Domestic Politics
South Korea’s record 2027 budget puts semiconductor windfall to work now
Lee Jae Myung’s government channels surging tax revenue into a new Future Response Fund and strategic investment
South Korea in August 2026: A month in review and what’s ahead
An analytical look at the main developments from August 1 to 28, 2026, and key outlook for September 2026
Lee replaces key ministers as housing woes expose limits of his first team
Finance and land promotions favor insiders as defense returns to a former general and Blue House policy control expands
South Korea’s drone push falters as police reform raises alarm — Ep. 147
Prototype crashes expose defense challenges while high-profile cases cast doubt on expanded police authority
Hyundai wage deal sets stage for South Korea’s next retirement age battle
Union wage protections could shape how companies respond to longer careers, youth hiring and automation after reform
Future Response Fund would give Seoul more control over future tax windfalls
New mechanism would redirect part of tax booms into AI, regional growth, education and fiscal stabilization reserves
South Korea’s retirement age push could make companies hire fewer young workers
Hyundai dispute revives evidence that keeping older staff longer can weaken youth hiring without wider labor reform
South Korea-Japan ties weather history as ACSA and CPTPP tests now loom
Seoul and Tokyo can contain historical disputes, but deeper military and economic ties face domestic political limits
Kim Min-seok wins DP leadership, strengthening Lee Jae Myung’s party grip
Victory gives Lee a trusted ally atop the ruling party, but Jung Chung-rae’s camp retains a Supreme Council majority
Youth unemployment, housing misfire and AI legal gray zones — Ep. 145
South Korea’s headline employment gains mask weaker prospects for young workers as lawmakers test new housing, AI rules














