Korea JoongAng Daily - Daily News from Korea

This article is by Jeong Eun-hye and read by an artificial voice.

Netflix is looking for a home run with its latest move: livestreaming MLB games.

Coming off the heels of its exclusive rights to broadcast the World Baseball Classic (WBC) in Japan earlier in March, the streaming giant upped the ante recently in the race among platforms to secure the rights to sports broadcasts, which help retain subscribers over longer periods than films or dramas do.

The season opener between the New York Yankees and the San Francisco Giants at Oracle Park in San Francisco drew strong interest from Korean fans as Lee Jung-hoo of the Giants — who served as captain of Korea's national team in the WBC — took the field.

Netflix plans to continue its MLB coverage with the T-Mobile Home Run Derby on July 13 and the "MLB at Field of Dreams" specialty game on Aug. 13.

Netflix entered sports streaming later than other streaming platforms. In the United States, Amazon Prime began broadcasting NFL Sunday Night Football in 2017 and has since expanded to the English Premier League and the NBA.

In Korea, Tving has streamed KBO games since 2024, Coupang Play has aired K League matches since 2022 and Disney+ began broadcasting League of Legends (LoL) competitions including the LoL KeSPA Cup organized by the Korea e-Sports Association last year.

Sports content offers what industry insiders call a "lock-in effect." It keeps users on a platform during periods when major film and show releases are limited.

Tving, for instance, saw its monthly active users surpass 7.31 million in Korea in May of last year due to KBO broadcasts. This reduced the gap with Netflix, which had 11.18 million monthly active users in the same month, to 3.87 million. Just three months earlier, during baseball's offseason, the gap exceeded 6 million users.

This year, Tving — the only streaming platform to stream WBC games — also saw an influx of new subscribers. Its average weekend daily active users in March rose about 22 percent from February, according to aggregator Mobile Index.

"In March, WBC games were followed by KBO preseason games, and both contributed to the increase in users," a Tving representative said.

Live sports also generate higher advertising revenue, commanding significantly higher ad rates than on-demand content.

Netflix's ad-supported subscription tier, introduced in November 2022, had 190 million users around the world as of November last year — accounting for 58 percent of its 325 million global subscribers. Its advertising revenue reached $1.5 billion last year, a two-and-a-half-fold increase from the previous year, with a target of $3 billion this year.

"Like traditional TV primetime ads, live-streaming ads carry high rates," said Cho Young-shin, a visiting professor at Dongguk University's Graduate School of Digital Image and Contents. "Since launching its ad-supported tier, Netflix has entered the sports broadcasting market backed by massive capital."

However, exclusive streaming rights have raised concerns over access to major sporting events.

In Japan, viewers criticized Netflix after the streaming service secured exclusive rights to broadcast all WBC games across both TV and streaming platforms. Broadcasting rights are typically split between television and new media, but Netflix's full exclusivity meant viewers had to pay to watch the tournament.

The decision triggered backlash among viewers. Older audiences in particular expressed frustration, while younger viewers launched subscription cancellation campaigns after Japan was eliminated in the quarterfinals.

"For major sporting events, streaming platforms need to consider co-broadcasting with terrestrial TV as part of brand management," said culture critic Kim Hern-sik. "If platforms raise subscription fees while holding exclusive rights, they will inevitably face user backlash and cancellations."

This article was originally written in Korean and translated by a bilingual reporter with the help of gener...

This article is by Yoon Seung-jin and read by an artificial voice.

Warm breezes sweep cherry blossom petals across Korea as spring reaches full bloom, offering a soft contrast to students buried in midterm preparations.

For college students in Korea, however, enjoying the season doesn't require navigating the crowds at popular spots like Seokchon Lake or Yeouido. Many campuses themselves transform into cherry blossom havens, offering pink-lined paths just steps away from lecture halls.

On Friday, The Korea JoongAng Daily visited Kyung Hee University in Dongdaemun District, eastern Seoul, to take in the scene firsthand and speak with visitors on campus.

"I heard some Korean universities have beautiful cherry blossoms, but I think this building with cherry blossoms is one of the most beautiful scenes in Korea," Magdalena, a French student who asked to be identified by her first name, said, referring to the Peace Hall, a neoclassical stone building, on campus.

"I go to Korea University, but I came to Kyung Hee University after seeing the cherry blossoms on Instagram Reels."

Magdalena wasn't the only one who made the trip to Kyung Hee University on Friday to see its cherry blossoms.

From groups of college students chatting over picnic mats to high school students posing for photos in their uniforms and club members capturing moments for their activities, the campus was filled with laughter beneath the blossoms.

Such popularity has even earned the university the nickname "Kyung Hee Land," reflecting its reputation as a destination not only for students but also for visitors from across Seoul. The term highlights its landmark-like appeal, with the combination of stately stone buildings and cherry blossoms making it a particular favorite.

One of the most popular viewing spots at the university is the fountain plaza in front of the university's main hall.

Built in the 1950s, the stone structure showcases classical architectural aesthetics, while the circular fountain and surrounding cherry trees create a balanced, symmetrical landscape. The space offers unobstructed views, making it a popular spot for photography.

While Kyung Hee University stands out as a landmark during cherry blossom season, many other universities across Korea also burst into bloom each spring.

Here are several campuses where students can enjoy cherry blossoms without traveling far.

Yonsei University

At Yonsei University, cherry blossom trees line the path from Sinchon Station to Underwood Hall, forming a straightforward route that cuts through the center of the campus.

Walking along this path, visitors can take in rows of blossoms on either side, with the ivy-covered stone buildings adding to the campus's distinctive atmosphere.

The front yard of Underwood Hall, around 10 minutes by walk from the main gate, is the highlight where a large, mature cherry tree stands in full bloom.

When the flowers peak, the tree fills the space like a giant bouquet set against the Gothic-style building, making it one of the campus's most popular photo spots.

Ajou University

Located in Suwon, Gyeonggi, Ajou University is known for its dense concentration of cherry blossoms. Unlike Kyung Hee University's architectural emphasis, Ajou University's defining feature is its long, straight main road lined with cherry trees.

From the main gate to the central library, mature trees on either side create a tunnel of blossoms, with the central lawn providing close-up views.

At night, campus lighting creates a softer atmosphere, making it a popular evening walking spot for nearby residents. Visitors can also extend their trip to nearby attractions such as Gwanggyo Reservoir or Hwaseong Fortress, both about 20 minutes away by public transportation.

Seoul National University

Due to its mountainous terrain, Seoul National University in Gwanak District, southern Seoul, typically sees cherry blossoms bloom about three days to a week later than central Seoul. This timing allows visitors to cat...

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

Korean oil refiners have begun importing sizable volumes of Canadian crude — long a marginal and rarely used option — as they scramble to replace disrupted Middle Eastern supplies amid the protracted Iran war.

Prior to the outbreak of the Iran war, refiners had only brought in Canadian crude in small volumes on a trial basis last year, but have since been sharply ramping up the purchases.

The shift comes as Canada's export capacity to Asia has been surging following the completion of a major pipeline expansion project in 2024, potentially encouraging Seoul to give greater prominence to Canadian crude in its future import portfolio.

"Korean refiners are actively bringing in Canadian crude as an alternative supply amid the current inability to secure Middle Eastern barrels," a government official overseeing the country's oil imports told the Korea JoongAng Daily.

Still, most of Korea's alternative supply comes from the United States, and Canadian crude remains a secondary option rather than a mainstream source. Despite being cheaper than Middle Eastern or U.S. grades, it is a high-sulfur heavy oil, while Korea's refining infrastructure is primarily optimized for Middle Eastern crude.

Leading the charge is HD Hyundai Oilbank, the refiner equipped with facilities capable of processing Canadian crude, whose dependence on Middle Eastern oil — at 60 percent — is the lowest among its peers.

HD Hyundai Oilbank in April last year became the first in Korea to import 548,000 barrels of Canadian crude, worth $82.3 million, after the start of U.S. President Donald Trump's second term.

"Since last year, we began preparing for potential instability in Middle Eastern supply by modifying pipelines and related infrastructure to accommodate Canadian crude," said a spokesperson for HD Hyundai Oilbank.

"Whereas our non-Middle Eastern imports were previously dominated by Mexican crude, we plan to gradually increase Canadian volumes."

SK Energy and GS Caltex are also pushing to secure Canadian crude. S-Oil, a subsidiary of Saudi Aramco, continues to rely almost entirely on Middle Eastern oil but has indicated that it could consider foreign crude under the right conditions in the event of unavoidable disruptions such as war.

Korea's imports of Canadian crude, which stood at zero barrels in 2023, rose to 1.37 million barrels in 2024 and surged to 4.54 million barrels last year, according to data from the Korea National Oil Corporation. While the volume has tripled in just a year, it still accounts for only about 0.5 percent of Korea's total crude imports.

Moreover, Canada has been actively working to increase exports to Asia, including Korea, as a means of seeking to reduce its long-standing dependence on the United States, which accounts for more than 95 percent of its crude exports. Canada completed the long-awaited Trans Mountain pipeline expansion in May 2024, linking Alberta to the Vancouver area in British Columbia, which nearly tripled the volume of crude arriving at the port of Vancouver.

In practice, the landed cost of Canadian crude to Korea was $64.65 per barrel as of 2025, roughly $10 cheaper than U.S. crude at $73.64 and Saudi Arabian crude at $73.80 per barrel.

The Korean government's crude swap system is also expected to play a role in expanding Canadian imports. With Middle Eastern supply constrained, the Korean government has agreed with four domestic refiners to allow crude imported from other countries to be exchanged for government-held Middle Eastern reserves.

Around 20 million barrels are slated for such swaps, with 2 million barrels already released to a refiner on Tuesday.

This article is by Woo Ji-won and read by an artificial voice.

Judging by the number of preregistered visitors, which surpassed 50,000 for the first time, as well as the substantial crowds seen at the 14th edition of the expo in Gangnam District, southern Seoul, on Thursday — which runs through Sunday — the approach appears to be working.

Even before the gates opened at 10 a.m., a large crowd had already formed. By early afternoon, the venue — home to 430 booths — was so packed that visitors could barely move without brushing past one another. The young women were the most visible.

Buddha — a new aesthetic motif

Much of the expo's appeal lay in how Buddhist concepts were translated into everyday experiences, drawing even from K-pop culture.

At one corner, visitors sipped lotus lattes in Buddha-themed cup holders, posing beside a life-size Buddha standee while holding "photo cards" featuring the Buddha that came with their drinks — just like at a K-pop idol birthday cafe, where fans decorate the space with photos and goods to throw a birthday party for their favorite star.

Photo cards, a staple of K-pop fandom, are small, collectible cards bearing the photos of entertainers.

But the real crowd magnets for young people were the merchandise booths, where Buddhist ideas and symbols were reinterpreted through modern design — often in playful, humorous ways that resonated with everyday life.

Haetal Company, a brand founded by the daughter and son of Venerable Taehyeon, a Buddhist monk, offered everything from key-cab key rings and stickers to towels and underwear, incorporating stylized Buddha imagery and messages of calm and self-reflection. Its denim monk pants sold out by midafternoon.

This shift toward "lifestyle Buddhism" was also evident in booths that were less expected to find it. A crowd gathered around a booth selling moktak — wooden percussion instruments traditionally used by monks — as they lined up to test each one and find their preferred sound.

"No two trees are the same, and because each piece is handcrafted, no two moktak sound alike, just like people," said Ahn Jin-seok, owner of the Yeongcheon Moktak.

"Until about three years ago, visitors in their 40s to 60s made up around 70 percent. But now, people in their 20s and 30s account for nearly 70 percent." The shift, he added, reflects rising interest in self-discipline and mental well-being among young people, with even non-Buddhists and temple-goers purchasing moktak for personal use.

That same curiosity extended to other booths offering temple-inspired scents, meditation books and art, which played a role in reshaping perceptions.

"I draw Buddhist illustrations in a fairytale-like style, hoping they can reach people in a warmer and friendlier way," said artist Kim Baek-seoul. "My work conveys that the Buddha exists within us. That I, too, can be a Buddha."

Buddhism meets everyday concerns

Beyond merchandise and branding, the expo also created opportunities for visitors to engage with Buddhism in ways closely tied to their everyday lives.

Venerable Haeyoung offered guidance on topics ranging from personal concerns to philosophical questions about gong, or emptiness. The appeal laid in the accessibility of engaging with Buddhist thought in a casual, open-ended way.

Reflecting the concerns of many young visitors, particularly women, Venerable Yeonwoo offered physiognomy readings, dubbed "plastic surgery consultations," which drew long lines.

"I asked whether I could improve my fortune through makeup instead of plastic surgery," said Moon Chae-young, a 25-year-old who attended the event with a friend. "The monk said everything was good overall, but that my nose was 'weak,' meaning my back or heart could be weak. She advised me to breathe with my mouth closed so that good energy comes in and bad energy goes out."

Moon, who is not Buddhist, said that while the consultation was comforting, the expo itself also exceeded her expectations. "Being here feels heali...

The author is a music critic and director of the classical music brand Poongwoldang.

Johann Wolfgang von Goethe spent many years in the small city of Weimar. He loved the modest duchy, yet he often regretted not being able to attend the major cultural events of a metropolis such as Berlin. When his close friend Carl Friedrich Zelter wrote to him about leading the Sing-Akademie zu Berlin in performances of Johann Sebastian Bach, George Frideric Handel and Wolfgang Amadeus Mozart, Goethe expressed genuine envy.

Still, he was too energetic a spirit to lament his circumstances. If Weimar was small, he would make music flourish there. He imagined how meaningful it would be to hear refined polyphonic church music each week in his town. On July 27, 1807, he shared this wish with Zelter and asked him to send scores that were not overly difficult to perform.

From the autumn of 1807 to 1816, a "small singing circle" took shape in Goethe's home in Weimar. Rehearsals were held every Thursday, and performances took place on Sundays. Goethe himself paid stipends to the singers affiliated with the Weimar theater who participated. The gatherings brought him considerable joy. Theater vocalists and instrumentalists from the court orchestra usually performed, but on occasion, Goethe joined the small choir and sang the bass part. Beginning in 1809, rehearsals and concerts were largely directed by Carl Eberwein, a member of the court orchestra. With Goethe's support, Eberwein later studied in Berlin under Zelter and in 1820 became music director of the Weimar court orchestra.

At the house concerts, motets, cantatas and songs were the main repertoire. The programs also included lighter pieces such as canons, social songs and what Goethe called "musical humor," allowing anyone to enjoy the occasion. Names such as Zelter, Joseph Haydn, Giovanni Pierluigi da Palestrina, Handel and Mozart appeared regularly on the programs. In this way, Germany's leading literary figure showed a deep affection for the sister art of music. That affection gradually spread, fostering a valuable tradition in which literature and music could readily coexist and enrich one another.

These gatherings reflected broader cultural networks linking Weimar and Berlin, as scores, styles and performers circulated between court and civic institutions. Goethe's initiative blurred boundaries between private salon and public concert life, anticipating later house concert traditions.

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 an adjunct professor at Hanyang University's Institute for Future Education.

Financial crises always appear in new forms, which is why people insist that "this time is different." In 1929, the stock market collapsed. In 2000, the technology bubble burst. In 2008, the financial system itself broke down. Today, the global economy stands at another turning point shaped by AI. While appearances change, the underlying structure repeats. Technology evolves, but human behavior and the dynamics of credit remain largely the same.

In the 1920s, electricity enabled round-the-clock factory operation, while automobiles transformed logistics and mobility. Mass production lowered costs and raised productivity, supporting economic growth and driving stock prices higher. Yet stock prices reflected expectations of future gains far beyond actual earnings. Margin trading allowed investors to buy large amounts of stock with limited capital. Rising prices attracted more borrowing, reinforcing the cycle.

When markets began to weaken in October 1929, margin calls triggered forced selling. Prices fell further, leading to more liquidation and a rapid collapse. The Dow Jones Industrial Average plunged from 380 in August 1929 to 43 in June 1932, a decline of 89 percent. The crisis extended beyond markets. Banks failed, money supply contracted, and credit across the economy deteriorated. Firms struggled to secure funding, consumption weakened and unemployment surged. The episode marked not just a market correction but a collapse of credit itself.

The dot-com bubble of 2000 began differently, driven by technological optimism. The internet transformed information flows and created new industries. Productivity improved, with annual labor productivity growth rising to 2.9 percent between 1996 and 2000 from 1.5 percent in the prior period. Optimism dominated markets, but investors incorporated future potential into present valuations too aggressively.

Valuations surged to extreme levels. The price-to-earnings ratio of the S&P 500 approached 50, while companies without profit models attracted large investments. Initial public offerings and venture capital expanded rapidly, with capital moving faster than the real economy. The bubble burst when the Federal Reserve raised its policy rate from 4.7 percent in May 1999 to 6.5 percent by March 2000. The Nasdaq fell 78 percent, and many firms disappeared. The internet remained, ultimately becoming core infrastructure. The problem was not the technology but that markets had priced its future too quickly.

The global financial crisis of 2008 differed again. This time, financial structure was the source of instability. Low interest rates drove housing prices higher and fueled household debt. That debt was repackaged into mortgage-backed securities and collateralized debt obligations, spreading risk across the system. Financial institutions believed risk had been reduced and increased leverage accordingly.

However, the system proved both complex and fragile. As housing prices fell, delinquencies rose, and asset values deteriorated sharply. Trust between banks collapsed, and funding markets froze. This was not simply an asset price adjustment but a breakdown of the financial system itself.

Today, AI represents a new platform reshaping industry and productivity. Yet it requires massive capital. Investment in data centers, semiconductors and power infrastructure is rising rapidly, based largely on expectations of future returns rather than current profits. In effect, an unrealized future is already determining present investment and asset prices.

Credit is expanding again, particularly in private credit markets tied to AI investment. This creates a structure that combines valuation expansion with hidden credit accumulation. In this sense, 2026 may reflect both the valuation excess of 2000 and the credit vulnerability of 2008.

Signs of risk are already emerging. Capital is concentrated in a small number of A...

The author is a senior editorial writer at the JoongAng Ilbo.

"Taiwan's sacred mountain that protects the nation" is a phrase used to describe Taiwan Semiconductor Manufacturing Company (TSMC), reflecting its role in safeguarding the island's economy and security through its dominance of the global foundry market. In Korea, memory semiconductors now appear to play a similar role. High bandwidth memory (HBM), a key component in the AI boom, is dominated by Samsung Electronics and SK hynix, which together account for about 80 percent of the market. Their combined share in dynamic random-access memory (DRAM) is roughly 70 percent, giving them a position that is difficult to replace in economic terms.

If Iran has the Strait of Hormuz and Taiwan has TSMC, Korea has memory semiconductors. Even as geopolitical tensions, including the conflict involving Iran, weigh on the global economy, Korea's exports reached a record $86.1 billion in March, driven largely by a sharp rise in semiconductor shipments compared to a year earlier. The domestic stock market also fluctuates in line with the performance of these companies.

The question is whether Korea can sustain this advantage.

Externally, the environment is becoming less favorable. Both the United States and China are intensifying efforts to reshape the semiconductor industry. China has designated semiconductor self-sufficiency as a core goal in its 2026—2030 economic plan announced at the National People's Congress in March. Vast financial resources and policy support are being mobilized. China's determination is underscored by its earlier "Made in China 2025" strategy, which helped it emerge as a global leader in sectors such as EVs, drones and robotics.

The United States is also shifting course. It is moving away from the previous division of labor, in which design was centered in the United States and manufacturing in East Asia, toward domestic production. Micron Technology, the world's third-largest memory chipmaker, began construction of a new plant in New York in January despite high labor costs. At the groundbreaking ceremony, U.S. Commerce Secretary Howard Lutnick emphasized that memory chipmakers face a choice between paying steep tariffs or building facilities in the United States. Tesla CEO Elon Musk has also signaled plans to enter semiconductor production in Texas.

Internal challenges are no less serious. Securing talent is the first urgent issue, as the semiconductor industry ultimately depends on skilled workers. Korea's past success in industries such as shipbuilding and nuclear energy was driven by its concentration of top talent. Today, however, medical schools attract many of the country's best students. At the same time, experienced engineers are being recruited abroad by companies in the United States and China offering significantly higher pay. Korea is already one of the world's advanced economies with high net outflows of AI talent, in part due to compensation systems that do not adequately reward performance. Moving toward a more performance-based system may be necessary.

Second, labor-management relations must be stabilized. Concerns are growing over the possibility of a strike by the Samsung Electronics union. While union demands for better compensation should not be dismissed, resorting to strikes risks undermining competitiveness. Semiconductor manufacturing requires precision and trust from global clients, and labor disruptions could weaken that trust. Notably, companies such as TSMC, Intel and Nvidia operate without unions.

Third, political interference must be minimized. Politicians have sought to attract semiconductor clusters to their own regions, often prioritizing local interests over national strategy. Such competition can lead to redundant infrastructure, weaken industrial ecosystems and accelerate the outflow of talent. It reflects a short-term approach that could damage a sector central to the national economy.

China has set 2030 as its targ...

U.S. President Donald Trump said in a national address that the United States would deliver "extremely powerful strikes" against Iran within the next two to three weeks and that "we will bring them back to the Stone Age." On the Strait of Hormuz, he added that countries dependent on the route will have to resolve it themselves.

The remarks have dampened expectations for a near-term end to the conflict and raised concerns that tensions will escalate further. An energy crisis and supply chain disruption are likely to intensify. Trump's statement that affected countries should handle the issue of the strait on their own places a significant burden on Korea. If the United States reduces its direct involvement, it may instead increase pressure on partner countries to contribute militarily. Iran could also demand substantial transit fees, further complicating the situation.

The government must prepare for all possible scenarios. Close communication and coordination with countries facing similar risks will be essential. Particularly notable was Trump's expression of dissatisfaction with Korea during an Easter luncheon before the address. He said Korea "was not helpful" despite the United States stationing 45,000 troops "in a dangerous place, right next to nuclear forces," signaling potential friction in bilateral relations.

Regardless of how the conflict develops, Korea faces a difficult path ahead. Managing immediate energy supply challenges will not be easy. At the same time, Seoul may be confronted with what could be interpreted as a political and security "bill" from the Trump administration. Such demands may be linked to broader economic and security interests, including the possible redeployment of U.S. air defense assets currently positioned in the Middle East. This could directly affect Korea's security posture and alliance arrangements.

A careful and strategic response is required. Strengthening communication with the United States while minimizing potential burdens should be a priority. However, given recent signs of discord between the two governments, concerns remain about whether communication channels are functioning effectively and whether mutual trust has been sufficiently established. The government should mobilize all available diplomatic networks to enhance engagement with the Trump administration and avoid unnecessary disadvantages. The risks extend beyond the economy and may spread across security and foreign policy as well.

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 Seo Ji-eun, Cho Jung-woo and read by an artificial voice.

[EXPLAINER]

While much of the world reacts to the ongoing conflict between the U.S., Israel and Iran by stockpiling bottled water or canned goods, Koreans have turned their attention to a more domestic essential: plastic garbage bags.

"I visited four different convenience stores this week and kept coming up empty. I finally managed to find one at the fifth location," said Lee Sang-hwa, living in Gwacheon, Gyeonggi. "With a baby at home, we go through a 20-liter bag every two to three days just for diapers. [As I couldn't find my usual size,] I secured a 50-liter bag."

Lee is far from alone.

Hyper-local community platforms like Karrot were flooded with posts from anxious residents sharing inventory sightings at specific retail outlets or offering to share their remaining stash with neighbors in need.

Since the onset of the U.S.-Israeli air strikes on Iran on Feb. 28, the protracted war in the Middle East has sent shockwaves through global energy markets. For Korea, the instability has led to a supply crunch of naphtha — a key feedstock for petrochemical products — with the ripples now reaching the very bottom of the household waste bin.

Public anxiety reached a tipping point following recent news reports that raw material inventories for garbage bags had dwindled to just a one-month supply. The revelation triggered a sense of déjà vu, drawing comparisons to the 2020 Covid-19 mask shortage, which saw citizens braving long lines at pharmacies for rationed supplies.

Adding to the tension was a moment of policy whiplash on Wednesday.

Minister of Climate, Energy and Environment Kim Sung-hwan initially suggested the government might implement "mask-like" rationing to curb hoarding. However, the Blue House overruled the proposal later in the day, saying that direct regulation is not under consideration.

The current trash bag panic in Korea boils down to a fundamental and fragile link in the global supply chain: the petrochemical industry.

The core material for Korea's standard garbage bags is polyethylene (PE), a versatile plastic derived from naphtha. Crude oil is refined to produce naphtha at temperatures between 75 and 150 degrees Celsius (167 and 302 Fahrenheit). This naphtha is then cracked to produce ethylene, which finally undergoes polymerization to become the PE film we recognize as a trash bag.

Because naphtha is a refined product of crude oil, any instability in the Middle East — the world's primary oil tap — vibrates directly through the supply chain.

As international oil prices soar due to the ongoing conflict, the cost of these raw materials has followed suit.

According to the Korea Federation of Plastics Industry Cooperatives, the supply price of PE jumped by approximately 200,000 won ($138) per ton in March alone. The outlook for April is even grimmer, with manufacturers having already received notices of impending hikes ranging from 400,000 to 800,000 won per ton.

When the Korea JoongAng Daily surveyed several convenience stores and retail outlets across western and central Seoul on Wednesday and Thursday, the experience varied wildly by neighborhood.

In Yeongdeungpo District, household-sized bags were still largely available. Moving toward the center of the city in Yongsan District, however, the most common 10-liter and 20-liter bags were almost entirely sold out across multiple locations.

"Some people seem to wait for the exact moment I step out and only the part-time worker is behind the counter to sweep up the bags in a single go," said one convenience store owner in Yongsan, surnamed Seo.

Seo recounted instances where customers accused her of hiding stock for herself, even threatening to report her to the district office.

To protect herself, Seo has posted an official notice from the Yongsan District Office next to the cash register and implemented a self-imposed limit of one bundle, or 10 bags, per customer.

In a nearby store, t...

This article is by Sarah Chea, Park Eun-jee and read by an artificial voice.

[EXPLAINER]

The outbreak of the Iran war has left the fate of 26 Korean-flagged vessels stranded in the Strait of Hormuz uncertain as cease-fire talks drag on more than a month into the conflict.

Many of the Korean ships carrying crude oil and goods such as cars have ties to the United States and are therefore subject to scrutiny by Iran. Even as the possibility of a cease-fire is raised, developments in the Strait of Hormuz appear to be unfolding on a separate track, increasing the likelihood that Iran will continue to exert control over the waterway — including by imposing transit fees.

No serious harm to the crew has been reported so far, though some are said to be suffering from trauma after witnessing airstrikes unfold at close range. But the financial toll is mounting, with each isolated vessel reportedly incurring costs of up to $1.43 million per day.

Q. How are Korean ships and crews faring in the Strait of Hormuz?

A total of 26 Korean–flagged vessels remain stranded in the Strait of Hormuz, carrying some 600 crew members, including 136 Korean nationals.

An additional 37 Koreans are aboard 11 foreign-flagged ships, bringing the total number of stranded Korean nationals in the waterway to 173.

Of the 26 ships, 16 are operated by nine major shipping companies, while eight smaller firms operate the remaining 10. Five of the ships are owned by HMM, the country's largest shipping line.

Seven are very large crude carriers (VLCCs), along with a mix of petrochemical tankers, bulk carriers, container ships and car carriers, carrying a broad spectrum of industrial essentials, including crude oil, petrochemicals, fertilizers, steel and ammonia.

While countries such as Japan, Indonesia and Thailand have secured safe passage for their vessels through separate negotiations with Iran, Korea has refrained from pursuing bilateral talks, maintaining a cautious stance given its ties with the United States.

Q. What is Iran's stance?

Although Tehran labels Korea a "nonhostile" nation, not a single Korean-flagged vessel has succeeded in exiting the Strait of Hormuz since the blockade.

Iran has previously warned that it barred ships from countries it considers hostile — or allied with the United States and Israel — from transiting the waterway. Yet on March 26, Iranian Ambassador to Korea Saeed Koozechi told the Korean press that Korea is "nonhostile," suggesting that the current blockade is linked to Korea's extensive trade ties with the United States.

Koozechi also said Iran is detaining ships belonging to Saudi Arabia's Aramco, the world's largest oil company, citing its collaboration with U.S. oil firms behind its growth, at an interview with Maeil Business Newspaper on Wednesday.

Korea imported a record 174.89 million barrels of crude oil from the United States last year, making it its second-largest supplier after Saudi Arabia, with imports valued at $12.88 billion, according to data from the Korea National Oil Corporation.

With crude oil supplies disrupted by the Strait of Hormuz blockade, Korea is seeking to expand imports of U.S. oil as an alternative source.

In refined fuels such as jet fuel, Korea is the United States' top source, with a roughly 70 percent share due to the technical demands of refining fuel for aircraft operating at high altitudes and low temperatures. If Korea can't source crude from the Middle East, where it relies on around 70 percent of its total imports, it could disrupt jet fuel supplies in the United States.

Q. What are the projected economic losses from the stranded vessels?

Exact figures are difficult to determine, but the Korea Shipowners' Association estimates that the 26 stranded Korean vessels are collectively losing over $1.43 million per day.

Fixed capital costs alone — including charter fees and loan repayments — amount to a collective $630,000 per day, while war-risk insurance premiums run $560,000, and fuel costs a...