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.

Scaling Back US-South Korea Joint Drills.

• After Donald Trump (US President) instructed a reduction, the 11-day schedule was cut to five days.
• Yesterday, Xavier Brunson (USFK Commander) told reporters en route to meet Ahn Kyu-baek (Defense Minister):
• “I am pro-alliance and pro-OPCON transfer.” Meaning the alliance won’t waver.
• A military official interviewed by Chosun Ilbo called the halving of regular joint drill schedules and the cancellation of field exercises mid-training “unprecedented, like a natural disaster.”
• The drills cost around 90 billion won, with the US and South Korea covering approximately 70 billion and 20 billion won respectively.
• Related Link.
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“We Cannot Protect Nations That Do Not Assist Us.”.

• These were Trump’s remarks to reporters.
• “I actually don’t need help, but I asked if they could assist a bit. Lee Jae-myung (President) said ‘no thanks.’
• So I paused and said, ‘We station 39,000 US troops to protect South Korea from Kim Jong-un (North Korean Chairman), yet you refuse to assist in a very simple operation. That’s strange.’
• He replied, ‘No, it’s better not to get involved.’
• I said, ‘Well, then why should we bother to help you?’ Why would we protect South Korea?
• What I want is fairness. We cannot run around protecting nations that do not assist us.”
• The USFK troop count is 29,000, not 39,000.
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350 Billion Dollar Investment Delay Sparks Frustration.

• Some analysts suggest the issue is not Kim Jong-un but the delayed investment itself.
• Politico analyzed, “Trump believes the South Korean government is postponing its commitments.”
• Victor Cha (CSIS Korea Chair) stated, “South Korea treats this as a typical investment matter, but Trump doesn’t operate that way.”
• A source interviewed by Politico remarked, “South Korea is historically the slowest negotiators.”
• This contrasts with Japan, which has already initiated six projects under its 550 billion dollar investment pledge.
• Related Link.

Pressure Diplomacy? Not Necessarily Bad from Seoul’s Perspective.

• Kim Jae-cheon (Sogang University Professor) said, “There is significant accumulated frustration over the delayed $350 billion investment,” adding, “It appears to be pressure to expedite the investment by leveraging security.”
• A retired general interviewed by Chosun Ilbo stated, “From the government’s perspective, which has been burdened by the need to send conciliatory messages toward North Korea, the US’s move to scale back joint drills seems to be quietly welcomed.”
• Kim Jeong-seop (Sejong Research Institute Research Fellow) said, “If the adjustment is limited to partial scaling of training, it won’t significantly hinder the OPCON transfer process.”
• Related Link.
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What Matters Now.

Trump’s Empty Bluster.

• Will Kim Jong-un (North Korean State Affairs Commissioner) and Donald Trump (US President) meet again? Trump claims, “Kim Jong-un has sent a positive response.”
• The war he started to halt Iran’s nuclear program is dragging.
• Though the contexts differ, Trump has failed in nuclear negotiations with North Korea. North Korea has already achieved nuclear armament. There is no reason for North Korea to suddenly abandon its nuclear weapons just because the two leaders meet now.
• Lim Eul-chul (Professor at Kyungnam University’s Institute for Far Eastern Studies) predicted, “If denuclearization is excluded from North Korea–US talks, it could implicitly lead to recognizing North Korea as a nuclear state.”
• Joel Wit (former US State Department diplomat) said, “Trump seems unaware that Kim Jong-un has no interest in improving relations with the US.”
• Cho Han-beom (Senior Research Fellow at the Korea Institute for National Unification) remarked, “North Korea is currently facing high exchange rates, and this time, Chairman Kim might see an opportunity to exploit Trump, who is cornered by the Iran war and other crises.”
• Robert Litwak (George Washington University Professor) pointed out, “Trump is waging war on Iran, which is on the brink of nuclear weapons possession, while simultaneously appeasing a dictator capable of attacking the US mainland.”
• Jack Reed (US Senator) stated, “South Korea, our strongest ally, has been punished for no reason other than Trump’s ego,” adding, “China and Russia will remember how easily the US abandons its allies.”
• Tom Tillis (US Senator) noted, “This serves no purpose other than enabling the mobilization of North Korean troops to support Putin’s kidnappings, torture, rape, and killings.”
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Trump and Lee Jae-myung’s Misaligned Ambitions.

• Trump intends to pressure South Korea. Lee Jae-myung might see this as an opportunity to improve inter-Korean relations and accelerate the transfer of wartime operational control. Media framing sharply diverged.
• The JoongAng Ilbo editorial criticized, “The South Korean government’s subtle resistance is also misguided.”
• The Hankyoreh editorial emphasized, “As the repatriation of wartime operational control is an urgent task that cannot be delayed further, we urge the government to expedite the established procedures.”
• The Kyunghyang Shinmun also noted, “There must be no disruption to the timeline for reclaiming wartime operational control authority.”
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Choose: America or China?

• South Korea’s semiconductor exports to China amount to $19.6 billion—over 40% of its total.
• Though some speculated that semiconductors would be the first priority for US investment, the Blue House officially denied this.
• Semiconductors are a national strategic industry, and the burden is heavy. Jang Sang-sik (Director of the Korea International Trade Association’s International Trade and Commerce Research Institute) said, “The US has high production costs due to labor shortages and struggles to secure supply chains,” adding, “If materials companies must also relocate, it’s a difficult choice for both our businesses and the government.”
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Cho Hee-dae’s Presidential Sidelining.

• Cho Hee-dae (Chief Justice of the Supreme Court) nominated Son Bong-ki (Chief Judge of Daegu District Court) and Kim Sung-soo (Chief Judge of Seoul High Court) as Supreme Court justices. They are successors to No Tae-ak (former Supreme Court justice) and Lee Heung-gu (Supreme Court justice), respectively.
• Supreme Court justices are nominated by the Chief Justice and appointed by the president.
• While it has been customary to visit the Blue House and consult with the president, this time a written notice was sent instead. Rumors circulated that “the nominations were made without full agreement with the Blue House.”
• It is an open secret that the Blue House pushed for Kim Min-gi (Seoul High Court judge), but Cho Hee-dae opposed it.
• Song Young-gil (Democratic Party lawmaker) pointed out, “Sidelining the president is not just disrespecting the individual but denying the democratic legitimacy of the people who elected him.”
• Lee Gun-tae (Democratic Party lawmaker) criticized, “Nominating without consulting the Blue House breaks precedent and challenges the president’s appointment authority.” “Even if the president sends an appointment consent motion, it should be rejected,” he added.
• The Hankyoreh strongly criticized in an editorial, “Does the Chief Justice think he can just ‘go all out’ like this?”
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Kim Min-seok’s First Order of Business: Kang Hoon-sik.

• Typically begins with a visit to the National Cemetery, but this was deemed unusual.
• Kim Min-seok (Democratic Party Leader) said, “It is meaningful that my first schedule involved receiving the President’s directives alongside the Blue House staff.”
• Kang Hoon-sik (Chief of Staff to the President) said, “The role of the party and the Blue House—or the party and the government—operating as a single team is crucial.”
• He also attended the memorial service for Kim Dae-jung (former president). “As the youngest former chief of staff to the president, I now greet you as Democratic Party leader,” he said.
• In the National Cemetery guestbook, he wrote, “The Democratic Party will be the locomotive of South Korea’s golden era.”
• Yoo Seung-chan (CEO of Story Dot) said, “Trust between the president and the ruling party leader should mean the ability to deliver frank advice more accurately.”
• Related Link.
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Deep Dive.

“Obstruction Means Bombing Oman Too.”.

• Trump refused to extend the 60-day ceasefire deadline with Iran.
• Brent crude prices have surged past $90 again. Analysts warn diesel shortages will worsen as winter approaches.
• He expressed strong displeasure over Oman’s move to collect tolls alongside Iran. The New York Times analyzed, “It reveals frustration at his own inability to end what he began.”

Why U.S. Treasury Yields Are Rising While Chinese Ones Fall.

• 30-year U.S. Treasury yields have risen to 5.3%—the highest level since 2007.
• Germany, the UK, and Japan are also seeing bond yields surge.
• Inflation shocks have hit as international oil prices soar, while borrowing by hyperscalers has amplified anxiety.
• The U.S. fiscal deficit has expanded to $432.3 billion.
• Oh Keon-young (Head of Shinhan Premier Pathfinder) said, “If the U.S. and Japan are forced to raise rates, forex market volatility could spike, and semiconductor exports may face negative impacts.”
• China continues to sell U.S. Treasuries. Its 10-year bond yield has fallen to 1.7%. Investment and consumption are both declining.
• Yesterday, the Kospi rose to 7,216.6 but closed 1.6% lower at 6,869.8.
• All three major U.S. indices fell yesterday: the S&P 500, Dow, and Nasdaq dropped -0.69%, -0.22%, and -1.33%, respectively.
• Related Link.

Propping Up the Yen Fails.

• The U.S. government aggressively bought yen, but the effect didn’t last.
• If the yen weakens further, Japan is likely to sell off U.S. Treasuries.
• Though U.S. intervention pushed the yen from 164 to 155, it has since rebounded to 159.
• Japanese bond yields are the highest since 1996. The 10-year rate has risen to 2.95%.
• Japan’s growth outlook is bleak, with sluggish consumption and investment.
• Most analysts expect the Bank of Japan to raise rates again.

Nvidia Backs Another $105 Billion Guarantee.

• It has agreed to underwrite a data center in Ohio that OpenAI plans to lease. The 10GW-scale project is expected to cost $500 billion in total.
• Nvidia will supply chips to the center and secure equity stakes.
• Related Link.

OpenWeight AI Shock.

• Pickaxes and shovels keep selling until the gold rush ends.
• Alphabet’s stock fell after MoonshotAI’s KimiK3 launch last month, but Amazon and Microsoft shares rebounded.
• After all, even OpenWeight models will run on the cloud.
• Related Link.

British Drones Strike Russian Heartland.

• Russia warned, “There will be consequences.”
• The UK government maintains its stance to continue supporting Ukraine.

Trump’s Promises Unkept.

• Second-quarter growth was just 1.5%. Joe Biden (former U.S. president)? He finished with 2.8%.
• Balanced budgets were promised, but deficits keep growing. By 2036, debt is projected to hit $3.1 trillion, with debt-to-GDP ratio reaching 120%.
• Mutual tariffs were ruled unconstitutional, leaving $166 billion to be refunded.
• Manufacturing employment fell to 12.6 million, down over 60,000 since inauguration.
• It’s not affordable: inflation hit 3.3%. Gas prices, promised under $2, reached $4.5.
• Mortgage rates, pledged to drop to 3%, instead rose to 6.7%.
• Medicaid and Medicare were to be untouched, yet Medicaid enrollment dropped by 5 million.
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Another Take.

“Even Blitzkrieg Has Its Limits.”.

• Oh Se-hoon (Seoul Mayor) claimed, “Housing can be built elsewhere, but once urban green spaces disappear, they’re nearly impossible to restore.”
• He wrote on Facebook, “I expressed my opposition in the State Council meeting,” but Kang Yu-jeong (Blue House spokesperson) rebutted, “We have no record of hearing that.”
• Oh told a JoongAng Ilbo reporter, “I argued that rushing to announce supply numbers by searching for land in the wrong places is misguided when clear solutions like redevelopment and reconstruction already exist.”
• Related Link.
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20,000 Households for Yongsan Park.

• Special laws must be revised to change the land use. It could go to the plenary session as early as tomorrow.
• A plan to rezone the 90,000-pyeong Yongsan Children’s Park for housing and supply 20,000 households is under discussion.
• Lee Eun-hyeong (Research Fellow, Korea Construction Policy Research Institute) said, “If the announcement doesn’t translate into actual supply, it will only damage policy credibility.”
• In an editorial, JoongAng Ilbo argued, “The government should first revitalize redevelopment and reconstruction—the strongest and most sustainable supply source”—adding, “Tackling what can be done is the most realistic supply strategy.”
• Related Link.
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Triple Surge: Even Villas Climb.

• Sales, jeonse, and monthly rents are rising simultaneously.
• Prices for row houses and multi-family homes have surged 5.3% through July this year—10.9% compared to a year ago.
• Nam Hyuk-woo (Woori Bank researcher) said, “Long-term demand for non-apartment housing may strengthen, especially in areas with redevelopment potential,” but cautioned, “Price gains could be limited as the jeonse reversal issue remains structurally unresolved.”
• Related Link.

Xi Was Uncomfortable With the Funeral of Zhu Rongji.

• Zhu Rongji’s (former Chinese Premier) funeral coincided with the 100th anniversary of Jiang Zemin’s (former Chinese President) birth.
• A sensitive timing. The New York Times assessed, “It forces a comparison between a past marked by optimism and purpose and a present dominated by stagnation and uncertainty.”
• Suspicions also arise that the Chinese government is censoring online discussions about Zhu Rongji.
• Related Link.

Wang Yi Is Coming.

• Wang Yi (Chinese Foreign Minister) brings multiple pressing issues.
• With Lee Jae-myung (President) having proposed starting discussions on ending the war, China’s role is critical.
• Speculation suggests Lee will convey to Wang Yi that Beijing must not tacitly accept North Korea’s nuclear armament during their meeting.
• Wang Yi is likely to reaffirm the principle of ‘One China.’
• Related Link.

Jeong Seong-ho Resigns After All.

• Jeong Seong-ho (Minister of Justice) submitted his resignation, which Lee Jae-myung (President) accepted after several attempts to dissuade him.
• In his resignation letter, he wrote, “A new criminal justice system would be better completed under new leadership.” In a meeting with reporters, he said, “The Criminal Procedure Act has passed, and all that remains is the establishment of the prosecution office—so I don’t have much left to do.”
• Chosun Ilbo analyzed that the real reason was Lee Jae-myung’s indictment cancellation. A ruling party official met by Chosun Ilbo said, “Kim Min-seok (Democratic Party leader) has mentioned the need to cancel the indictment, making it highly likely to proceed,” adding, “Jeong Seong-ho must have felt significant pressure in this situation.”
• Another insider remarked, “I understand he felt deep disillusionment during the abolition of supplementary investigative powers.”
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Will It Be a Balanced Appointment or Not?

• Kim Min-seok (Democratic Party Leader) made his first appointments, with only The Hankyoreh offering a divergent interpretation.
• He appointed Han Jeong-ae (Democratic Party lawmaker) as Secretary-General and Kwon Chil-seung (Democratic Party lawmaker) as Policy Committee Chairman. The publicity chief role went to Kim Nam-jun (Democratic Party lawmaker).
• A Democratic Party official interviewed by Chosun Ilbo said, “It appears they prioritized stable party management over a balanced appointment policy.”
• Kyeongyang Shinmun assessed, “The appointments focused on proven competence rather than factional balance.” There are also observations that Kim Min-seok intentionally excluded the word ‘unity’ in his speech, signaling his reluctance to pursue artificial or mechanical balanced appointments.
• The Hankyoreh analyzed, “The appointments of figures with less factional coloration reflect a ‘balanced’ approach.”
• One Democratic Party lawmaker pointed out, “Symbolically appointing someone from Jeong Cheong-rae’s faction would help soothe disgruntled party members.”
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Three National AI Champions Remain.

• In the second evaluation, Motif was eliminated, leaving LGAI Research, SK Telecom, and Upstage.
• Upstage excels in long-form processing, SK Telecom in practicality, and LGAI Research in agentic AI.
• The final two teams will be selected in early next year.
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Polymarket Access Blocked.

• The Broadcasting and Media Communications Deliberation Committee decided to block access to the U.S. prediction market platform Polymarket.
• It ruled that Polymarket “corresponds to information that abets gambling or aims to establish gambling venues, or information intended for similar activities,” and passed a resolution demanding corrective measures.
• Related Link.

The Fix.

Taiwan Returns AI Surplus Tax Revenue of 440,000 Won Per Citizen.

• All citizens will receive 10,000 New Taiwan dollars. The required budget is 235.7 billion New Taiwan dollars, equivalent to 10.5 trillion won.
• Taiwan is projected to record over 11% growth this year. Lai Ching-te (Taiwanese President) said, “Economic growth was created by all citizens, but not everyone experiences growth at the same pace,” adding, “The government must not focus solely on average figures but also consider those below the average.”
• Criticism has emerged that this is an election tactic.
• Wang Wan-yi (Chairperson of the Era Power Party) protested, “This money could build 84,000 units of social housing, care for more children, improve working conditions for police, firefighters, and medical staff, and enhance road safety in Taiwan.”
• Related Link.

Meta’s ‘Big Tobacco Moment’.

• Facebook and Instagram are on trial over allegations they foster addiction in children and adolescents. Observers suggest compensation could reach up to $1.4 trillion, nearly matching the company’s market cap.
• Mark Zuckerberg (Meta CEO) will also appear as a witness.
• The ‘Big Tobacco Moment’ refers to the 1998 lawsuit where tobacco companies paid $206 billion in settlements and were forced to overhaul their marketing practices.
• Meta faces accusations of knowingly allowing infinite scroll and recommendation algorithms to impact mental health. The company claims content addictiveness is the creator’s responsibility.
• Kim Yong-hee (Sunmun University professor) assessed, “This lawsuit could affect the revenue and business models of all platform companies relying on algorithm-based services, not just Meta.”
• Related Link.

Search for Suicide, Alert the Parents.

• Instagram recently added this feature. It activates when parents enable monitoring functions for their children.
• If a user repeatedly searches for phrases encouraging suicide or self-harm, or expresses intent to self-harm, a warning message is sent to parents.
• Some observers suggest this is a belated measure influenced by recent lawsuits.

ICYMI.

Why Transformers Are in Short Supply.

• Each weighs 360 tons—too heavy for standard containers. A single unit costs $14 million.
• The design has barely changed in centuries: copper coils wound around steel cores generate magnetic fields to step voltage up or down. Handling 765kV high-voltage electricity still requires 19th-century craftsmanship and 21st-century materials science. They must still be hand-assembled.
• Already scarce, global supply is further strained by the surge in data centers.

‘D-War’: A Retrograde Resurgence.

• Shim Hyung-rae (Director)’s 2007 film ‘D-War (Dragon Wars: D-War)’ rose to No. 6 globally on Netflix after its release. It even reached No. 2 in France and Germany.
• Production cost: 30 billion won. It drew 8.4 million viewers in South Korea but sparked controversy over its artistic merit.
• Related Link.

Worth Reading.

Exceptions Become Norms, Norms Become Institutions.

• Attempts to dismantle the 52-hour workweek regulation continue.
• How vehemently we opposed this under the Yoon Suk-yeol administration. Yet the Lee Jae-myung government has now adopted the same logic. Is it different because it’s a mega-special zone?
• Special extended work hours—exemptions allowed under the Moon Jae-in administration—surged from 906 cases in 2019 to 6,477 in 2021, a sevenfold increase. Approval rates reached 93% as of last year. Critics argue this has effectively become a permanent exception to the 52-hour rule.
• Concerns are justified that the white-collar exemption and selective working-hour system—temporarily permitted for mega-special zones—could solidify as formal policies, alongside extended fixed-term contracts and expanded dispatch work categories.
• Woo Sang-beom (Research Fellow, Korean Confederation of Trade Unions Central Research Institute) emphasized, “Speed does not guarantee distance. Even if delayed, finding a path where workers, businesses, the government, and civil society can move forward together is more important.”
• Related Link.

Too Much Money Has Been Released.

• 420 trillion won is in circulation (M2 basis). 1,000 trillion won has been added in 2 years and 8 months. It’s strange if real estate prices haven’t risen.
• Seon Woo-jeong (Chosun Ilbo columnist) pointed out, “To reduce real estate demand, the government should tighten its purse strings first—that’s normal.”
• “The government seems to have no intention of doing so. Meanwhile, it torments the people. Such policies are bound to fail.”
• Related Link.

South Korea Cannot Contain China Alone.

• It’s impossible without U.S. support. Europe can counterbalance Russia when Germany, Britain, and France unite. South Korea struggles even when allied with Japan and the Philippines.
• Song Min-soon (former Minister of Foreign Affairs and Trade) emphasized, “South Korea and Japan must act as a ‘wise coalition’ to mitigate U.S.-China clashes.”
• “The U.S. cannot properly advance its Asia policy without South Korea and Japan. If South Korea and Japan align with the U.S., China becomes frustrated. In that sense, regardless of mutual preferences, the two must collaborate to ease U.S.-China tensions. They should actively use existing frameworks: the ‘South Korea-U.S.-Japan’ and ‘South Korea-China-Japan’ overlapping dialogue systems.”
• Song Min-soon stressed, “We must maintain a ‘normal neighborly’ relationship without insisting on unification with North Korea.” Peaceful coexistence is unrealistic under nuclear threats. “The priority should be ‘stable’ coexistence instead.”
• Related Link.

Retreat Is Acceptable.

• This refers to the tax reform proposal. Woo Suk-jin (Myongji University professor) emphasized, “The overarching principle of residence-based taxation should remain, but clauses that unfairly burden mobile citizens must be removed. Overall, the design should approach revenue neutrality.”
• All taxation is inherently political. Prioritizing residence over ownership is the correct direction. However, there is also a need to strategically retreat to align with public acceptance.
• Related Link.

Toughening the Body Strengthens the Mind.

• “It’s not the mind controlling the body—physical activity influences mental state.”
• Ha Ji-hyun (Konkuk University Medical School professor) advises patients asking if they need counseling: for the same cost, he recommends personal training.
• “Overanalyzing inner sensations, emotions, and past experiences risks interpreting everything as psychological issues, deepening current suffering. (Omitted) There’s no need to rigidly separate body and mind—the brain processes both physical and mental stress through the same neural circuitry. Those who move their bodies, endure tolerable discomfort, and learn to control themselves physically are less likely to be swept away by life’s storms.”
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[Deadline Tomorrow] Slow News Supports Independent Researchers and Journalists.

• Funding for solutions journalism reporting is available to independent researchers and journalists under 30.
• Collaborate with Slow News to investigate and publish articles. This project structurally analyzes longstanding issues in Korean society and explores solutions.
• Applicants under 40 are eligible regardless of background.
• Application method: Submit a brief reporting plan by August 20. No specific format required, but it must clearly outline the problem addressed. Send to park@slownews.kr.
• Funding: 1 million KRW per project. Up to 10 projects will be supported by year’s end.
• All applicants will be individually notified of selection results.

Slow News Reading Group Guide.

• We meet via Zoom from 8:00 to 9:00 AM daily.
• The session is led by Slow News reader Lim Ye-seul.
• The Zoom link is as follows:
• https://us02web.zoom.us/j/81711959886?pwd=eXLBhEaJ0aTnIhbUqhbvsO3bhXKMoT.1
• Related Link.