups built major ground stations.

A visit to the island shows how rapidly the industry is taking shape. In Hallim, southwest of Jeju International Airport, a sign reading "Asian Space Park" marks a private ground station operated by space startup CONTEC. The site, which opened in April, hosts two proprietary satellite antennas along with 10 operated by global partners from countries including the United States and Norway.

Further south, the Hanwha Jeju Space Center stands on the former site of Tamna University at an elevation of about 500 meters. Completed in December of last year, the facility includes satellite development and assembly lines, testing centers and control rooms. From the site, the coastline of Seogwipo and nearby naval installations are visible, including maritime platforms used in rocket launches.

According to Hanwha representatives, the center is the country's largest private satellite manufacturing hub and can produce up to 100 satellites annually. The company is currently developing high-resolution satellites capable of capturing images with a resolution of 14 centimeters (5.5 inches) from very low Earth orbit. Satellites built here are expected to be launched beginning later this month using solid-fuel rockets off the southern coast.

Jeju now hosts a growing network of space-related institutions. In Gujwa on the island's eastern side, a national satellite operations center integrates the control of low Earth orbit satellites operated by multiple government agencies. Opened in 2022, the facility is equipped with large parabolic antennas and control systems for receiving and processing satellite data. Authorities expect the number of national satellites to rise from just four in 2023 to around 70 by 2030.

Nearby are additional facilities, including a radio astronomy observatory operated by the Korea Astronomy and Space Science Institute, which observes cosmic signals such as those from black holes and galactic centers, and a tracking station in Pyoseon-myeon that monitors rocket flight data in real time.

Jeju's push into the space sector is relatively recent. In February 2023, the provincial government unveiled a strategy to foster a full space industry ecosystem, encompassing satellite manufacturing, launches, operations and data applications, with links to tourism. The following year, a former university site was designated as a special development zone, with Hanwha as the first major tenant. A ground system for the Korea Positioning System is also planned to open by 2027.

Efforts to build a talent pipeline are underway. A local technical high school recently rebranded itself as an aerospace-focused institutio...

A sharp rise in import prices following the Iran war is raising concerns that Korea is entering a prolonged period of elevated inflation.

According to the Bank of Korea, import prices in March rose 16.1 percent from the previous month, the highest increase since January 1998, during the Asian financial crisis. The surge reflects a simultaneous jump in global oil prices and the dollar-won exchange rate. Crude oil prices alone climbed 88.5 percent from February, marking the steepest on-month rise since January 1974 during the first oil shock. Prices of intermediate goods such as naphtha also rose sharply.

The increase in import prices is expected to feed into producer and consumer prices after a short lag, suggesting that the inflationary impact is only beginning. The International Monetary Fund has already revised its inflation outlook for Korea this year to 2.5 percent, up from 1.8 percent projected in November of last year.

Shin Hyun-song, nominee for governor of the Bank of Korea, warned during a parliamentary hearing that inflationary pressures could persist if tensions in the Middle East are not resolved quickly. At the same time, he assessed that the likelihood of stagflation in Korea remains relatively low.

Still, the risk cannot be dismissed. Rising prices are likely to erode household purchasing power, potentially dampening consumption and slowing economic growth. Inflation driven by supply shocks also limits the effectiveness of conventional policy responses. Raising interest rates is unlikely to address the root cause, while a supplementary budget recently approved by the National Assembly, totaling 26 trillion won ($17.6 billion), could add to price pressures by increasing liquidity.

In the short term, stabilizing the supply of energy and raw materials is critical. Efforts such as securing crude oil imports from countries in the Middle East are expected to help ease supply constraints, but further measures may be needed to mitigate volatility.

A swift resolution to the inflationary shock appears unlikely. Damage to oil and gas infrastructure from the conflict will take time to repair, suggesting that high prices could persist. As a result, the burden on households is expected to grow.

Under these conditions, policy responses require careful balance. While targeted support for vulnerable groups is necessary, broad stimulus measures aimed at boosting consumption risk exacerbating inflation. Authorities should instead prepare for a sustained period of price pressure and focus on maintaining fiscal discipline. The challenge ahead is not a short-term spike but a longer-term adjustment to a higher price environment.

This article was originally written in Korean and translated by a bilingual reporter with the help of generative AI tools. It was then edited by a native English-speaking editor. All AI-assisted translations are reviewed and refined by our newsroom.

This article is by Lee Jae-lim and read by an artificial voice.

[NEWS ANALYSIS]

An unprecedented memory boom has lifted Samsung Electronics to record operating profit in a preliminary first quarter report — surpassing the entirety of last year — with some analysts saying its earnings could rival or even overtake Nvidia's in the coming years.

The bullish forecast points to an ongoing power shift in the chip industry, where high-end memory supply has become a decisive factor in the global race to build AI data centers amid shortages.

KB Securities estimates the Suwon, Gyeonggi-based chipmaker will post an operating profit of 488 trillion won ($331 billion) in 2027, surpassing Nvidia's estimated 485 trillion won.

"The trend of increasing memory content required for AI inference is expected to persist in the coming years," said Kim Dong-won, the head of research at KB Securities. "Accordingly, Samsung is expected to generate operating profit of 327 trillion won in 2026 and 488 trillion won in 2027, making it the global No. 1 by operating profit."

The report suggests Samsung could narrow the gap with Nvidia in operating profit by 30 trillion won this year , although the Korean firm's market cap is just 18 percent of Nvidia's $4.8 trillion.

Kim's projection is far above the market consensus for Samsung Electronics' 2027 profit at 360.7 trillion won, but it is not even the highest estimate.

IBK Securities' estimate was the highest at 515.7 trillion won, while Meritz Securities and Hanwha Securities are close with forecasts in the 463 trillion won range.

The rosy forecast is driven by Samsung's first quarter earnings surprise, when its preliminary results — operating profit of 57.2 trillion won and revenue of 133 trillion won — outperformed market expectations that were already at record highs earlier in the month. Since then, consensus forecasts have been revised upward for each quarter this year, lifting the annual operating profit estimate to 297.6 trillion won.

The chipmaker's first quarter operating profit estimate is on par with U.S. Big Tech from the latest quarter including Alphabet, Amazon, Meta and Microsoft.

Several indicators point to memory supply constraints continuing into next year. Samsung and SK hynix are reportedly in discussions with major tech firms such as Google and Microsoft about long-term supply agreements lasting up to five years — an unprecedented shift, as the typical contract term is capped at one year.

In January, both Samsung and SK hynix signed low-power double data rate supply deals for Apple's iPhones, but sources cited in multiple reports said chip prices were raised by more than 80 percent from the preceding quarter. Conventional dynamic random-access memory (DRAM) and NAND flash prices have also surged as supply tightened, with demand rising for high bandwidth memory (HBM) chips needed to build out AI infrastructure that Big Tech is expanding aggressively.

The favorable macro backdrop for AI investment is expected to hold. As competition in AI intensifies, Big Tech firms are bringing forward their 2027 server purchasing budgets into this year's capital spending, according to a report by LS Securities. The report cautions, however, that if there is no budget top-up, the pull-forward effect could limit next year's growth.

Another key point of debate is how long memory price increases will last, since higher prices have been boosting earnings.

"To sustain elevated conventional DRAM prices for longer, chipmakers may need to maintain an HBM-first investment strategy despite relatively lower margins and expand NAND capacity to gain more share in that segment, where margins appear higher than HBM," said Jung Woo-sung, an analyst at LS Securities.

This article is by Sarah Chea and read by an artificial voice.

Spot, the four-legged robot dog, developed by Hyundai Motor-backed Boston Dynamics, is taking a dog for a walk.

Boston Dynamics on Wednesday released a video of Spot, which it said has been trained with the help of Google's Gemini AI. In the video, the robot uses its onboard cameras and AI system to read and interpret a handwritten to-do list on a board, and proceeds to carry out tasks itself, such as tidying scattered shoes by the entrance, picking up empty cans and disposing of them, placing clothes into a laundry basket, and even checking a mousetrap beneath furniture.

For the "walk the dog" task, Spot heads outside, takes hold of a leash, and proceeds to walk a dog. The video closes with a playful moment in the snow, where Spot attempts to initiate a game of fetch, only to be met with an unresponsive dog, ending in a quiet standoff.

In a separate video, Spot is shown performing enhanced supervisory and inspection roles in a real industrial setting such as demonstrating its ability to interpret on-site data and deliver actionable insights. The robot detects pooled water on the floor and issues an alert, while also responding to commands to locate a gauge and check temperature.

Boston Dynamics in January announced a partnership with Google to apply Gemini AI into its robot lineups, which also include Atlas, the humanoid robot, at CES 2026 in Las Vegas.

The robotics firm will also partner with Google DeepMind for further research on AI models for complex robotic control to accelerate the safe and efficient deployment of humanoid robots with tangible real-world applications.

Hyundai Motor plans to build a robotics factory in the United States, which will have the capacity to produce around 30,000 units. Atlas, which was first deployed at Hyundai's Georgia plant for a field trial last year, is slated for full deployment in 2028.

This article is by Sarah Chea and read by an artificial voice.

Hyundai Motor CEO José Muñoz stressed that the Atlas humanoid robot won't be used as a tool for work force reduction, reaffirming his commitment to robotics.

"We do not view robots as a means of work force reduction; robots are meant to make workers' lives more comfortable," Muñoz said at Semafor World Economy 2026 in Washington on Tuesday, a gathering hosted by the U.S.-based global digital news platform Semafor and often likened to an American version of the World Economic Forum in Davos.

"Increasing productivity, reducing costs and improving quality is precisely what we aim to achieve through 'physical AI,'" he added. "By deploying Boston Dynamics' Atlas on production lines, we will be able to see humanoids that assist with work that is difficult for humans to perform."

His remarks come after Hyundai Motor's labor union opposed the deployment of Atlas robots on factory floors, citing job security concerns and vowing that not a single unit would be introduced without union consent.

Hyundai unveiled Atlas, developed by its subsidiary Boston Dynamics, at CES 2026 in January and announced its plans to deploy it in production by 2028.

Muñoz also pointed to Hyundai's "ability to immediately provide what customers want" as a key driver of its success.

"We have pursued a strategy of parallel deployment of internal combustion engines, hybrids, plug-in hybrids and EVs," he said. "Based on this strategy, we made the decision to conduct hybrid production at HMGMA [Hyundai Motor Group Metaplant America], which broke ground last year.

Hyundai Motor is set to begin hybrid production at its Georgia plant in September, with the first model to be the Sportage, Kia's best-selling vehicle in the United States, as reported exclusively by the Korea JoongAng Daily in March.

Muñoz also spoke about his vision for autonomous driving as Hyundai recently joined forces with Nvidia for advanced self-driving technologies.

"In the future, you will be able to see Ioniq 5 autonomous vehicles throughout the United States," he said. "Hyundai Motor Group will also deploy proprietary technologies on a large scale through Motional, and in the future, more autonomous driving technology will be equipped in consumer vehicles as well."

Currently, Ioniq 5 robotaxis, developed in partnership with Google Waymo, are operating in San Francisco, while Motional is running Ioniq 5-based robotaxi services in Las Vegas.

This article is by Seo Ji-eun and read by an artificial voice.

As U.S. President Donald Trump questions the future of its alliances and threatens to pull American troops from Europe, 30 of NATO's 32 member states sent their ambassadors to Korea this week — an unprecedented show of solidarity toward a nonmember country.

The three-day visit to Seoul, which ran from Monday through Wednesday, involved the largest such delegation ever assembled for an Indo-Pacific partner country, with Spain and Hungary the only two exceptions. Unlike formal NATO institutional visits organized by the alliance's Brussels secretariat, this trip was arranged by France in its role as host nation — meaning each ambassador came voluntarily.

David Konecký, the Czech Republic's ambassador to NATO, said that the size of the delegation to Korea is "exceptional," adding that the mission is "not only to discuss but also to learn" from their strategic partner as he sat with the Korea JoongAng Daily in an exclusive interview at the Czech Embassy in Seoul on Tuesday.

Konecký said that ambassadors visited Korean defense companies, such as HD Hyundai, to learn how they "relate to the state," "scale up the production if there is a need" and "ensure that the supply chain is secure even in times of tension."

The urgency of the NATO ambassadors' visit stems from a historic crisis in European security: the Russian invasion of Ukraine.

"If we had come five years ago, this dimension would not be that important," Konecký said. "But right now, I think it's one of the central things."

The timing of the visit is difficult to separate from the turbulence inside NATO itself.

Trump has publicly called for a "reexamination" of the alliance, questioned why the United States should carry the burden of European defense, and — according to reports — is weighing the withdrawal of American troops from several European countries. Last week, he ripped into NATO allies again after European members signaled they viewed the U.S. military operation against Iran as "not our war."

"We take Trump seriously, but we don't take him literally," Konecký said, borrowing a phrase that has become something of an informal doctrine among alliance members. "We focus more on the substance of what he said than on the way he said it. And in substance, on many issues, he is right.

"European allies and Canada did not invest enough in their defense capabilities," he said. "Right now, our main focus is how to develop the defense capabilities of non-U.S. — European and Canadian — allies as fast as we can."

The alliance spent years failing to meet its own 2 percent GDP spending benchmark — a target all members finally hit only last year. At The Hague summit in 2025, the bar was raised again: 5 percent of GDP by 2035, split between 3.5 percent for hard military capability and 1.5 percent for broader resilience measures such as cyber defense and critical infrastructure.

For European nations currently facing a "pressing short-term need" to refill empty warehouses, Korean defense firms have become a go-to solution.

Several NATO allies — Poland most visibly — have already signed major contracts with Korean manufacturers to restock their arsenals. But there is also a growing political push to ensure that Europe builds its own long-term defense capacity on home soil.

However, the ambassadors are seeking a blueprint for long-term sustainability and resilience.

"We want to have the defense industry production on our soil," Konecký explained. "In a time of crisis, you don't want to have supply chains that are very long because they could be somehow hampered. So for us, this is a kind of concept which should be self-sustaining."

Korea's role in that longer-term vision extends well beyond hardware.

"Technology transfers, cooperation on research and development in different areas — it's really very vast," he said, pointing to dual-use technologies, which serve both military and civilian purposes, as a growing area of inte...

This article is by Shin Ha-nee and read by an artificial voice.

As BTS opened its "Arirang" world tour at Goyang Main Stadium over the weekend, Korean authorities swept through the area outside the venue, cracking down on illegal K-pop merchandise.

While the operation mainly targeted street vendors and organized sellers of bootleg goods, it also affected some fans who sell or hand out their own unofficial goods and freebies — an activity that has long existed in a legal gray zone, often quietly tolerated by entertainment agencies.

"This is the first time anything like this has happened to me during a cafe event; I'm really taken aback," wrote a BTS fan on X on April 9, the first day of the Goyang concert. The fan said that paper cup sleeves they had designed for a themed cafe event, which was included in a package of free items offered to other fans, were confiscated because they used an official group photo of BTS.

In a later post, the fan said officials removed not only the sleeves featuring the official image but also posters and other small items with the name "BTS," while other goods featuring fan-taken photographs or original fan designs were mostly given leeway.

Elsewhere around the concert, some fans who had planned to hand out or sell self-made merchandise near the stadium posted notices online saying they would postpone distribution or mail the items instead, hoping to avoid enforcement by authorities.

The onsite monitoring was part of a broader campaign by Korea's Ministry of Intellectual Property (MOIP), which has been intensifying its crackdown on illegal K-pop goods in cooperation with HYBE, BTS's agency. The ministry said roughly 4,000 items were seized near the concert site during the enforcement period, including photobooks and calendars selling for up to 20,000 won ($13.50).

Additionally, the ministry also conducted an intensive enforcement operation in February and March, ahead of the concerts, in Seoul and Busan's tourist areas, seizing about 20,000 items that used IP from nine K-pop acts managed by HYBE.

"Protecting intellectual property such as trademark and publicity rights is key for the K-pop industry, which has been built through much investment and effort, to keep advancing forward," said Kim Yong-hoon, head of the Intellectual Property Protection & International Cooperation Bureau at MOIP.

However, one X post about the news of MOIP's March crackdown wrote, "Don't you think it's getting too much?" The post gained over 30,000 likes.

Treading a fine line

On paper, the legal boundaries are clear: Selling unlicensed goods that use an artist's name, image or other protected intellectual property could be illegal, whether sold by professional vendors or by fans.

But K-pop fandom has rarely operated according to clear legal lines.

Unofficial fan-made goods have long been deeply woven into the K-pop idol culture, such as birthday cafe events, slogan banners, cup sleeves and photocards, which are sometimes shared only in small quantities or distributed for free, but also can turn into quite a lucrative business within bigger fandoms.

That culture has for years lived in coexistence with the entertainment agencies, which have often looked the other way in the highly participatory ecosystem of K-pop.

Amateur photographers who run fan sites, known as "home masters," for instance, sometimes monetize photos of K-pop artists to create their own goods, in potential violation of publicity rights. Yet such practices have been largely tolerated and even indirectly accommodated by companies, mostly due to their promotional effects and boosts in visibility.

"In reality, it has been difficult to draw a hard line against all fan activity," said a source from a major K-pop agency, who requested anonymity. "Companies know there would be backlash if they were seen as policing fans too aggressively."

Scale matters

Meanwhile, Korea's IP authorities have been expanding enforcement against counterfeit goods since 2019 to pr...

This article is by Sarah Chea and read by an artificial voice.

Hyundai Glovis has opened a logistics center and an integrated warehouse in California and Georgia, sharpening its ability to navigate supply chain risks across North America.

The logistics center in Los Angeles, spanning roughly 12,000 square meters (129,000 square feet), sits about 25 minutes by car from both the Port of Long Beach and the airport, an urban location optimized for seamless sea-air intermodal operations.

Glovis plans to integrate transloading, airfreight, and warehousing and distribution services at the hub, while strengthening its own inland transport capabilities.

"The Los Angeles center is poised to serve as a key hub for integrated logistics across the western United States," the company said, adding that it will "enhance responsiveness to urgent shipments and enable more flexible cost management amid market volatility."

Hyundai Glovis has also set up a large-scale integrated warehouse in Savannah, Georgia, covering about 69,000 square meters, aimed at handling rising volumes tied to Hyundai Motor Group's Metaplant America, a massive EV plant, as well as demand from third-party clients in the region.

Savannah has emerged as a logistics nexus in the U.S. Southeastern areas thanks to its port and rapidly expanding manufacturing plants nearby. With supply chains linking raw material imports to finished goods exports, demand for logistics services continues to grow in the state.

Its close integration of port and inland transport networks also positions it as a strategic springboard for broader expansion across North America, Glovis said.