Slow Letter is
a curated snapshot of Korea.

We go beyond the headlines, connect the dots, and show you what really matters — with insight and edge. We surface the stories behind the noise and bring the context you didn’t know you needed. It’s not just about what’s happening. It’s about why it matters.

This English edition combines AI-powered translation with careful human editing — using Upstage Solar-Pro-2 — and it’s still in beta mode.We’re learning as we go, and your feedback is invaluable.

“Shincheonji Is Intervening in the Party Convention.”.

• “When I first warned of martial law, everyone said, ‘You’re crazy,’ ‘What nonsense.’ I’ve been watching the Shincheonji issue very closely and specifically.”
• Kim Min-seok (former Prime Minister) claimed, “We must break the secret alliance of anti-name-splitting-factionalism-Shincheonji.” He did not provide evidence.
• Jeong Cheong-rae (former Democratic Party leader) countered, “We will take legal action under a zero-tolerance principle against the spread of fake news.”
• In an editorial, The Hankyoreh argued, “The mere mention of Shincheonji involvement becomes a fatal stigma for politicians, regardless of whether ‘collusion’ or ‘illegality’ actually occurred,” and insisted, “Without delay, ‘substantive evidence’ must be disclosed promptly to verify its validity.”
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Filibuster Forced Closure, Special Prosecutor Extension Passes.

• Cho Kuk Innovation Party’s 12 votes were decisive. The revised special prosecutor bill extending the second comprehensive investigation period by 30 days passed.
• Chosun Ilbo editorialized, “It is no different from tyranny by the majority under the guise of majority rule.”
• Choi Bo-yun (People Power Party Senior Spokesperson) criticized it as “a permanent political investigation agency targeting the opposition throughout the administration’s term.”
• Related Link.
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Ballot Paper Crisis Heads to Special Prosecutor.

• The citizen-recommendation committee—3 members each from ruling and opposition parties—will recommend two special prosecutor candidates. The president will appoint one.
• The People Power Party accepted seven standing committee chair positions, normalizing the National Assembly after 52 days.

What Matters Now.

Profit Distribution Not Subject to Labor Disputes.

• “Labor disputes seem to be expanding too broadly.” These were the words of Lee Jae-myung (President) during a State Council meeting.
• Regarding Samsung Electronics’ union demanding negotiations over the Honam semiconductor cluster, he said, “The government should set certain standards.”
• Kim Young-hoon (Minister of Employment and Labor) stated, “Including business management decisions as subjects of dispute contradicts the intent of the revised union law.”
• The Korean Confederation of Trade Unions issued a statement criticizing it as “a deeply concerning perspective that seeks to restrict workers’ legitimate exercise of rights.”

Restarted Tariff War, 50% Slapped on Canada.

• Washington imposed an additional 50% tariff on $20 billion worth of Canadian products, including wine and cement.
• Section 338 of the 1930 Tariff Act—long considered obsolete—serves as the legal basis. It allows the U.S. to unilaterally impose up to 50% tariffs on countries that discriminate in trade dealings.
• After the Supreme Court ruled last year that reciprocal tariffs were illegal, the U.S. applied global tariffs under Trade Act 122. That 150-day window expires on the 24th.
• Related Link.

“AI Communism.”.

• It’s a sign of how anxious the U.S. AI industry is. Dean Boll (OpenAI Head of Strategic Futures) posted this on X:
• “A world dominated by open-weight models would lead to full-blown AI communism—exactly as proposed by China. AI would not be a market commodity but a ‘public good,’ ultimately provided by the state as a form of ‘digital public infrastructure.’ To me, this future looks like a dystopian hellscape.”
• While AI companies like OpenAI and Anthropic claim to support government-level AI regulation, their real agenda is to block Chinese AI models from entering the U.S. market.
• No one wants to pay for Chinese AI, which is why it’s moving toward open-weight models—but if free AI’s performance keeps improving, the game could change.
• They opposed the White House’s ban on exporting Claude Fabulous 5 last month over security threats, yet now demand Chinese AI be regulated for the same reason.
• Austin Carson (SeedAI CEO) warned, “AI is increasingly synonymous with ‘power,’” adding, “Anyone with even a basic understanding of open source would know exclusion isn’t a winning strategy.”
• Related Link.
• Related Link.

Money Pouring into Chinese AI.

• Tencent issued $4.7 billion in bonds, while ByteDance is discussing a $20 billion loan.
• MoonShot AI, planning a Hong Kong listing, is valued at over $30 billion. CXMT reaches $85 billion. Z.AI, which went public in January, hit $150 billion.

Money Still Flows to U.S. AI.

• Kimi K3 is not a model that uses fewer computational resources. Many assessments suggest it is far from being a reincarnation of DeepSeek.
• The key is how much output you get for minimal tokens, time, and power. Cost per task has become critical.
• Kimi K3’s cost per task is $0.95, not significantly different from GPT-5.6 Solo ($1.04). While its API rate is half, it consumes twice as many tokens. Claude Pable 5 remains the most expensive at $2.75.
• Analysis suggests a split into two markets: high-precision, high-security domains like finance, law, and healthcare will go closed frontier models. Price-sensitive mass workloads—developers and startups—are likely shifting to open-weight models.
• As of February this year, based on U.S. corporate card data, 73.3% of new enterprise AI customers chose Anthropic. OpenAI had 26.7%. The three major closed models (Anthropic + OpenAI + Google) hold over 90% of the paid workload share in the U.S.

Will Michael Burry’s Short Selling Succeed?

• He’s the hedge fund investor who inspired the film ‘The Big Short’—and accurately predicted the 2008 financial crisis.
• That same Michael Burry commented on Samsung Electronics and SK Hynix’s investment plans, saying, “Well, I see it as the beginning of the end.”
• “When the economy is good, stock prices are overvalued beyond what they should be; when the economy is bad, they’re undervalued beyond what they should be.”
• All U.S. stock markets rose yesterday. The Dow Jones, S&P 500, and Nasdaq indices climbed 0.74%, 0.89%, and 1.29%, respectively.
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Worrying About Oversupply Three Years Early.

• Kwon Seok-joon (Sungkyunkwan University Professor) told the Financial Times, “HBM is custom-made, so the likelihood of oversupply is low.”
• The semiconductor cycle will likely last another 2–3 years, but the real problem begins around 2029.
• Kwon Seok-joon said, “China will be the decisive variable.” The warning: “If CXMT aggressively expands, controlling supply will become even harder.”
• Related Link.

Deep Dive.

AI Access Is a Fundamental Right.

• Kim Yong-beom (Blue House Policy Secretary) noted, “Guaranteeing minimal computing for all citizens is not the same as welfare that distributes cash,” adding, “It’s closer to giving everyone a fishing rod—not handing out fish or teaching how to fish.”
• “The state’s role in the AI era is not to make the beads but to string them together,” he emphasized, “and to step back once it helps the market cross the threshold it cannot.”
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Why Lee Jae-myung’s Apartment Mortgage Is Controversial.

• He sold a house bought for 370 million won in 1998 for 2.9 billion won.
• The controversy centers on the 1.77 billion won mortgage registered during the sale. Observers speculate that since Lee Jae-myung (President) had no immediate cash needs, the seller might have deferred the final payment by allowing the mortgage.
• While not illegal, such leniency from a seller is practically unheard of. The area already bans speculative gap investments and prohibits transferring ownership rights in redevelopment apartments.
• Jang Dong-hyeok (People Power Party Leader) criticized, “He creates the regulations and then invents the loopholes.”
• Jeong Jeom-sik (People Power Party Floor Leader) remarked, “I’m impressed that someone found a way to bypass loan regulations like this,” adding, “While condemning gap investments as speculation and imposing strict lending rules, he essentially sold the house on credit.”
• Kwon Dae-joong (Hansung University Professor) noted, “Transferring ownership without receiving the final payment cannot be considered a normal transaction.”
• Though the buyer remains unidentified, the apartment already has a 1.13 billion won lease deposit, meaning the buyer effectively paid only 300–500 million won.
• Ahn Hye-ri (JoongAng Ilbo Columnist) pointed out, “The government’s real estate policy aims to block cashless gap investments by capping mortgage loans on high-end homes over 500 million won at 200 million won. Yet the President himself bypassed these rules through a mortgage loophole—no wonder public outrage is boiling over.”
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A National Investigation Agency Investigating Itself.

• The prosecution and police raided the National Investigation Agency on the same day.
• They secured testimony that the Agency intervened in the investigation of murder suspect Jang Yun-gi.
• The claim: a senior homicide investigator at the Agency instructed a Gwangju Police Agency homicide chief to apply a general murder charge instead of rape-murder.
• The Kyunghyang Shinmun pointed out, “The special unit sent to uncover the truth has instead been forced to investigate the ‘headquarters’—the Agency itself.”
• “Isn’t this a ‘self-investigation’ that cannot guarantee independence or fairness?”
• The case has become a key variable in the debate over the prosecution’s supplementary investigative authority.
• Arguments clash: one side claims the police investigation was flawed, requiring prosecution oversight; the other counters, “So you’d hand the sword back to the prosecution?”
• In an editorial, the JoongAng Ilbo argued, “The case should be entrusted to the prosecution or handled by a joint prosecution-police task force under prosecution command.”
• Related Link.
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“Abolishing Supplementary Investigations Would Be the Worst of Prosecutorial Reforms.”.

• Spoken by Park Chan-woon (Hanyang University Professor) at the Democratic Party’s general meeting. He warned, “Abolishing supplementary investigations could inadvertently spiral into a crisis for the Democratic Party’s administration.”
• Pro and con opinions clashed fiercely. Yoo Seung-ik (Myongji University Professor) pointed out, “Victim protection cannot be resolved by relying on prosecutors’ discretionary benevolence.” Kang Dong-pil (Attorney-at-Law) noted, “The real danger lies in prosecutors’ direct investigations without oversight mechanisms.”
• An uncomfortable topic? By the meeting’s end, only about ten lawmakers remained, with many having left early.

Deposits Over Stocks.

• Stock deposit balances dropped by 30 trillion won over 20 days. Deposits at the five major banks increased by 16 trillion won in just two weeks.
• Park Joo-heon (Dongduk Women’s University Professor) said, “While the base rate hike may have played a role, the larger factor appears to be investors freezing out of the stock market after the launch of single-stock leveraged products increased volatility.”
• Negative account balances hit a record high of 44 trillion won. Credit loan balances rose to 110 trillion won.
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Yoon’s Residence Audit Suppression, Yoo Byung-ho Arrested.

• This is the first arrest of a sitting audit committee member. Yoo Byung-ho (Audit Office audit committee member) was the de facto chief secretary during the Yoon Suk-yeol administration.
• There were statements suggesting Choi Jae-hae (then Audit Office chief) referred to Yoo as a “shadow shogun.”
• Notes secured by the special investigation team included phrases like “authority is needed to purge dissenters” and “contacted the boss.” The Kyunghyang Shinmun speculated that Yoo had directly petitioned Yoon Suk-yeol for his promotion to chief secretary.
• Yoo is accused of intentionally scaling back audits by reprimanding auditors investigating the residence allegations and ordering written reviews instead. The court issued the arrest warrant, stating, “There is a risk of evidence destruction.”
• In an editorial, The Hankyoreh emphasized, “The higher-ups who reduced the Audit Office to a loyal shock force for Yoon Suk-yeol must be exposed.”
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An Unending War, a Converging Crisis Looms.

• Houthi rebels in Yemen have threatened to blockade the Bab el-Mandeb Strait.
• South Korea has imported crude oil from Saudi Arabia’s Yanbu port since the Hormuz Strait was blocked after the US-Iran conflict; if the Bab el-Mandeb is closed, tankers may have to detour around Africa via the Suez Canal in the worst-case scenario.
• Goldman Sachs projected that Brent crude could again surpass $110 per barrel. Approximately 7.4 million barrels of oil—7% of global production—pass through the Bab el-Mandeb daily.
• Kang Sung-jin (Korea University Professor) warned, “A compounding crisis of soaring oil prices, grain costs, and logistics expenses could emerge.”
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Another Take.

SK Hynix Acquires Intel’s Unfinished U.S. Factory.

• In New Albany, Ohio, lies an unfinished Intel factory site spanning 1.2 million pyeong.
• It is a JoongAng Ilbo exclusive: SK Hynix has agreed to acquire the site and facilities. The plan is to produce memory chips in the U.S. within five years. The purchase amount and timing are still under negotiation.
• This may relate to U.S. Commerce Secretary Gina Raimondo’s remark, “We want Samsung and SK Hynix to build production facilities here in the U.S.”
• Chey Tae-won (SK Chairman) recently stated, “We must increase supply to lower prices,” adding, “We should build semiconductor plants not only in Honam but also in the U.S.”
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Trump’s Assets Surged 183% Over Two Years.

• Analyzing the assets of past presidents two years after inauguration: George W. Bush saw a 35% increase from selling a baseball team stake. Barack Obama’s rose 47%, driven by book royalties from works written before taking office. Joe Biden’s grew a modest 5% via deposit interest.
• Steven Rattner (CEO of Willett Advisors) analyzed the figures. Donald Trump’s income surged significantly from Truth Social and Trump Coin—businesses launched after his presidency. Pre-inauguration factors accounted for 26% of growth; post-inauguration factors, 157%.
• The U.S. has conflict-of-interest prohibitions, but presidents and vice presidents are exempt—ostensibly to prevent governance paralysis during critical moments.
• Choi Hyun-joon (Hankyoreh International Editor) noted, “If a South Korean president had expanded their wealth this way, it would have sparked serious backlash, but the U.S. remains surprisingly quiet,” attributing it to “political polarization and the lowered ethical bar set by Trump.”
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Wall Street Journal’s Golden Advice: Buy Gold.

• First, gold is the most reliable safe-haven asset; second, it’s a hedge against inflation.
• Gold prices have fallen 22% since the outbreak of the US-Iran conflict. In past wars, gold prices rose first—but this time, it’s the opposite.
• Aaron Back (Wall Street Journal columnist) advised, “Buying the dip makes sense.”
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Hamas’ New Supreme Leader: Khalil al-Hayya.

• It has been two years since the death of Yahya Sinwar (former Hamas supreme leader).
• He lost his wife and two sons in an Israeli attack. Speculation grows that he will reject disarmament and resist Israel more fiercely. He is also close to Iran.
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The Fix.

350,000 Undocumented Migrants.

• Among 2.87 million migrants, 350,000 are undocumented—roughly exceeding Sejong City’s population.
• Seo Sun-young (Chungbuk National University professor) proposed two solutions.
• First, guarantee residency rights for undocumented migrants.
• Spain grants residency if they can prove they’ve lived and worked for over two years.
• Second, local governments must embrace undocumented migrants.
• Canada follows the “Don’t Ask Don’t Tell (DADT)” principle: “Neither ask nor answer about immigration status.”
• Seo emphasized, “This is about recognizing migrants’ social membership at the community level to guarantee their rights.”
• “Seeing them as people to coexist with—that’s the true starting point for immigration policy reform,” she proposed.
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Hate Speech’s Mocking Nature Is the Problem.

• Hate speech is problematic, but spreading it without a second thought is worse. Hong Sung-soo (Professor at Sookmyung Women’s University) emphasized, “Ultimately, the biggest enemy in preventing hate speech is ‘becoming desensitized.’”
• Less than 10% of hate speech constitutes incitement that can be legally regulated. Hong pointed out, “Separate measures are needed for the remaining 90% of hate speech.”
• Why can’t an anti-discrimination law be enacted? Some may think the situation isn’t extreme yet, but Hong warned, “South Korea could escalate into an extreme situation within a year.”
• The Human Rights Commission’s role is also crucial. “At minimum, it should confirm ‘this is indeed hate speech’ and recommend politicians refrain from such remarks,” he stated.
• Related Link.

ICYMI.

Homeplus’ Bankruptcy Reorganization Repeal Decision Reversed.

• It means they abandoned rehabilitation only to revive it again—but the outlook remains uncertain. For now, the deadline for approving the rehabilitation plan has been extended to September 4. The largest creditor, Meritz Financial Group, agreed to provide an additional 200 billion won in loans.
• Homeplus’ daily revenue fell from 23.8 billion won in March last year to 10.1 billion won in March this year, and further dropped to 5.3 billion won in May. By July, it had shrunk to 2.7 billion won.
• The number of stores decreased from 126 to 67, and most are currently in temporary closure.
• A retail industry insider interviewed by The Hankyoreh said, “Few suppliers will risk providing goods to a company with a D credit rating,” adding, “It will ultimately amount to nothing more than life support.”
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Shin Jin-seo Secures Two Points, Defeats Katago.

• Two wins, one loss. Shin Jin-seo (professional player) said, “AI is perfect, but that is its weakness.”
• He added, “I twisted the opening and took the unfamiliar path.”

Live Coverage of Oh Se-hoon’s First Trial Verdict Today.

• Oh Se-hoon (Seoul Mayor) is accused of receiving election poll results 10 times from Myeong Tae-gyun (political broker) ahead of the 2021 by-election and having Kim Han-jeong (supporter) cover the costs.
• The special prosecution requested a prison sentence of 1 year and 6 months for Oh Se-hoon.
• A fine over 1 million won would cost him his mayoral seat.

14,500 Satellites in Orbit.

• SpaceX’s Starlink satellites number around 10,000.
• SpaceX plans to build a network of 42,000 satellites by 2030. Some projections suggest the number could reach 1 million by the mid-2030s.
• Hwang Na-rae (researcher at Korea Astronomy and Space Science Institute) stated, “It’s estimated that once satellite numbers exceed roughly 100,000, ground-based astronomical research will become impossible.”
• Related Link.

Worth Reading.

Housing Supply: A Long-Overdue Assignment.

• Kim Sun-gul (Maeil Business News Editorial Director) proposed two points.
• First, if the public trusts the government, housing prices can fall through supply plans alone.
• Second, for supply to materialize, experts must lead the way.
• With political will, 20,000 households could be built in Yongsan Park immediately. Instead of politicians, a proper real estate czar should be appointed, and a housing supply headquarters established at the Blue House.
• Kim Sun-gul warned, “The real estate market is about to explode,” and “metropolitan housing prices will be the trigger.”
• Related Link.

Is It a Party for the Middle Class and the Common People?

• Woo Won-shik (former National Assembly Speaker) pointed out, “The Democratic Party has strayed far from public expectations.”
• Regarding the controversy over supplementary investigative powers, he noted, “Even suggesting a deliberation on alternatives is seen as problematic, leaving no room for dialogue.”
• In an interview with The Hankyoreh, Woo emphasized, “Politics must be a weapon for the powerless.” He argued, “If the government focuses on growth-oriented policies to expand future opportunities, the party must prioritize addressing asset inequality and polarization as core agendas to discuss solutions.”

Socialist Surge in the U.S.—What About South Korea?

• Could they follow in the footsteps of Alexandria Ocasio-Cortez (U.S. Democratic Congresswoman) and Joran Mamdani (New York City Councilman)? More Democratic candidates affiliated with the Democratic Socialists of America (DSA) are running in this year’s midterm elections.
• Francesca Hong, running in the Wisconsin gubernatorial primary, made this remark. She is a Korean-American politician from the DSA.
• “While billionaires emerge on one side, Wisconsin’s minimum wage remains $7.25 per hour. No worker should be forced to choose between childcare and rent.”
• Kim Min-ah (Kyunghyang Shinmun Editorial Writer) pointed out, “I wish the Korean Democratic Party would engage in fierce debate over issues like ‘reducing inequality’ instead of fixating on ‘pro-Myung or pro-Cheong.’”
• “Isn’t this a party that claims in its manifesto to represent ordinary people and the middle class?”
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The Shadow of a Brave New World.

• It is poverty within abundance, the early stage of inherited destitution.
• Jeon Seong-in (former Hongik University professor) warned, “Production without employment deepens the chasm between labor income and capital income to an extreme,” adding, “When capital income flows into real estate, the employment cliff worsens and rising home prices gain self-propelling momentum.”
• Related Link.

Is Roh Moo-hyun’s Legacy a Dried Persimmon to Be Picked at Will?

• It’s a saying that one takes out only when needed. Kim Joon-il (political commentator) pointed out, “Roh Moo-hyun never claimed to be the rightful heir of anyone nor blindly pursued a specific ideology.”
• “Above all, he agonized and reflected endlessly,” a remark directed at all politicians who trade on Roh’s legacy. Kim Joon-il proposed, “It’s time to let go of Roh Moo-hyun’s name.”
• Related Link.

What ‘Growth for All’ Leaves Behind.

• “Growth for all is not achieved merely by building more semiconductor plants or developing more AI models.”
• Woo Suk-jin (Myongji University professor) emphasized, “More important than growth rates is creating pathways for the benefits of growth to reach the majority of citizens.” The advice: “Only when double-digit nominal growth rates translate not just into macroeconomic indicators but into wages, jobs, housing stability, and hope for the future will citizens truly embrace growth as their own.”
• “What fiscal policy must do now is not only invest in future industries but also protect those left behind in the transition. That is how ‘growth for all’ becomes reality, not just a slogan.”
• Related Link.

Government’s Accelerator Pedal.

• “Government policy is overly pro-cyclical, excessively following the semiconductor industry’s rhythm.”
• Huh Jung (Sogang University professor) noted, “The government’s role should be to apply brakes when the private sector overheats and press the accelerator when it cools, thereby reducing economic volatility. But now it’s doing the opposite.”
• “Businesses, finance, and the government are all stepping on the accelerator at once. For now, growth rates, investment, and tax revenues will all look good. But the moment the price variables that drove the semiconductor boom reverse, corporate investment, financial supply, and tax revenues will collapse simultaneously. The government, which should be a safety net, is instead acting as an amplifier.”
• Related Link.