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PDEA: P29.76-B drugs seized in first half

PHILSTAR FILE PHOTO

THE Philippine Drug Enforcement Agency (PDEA) said that it has seized P29.76 billion worth of illegal drugs in the first six months of 2025, surpassing total drug seizures last year.

In a Senate budget hearing, PDEA Director General Izagani R. Nerez said that the agency exceeded the P8.28 billion worth of illegal substances confiscated during the full year of 2024.

Mr. Nerez reported that that agency had seized 4.24 tons of crystal methamphetamine (shabu) during the first semester.

It had also confiscated a total of 803 kilograms of marijuana, 6.58 kilos of cocaine, and 22,161 pieces of ecstasy during the six-month period.

Senator Ronald “Bato” M. dela Rosa also approved the proposed P4.53-billion budget of PDEA along with the P598-million budget of the Dangerous Drugs Board for plenary consideration. — Adrian H. Halili

P35-B smuggled goods seized in first 8 months

BUREAU OF CUSTOMS

THE BUREAU of Customs (BoC) has confiscated P34.725 billion worth of smuggled goods in the eight months through August.

“We were able to seize from Jan. 1 to Aug. 31, 2025, a total of 633 seizure operations, confiscating goods amounting to P34.725 billion,” Assistant Commissioner Vincent Philip C. Maronilla said in a speech on Tuesday.

The top five highest valued commodities include various items valued at P20.166 billion, followed by wildlife and natural resources at P4.784 billion, illegal drugs at P4.562 billion, cigarettes, tobacco, and vape at P2.104 billion, and counterfeit goods at P1.401 billion. — Aaron Michael C. Sy

CEAP calls for ‘reasonable’ tuition rates in private schools

RUBEN RODRIGUEZ-UNSPLASH

THE Catholic Educational Association of the Philippines (CEAP) on Tuesday called for a more flexible framework for tuition rates to help private institutions cope with the dwindling enrollment rate.

“One of the things that is very crucial to us right now is the tuition fee increases. They are pegged to regional inflation rates,” CEAP Corporate Secretary Joaquin Severino S. Martinez told reporters in a press conference.

“If tuition is capped only by inflation, schools will be forced to cut corners or worse, shut down,” he added.

CEAP President Karel S. San Juan noted that enrollment for basic education in private schools dropped to 1.4 million in 2022 from 4.3 million in 2019.

Private schools are estimated to have 2 million students, while public schools have 16 million students.

He added that the free tuition law is one of the factors contributing to the decline in enrollment among private schools.

“Because of the difficult economic situation, of course, our students would gravitate towards free tuition fees in public schools, so that’s a loss of enrollment to us,” Mr. San Juan said at the same event.

Tertiary or college education is made accessible and affordable for all Filipinos through free tuition and exemption from other school fees in state universities, local colleges, and state-run technical-vocational institutions, under Republic Act No. 10931, the Universal Access to Quality Tertiary Education Act.

“Ever since the pandemic, there have been schools that closed,” Mr. San Juan said. “The pandemic is an example of how the private school sector is so dependent on tuition fees alone.”

UPHOLDING CATHOLIC VALUES
Apart from its challenges in tuition fees and enrollees, the CEAP also underscored the importance of retaining ethics in the General Education (GE) curriculum of higher education institutions (HEIs).

The Department of Education (DepEd) in late May proposed the removal of ethics in the GE curriculum to avoid duplication of subjects taught in Grades 7 to 12.

“For CEAP, ethics is not optional. It is essential. And look what’s happening to our country today,” CEAP Executive Director Narcy F. Ador Dionisio said.

“This is our current situation. What more would happen if we remove ethics?” he added.

The Catholic educators underscored that ethics “forms the conscience of students” and that alumni involved in corruption allegations in the business and government sector have “lost their fear of God and conscience”.

“It’s embarrassing if you graduate from a Catholic school and you become corrupt,” Mr. San Juan said.

“You’re living lives contrary to the very essence of the values that we have taught you in the schools and universities,” he added. — Almira Louise S. Martinez

P400M needed to restore damaged power lines in Masbate

PHILSTAR FILE PHOTO

THE DAMAGED energy infrastructure in Masbate caused by Typhoon Opong will cost around P400 million to be restored, the Department of Energy (DoE) said on Monday.

“We are moving with urgency, but also with care. Safety remains our top priority for both workers on the ground and the public,” Energy Secretary Sharon S. Garin said in a statement on Tuesday.

Ms. Garin, along with Undersecretary Mario C. Marasigan, National Electrification Administration Administrator Antonio Mariano C. Almeda, National Power Corporation President Jericho Jonas B. Nograles, and other NEA officials visited the province to assess the hardest-hit areas where transmission lines, distribution facilities, and generation assets that severely damaged.

Typhoon Opong, which recently battered the Bicol Region, caused widespread damage to energy infrastructure, resulting in power interruptions in many parts of Masbate. — Sheldeen Joy Talavera

Abra seeks to revive bamboo industry

BAGUIO CITY — Investors, local officials, and the bamboo industry leaders, recently met to revive Abra’s once-thriving bamboo industry.

Organized by the Department of Trade and Industry (DTI) — Abra, the summit sought to explore investment opportunities in bamboo farming, construction, ecotourism, and food production.

DTI-Abra Officer-in-Charge Marvin T. Arcangel said the summit is part of a wider effort to restore the industry’s economic significance.

Successful bamboo programs from Isabela were presented during the summit as possible models for implementation in Abra.

Mr. Arcangel also noted several challenges the industry faces, including effects of the pandemic, cheaper imported bamboo products, and outdated processing methods, which the department seeks to address through a three-year regional development plan is being drafted.

The Department of Science and Technology is also setting up a Bamboo Innovation Hub at the University of Abra to study bamboo fiber for textiles.

Participants of the summit expressed optimism that renewed collaboration and innovation would help position Abra as a leading bamboo producer in Northern Luzon once again. — Artemio A. Dumlao

UST guns for third straight win against unbeaten NU at UAAP

UAAP/NICOLE HERNANDEZ

Games on Wednesday
(UST Quadricentennial Pavilion)
7:30 a.m. – UST vs NUNS (16U)
10 a.m. – DLSU vs FEU (16U)
12 p.m. – DLSU vs FEU (Women)
2 p.m. – DLSU vs FEU (Men)
4:30 p.m. – UST vs NU (Men)
7 p.m. – UST vs NU (Women)

HOST University of Santo Tomas (UST) shoots for a third straight win to gain a share of lead with Ateneo when it clashes against fellow unbeaten National University (NU) in the UAAP Season 88 men’s basketball tournament on Wednesday at the UST Quadricentennial Pavilion in Manila.

Game time is at 4:30 p.m. after the De La Salle University-Far Eastern University duel at 2 p.m. with the Growling Tigers (2-0) banking on their home crowd anew to break a second-spot tie with the Bulldogs (2-0) and join the Ateneo de Manila University Blue Eagles (3-0) on top of the league nearing the halfway mark of the first round.

UST is the biggest revelation so far after slaying reigning champion University of the Philippines and La Salle, finalists of the last two UAAP seasons.

Led by super rookie Collins Akowe, momentum and confidence are on the España-based dribblers on the back of a mammoth 87-67 trashing of the Fighting Maroons and a stellar 93-84 comeback over the Green Archers for a statement start.

But while that shored up Santo Tomas’ tag as this year’s dark horse especially with UP and La Salle still adjusting to the departure of their core led by Finals MVP JD Cagulangan and two-time MVP Kevin Quiambao, the mission has just got started.

Winning against the Bulldogs, who have also taken care of their first two games, is just a continuation.

“This is not a statement. We’re just happy that we’re progressing as a team. Right now, we’re just focusing on ourselves and our games, which is now against NU,” said ace playmaker Forthsky Padrigao, who returned from a one-game suspension with 12 points, nine assists and three steals against La Salle.

“UST this year is not the same as UST last year. There is confidence now but we have to keep grounded. We just have to stick to what we’re doing,” said assistant coach Peter Martin.

Starring in the duel is Mr. Akowe’s first match against what was anticipated as his collegiate school after graduating from the National U-Nazareth School as UAAP juniors MVP and Best Foreign Student-Athlete, before surprisingly committing to Santo Tomas.

Count on the readiness of the Bulldogs to finally try to stop the 6-foot-10 Senegalese anchor, who feasted on UP and La Salle with averages of 24.8 points and 18 rebounds. — John Bryan Ulanday

Four new shot-callers pit their coaching skills at PBA golden season

FOUR COACHES face their baptism of fire when hostilities in the PBA’s 50th season get going on Sunday.

Pampanga vice-governor Dennis “Delta” Pineda serves as the new shots-caller for Converge as he joins fellow debutants LA Tenorio (Magnolia), Willy Wilson (Phoenix) and Ronald Tubid (Terrafirma) in pitting coaching skills against the likes of TNT’s Chot Reyes and Barangay Ginebra’s Tim Cone in the league’s golden season.

Malaking challenge po,” said Mr. Pineda, who previously led the Pampanga Giant Lanterns to back-to-back MPBL titles en route to winning a pair of Coach of the Year awards.

“It’s still something that I’m growing into, I’m adjusting to. As far as how long before I become comfortable (with the position), I really don’t know. I’m not really looking down the road. I’m just looking at the next step right in front of me and trying to be the best at taking that step,” said Mr. Wilson.

The prospect of battling his coaches during his playing years is “quite overwhelming” for Mr. Wilson.

“The daunting task of coaching across the court from those guys (veteran mentors), it’s very, very humbling and at times, I start asking myself. So it’s a mixture of that, but obviously thankful and anxious to go out and take this challenge,” he said.

Mr. Tenorio, who may assume the dual role of player-coach during the campaign, said it’s been a pleasant learning experience.

“As much as the team is learning now the new system, the new culture. I have a lot of learning every day,” said the former Ginebra stalwart.

“I’m just enjoying my time right now. I don’t want to think about what’s going to happen next, what’s going to happen this coming opening or this season. I just like what I’m seeing to our team, how they work hard everyday, both vets and young players,” he added.

Notes: The TNT Tropang 5G dropped a 74-93 loss to reigning UAE titlist Al Sharjah at the start of the Abu Dhabi International Basketball Championship early Tuesday (Manila time). The imports-laden Emirati club unleashed a 26-18 closing barrage to take the opening win against all-Filipino TNT. Rey Nambatac led the Tropang 5G with 12 points, five rebounds and three assists. The reigning PBA Governors’ Cup and Commissioner’s Cup kingpins seek a bounceback against another home club, Al Dhafra, at 1 a.m. on Wednesday (Manila time). — Olmin Leyba

Mapúa versus Lyceum kickstarts 101st NCAA basketball tournament

MAPÚA UNIVERSITY CARDINALS — FACEBOOK.COM/GMASYNERGY

Games on Wednesday
(Smart Araneta Coliseum)
12 nn. – Opening Ceremony
2:30 p.m. – Mapúa vs LPU (srs)
5 p.m. – CSB vs San Beda (srs)

AND so it begins.

Just a year after claiming its first championship in more than three decades, Mapúa University sets its sights on another one as it clashes with Lyceum of the Philippines University in Wednesday’s start of the 101st NCAA basketball tournament at the Smart Araneta Coliseum.

But Cardinals coach Randy Alcantara admitted the road back to the top would be harder this season after losing Chris Hubilla and Laurence Mangubat, vital cogs in their magnificent title run a season back.

Messrs. Hubilla and Mangubat ended up transferring to Jose Rizal University where Nani Epondulan, who was also part of Mr. Alcantara’s coaching staff, took over as head coach from Louie Gonzales early this year.

“It would be tougher this year because we lost some key players,” said Mr. Alcantara. “But we’re hoping our new guys will fill those gaps.”

Mr. Alcantara was referring to new recruits Cyrus Nitura from University of Perpetual Help, Cyril Gonzales from University of the Philippines, and Drex delos Reyes from National University.

Game time is set 2:30 p.m., which will be followed by the duel between last year’s runner-up College of St. Benilde and a dangerous San Beda University at 5 p.m., in a pair of explosive matches that pitted the same schools that made the Final Four a year ago.

Philippine Sports Commission Chair Pato Gregorio will be the league’s guest of honor in the inaugural rites set at 12 noon with GMA 7 as the official broadcaster.

The season will also mark the league’s decision to change format for the first time since the 90s where champions were decided using the pennant system.

From the double round-robin style, it will now be a two-group system where pool mates will play each other twice and opposing bracket teams only once for a total of 13 elimination round games from the original 18 assignments each.

Apart from Mapúa and LPU, Group A has San Sebastian, Perpetual Help and Arellano University while Group B has Colegio de San Juan de Letran, Emilio Aguinaldo College and Jose Rizal University aside from CSB and San Beda.

The top three teams per bracket will advance straight to the quarterfinals with the top two earning a critical twice-to-beat edge.

Practically gone was the old Final Four format and was replaced by a best-of-three semifinal series.

The winners advance to the finale, which will be another best-of-three affair. — Joey Villar

Fever force Game 5

The Fever had been there and done that. After all, theirs was a season spent patching holes, surviving injuries, and leaning on whoever was left standing. And so they wound up oddly prepared for the challenge; down 2–1 in the semifinals and with elimination one bad stretch away, they summoned a sense of desperation that was anything but reckless. Instead, it was sharp, insistent, and disciplined. Against the heavily favored Aces, they played with conviction and refused to fold, in the process claiming victory and forcing a winner-take-all encounter on Thursday for a spot in the finals.

Fittingly, the Fever’s campaign was spearheaded by All-Star Aliyah Boston, hitherto overworked on defense and all but forgotten on the other end of the floor. Her 24, 14, five, two, and two mattered, needless to say, but it was the constant pressure she applied — drawing fouls, carving space, imposing her will — that shifted the balance in favor of the hosts. Most Valuable Player candidate Kelsey Mitchell complemented her presence with a polished 25, including a late jumper through contact that gave them breathing room. Hardship pickup Odyssey Sims chipped in 18, steady in moments when order was most needed. And then there was the unheralded work around them that carried equal weight: Lexie Hull on the floor for loose balls, Shey Peddy disrupting passing lanes, Makayla Timpson covering the paint with authority.

In a nutshell, Game Four of the semis was a story of intent. The Fever forced 17 turnovers, converted them into 25 points, and outrebounded the Aces by a whopping 14. If nothing else, the numbers underscored their status as the aggressors dictating terms rather than the underdogs reacting. Newly minted MVP A’ja Wilson poured in 31, nine, three, four, and three, touching the ball on just about every possession and subsequently encountering success. Still, they refused to let her brilliance dictate the outcome; they found ways to blunt those around her, thus daring her to craft the triumph by shouldering a historically ridiculous load. And by the closing minutes, they had tilted the contest into preferred circumstances: close, frantic, and decided by force.

Interestingly, what sealed the set-to was not a highlight but a mistake. With half a minute and change left, the Aces, already down seven, burned a timeout they did not have; it was a shocking slip from the experienced coaching staff led by decorated Becky Hammon that handed the Fever a free throw and possession. In an encounter where the latter had thrived on making little things count, the error was fatal. The ensuing three charities stretched the margin, and composure ensured the outcome. Certainly, it was an ending that validated their ethos all season: endure the blows, stay upright, and then wait for the opponents to fold.

Forcing a do-or-die Game Five is no small feat, especially against determined competition. That the Fever have done so versus the heavily favored Aces reflects their identity; they have become used to the uncomfortable, seasoned in marching on with the cliff at their heels. The final challenge awaits at the Michelob ULTRA Arena, where the partisan crowd, the pedigree, and the poise will appear to lean toward their rivals. But they have already shown that the gravity of the situation does not scare them. To the contrary, they welcome it, having carried throughout their campaign a conviction that when everything is at stake, nothing is impossible.

 

Anthony L. Cuaycong has been writing Courtside since BusinessWorld introduced a Sports section in 1994. He is a consultant on strategic planning, operations and human resources management, corporate communications, and business development.

Trump sets 10% tariff on lumber imports, 25% on cabinets, furniture

US President Donald J. Trump announced he will impose a 10% baseline tariff on all imports to the United States. — REUTERS

WASHINGTON — US President Donald J. Trump said on Monday he was slapping 10% tariffs on imported timber and lumber and 25% duties on kitchen cabinets, bathroom vanities and upholstered furniture, continuing his tariff assault on global trading partners.

The action is the first in three sectors that Mr. Trump said last week would get steep new duties as early as Oct. 1, including patented pharmaceutical imports, and heavy truck imports. Monday’s proclamation sets the start of the lumber and furniture duties two weeks later, at 12:01 a.m. EDT (0401 GMT) on Oct. 14.

Mr. Trump signed a presidential proclamation laying out his argument that timber, lumber and furniture imports are eroding US national security to justify the new duties under Section 232 of the Trade Act of 1974.

Mr. Trump’s increasing use of Section 232 comes as he awaits a Supreme Court ruling on the legality of his broader “reciprocal” tariffs on global trading partners, which two lower courts have struck down.

The proclamation said the tariff rates would start on Oct. 14 but added that duties would increase on Jan. 1 to 30% for upholstered wooden products and 50% for kitchen cabinets and vanities imported from countries that failed to reach an agreement with the United States.

Mr. Trump’s proclamation said wood product imports were weakening the US economy, resulting in the persistent threat of closures of wood mills and disruptions of wood product supply chains and diminishing utilization of the US domestic wood industry.

“Because of the state of the United States wood industry, the United States may be unable to meet demands for wood products that are crucial to the national defense and critical infrastructure,” the statement said.

The order added that wood products were used for “building infrastructure for operational testing, housing and storage for personnel and materiel, transporting munitions, as an ingredient in munitions, and as a component in missile-defense systems and thermal-protection systems for nuclear-reentry vehicles.”

PAIN FOR CANADA, VIETNAM, MEXICO
Mr. Trump’s use of tariffs has been  a feature of his second term, throwing new obstacles at businesses already struggling with disrupted supply chains, soaring costs and consumer uncertainty. His administration has highlighted the surge in duties paid into government coffers.

The action heaps more tariffs on Canada, the biggest softwood lumber supplier to the US, where producers already face combined US anti-dumping and anti-subsidy tariffs of about 35% due to a long-festering dispute over timber harvested from Canadian public lands.

Canada, which hopes to negotiate US tariff reductions through a broader revamp of the 2020 US-Mexico-Canada agreement on trade, has said it would provide up to C$1.2 billion ($870 million) in aid to its softwood lumber producers to cope with the prior duties.

Mexico and Vietnam are growing suppliers of wooden furniture to the US after Mr. Trump hit Chinese furniture products with tariffs of up to 25% during his first term starting in 2018 — duties which have since been raised to about 55% and now could nearly double for cabinets and vanities.

Mr. Trump’s proclamation offered some countries that have struck tariff-reducing trade deals with the US some relief from the higher wood products duties.

It said that US tariffs on wood products from Britain would be capped at 10% and those from the European Union and Japan would be capped at 15% — rates in line with the base tariff rate in those framework agreements.

But Mr. Trump’s statement made no mention of his trade deal with Vietnam for a 20% tariff rate in July, an agreement that still has not been formally documented.

In April, after the Commerce department opened the national security probe into US lumber imports, the US Chamber of Commerce announced its opposition to any restrictions on imports of timber, lumber and their derivative products, including wood pulp, paper and cardboard.

“Imports of these goods do not represent a national security risk,” the Chamber wrote. “Imposing tariffs on these goods would raise costs for US businesses and home construction, undermine the export success enjoyed by the US paper industry, and reduce incomes in many US communities.” — Reuters

Vance says US ‘headed to a shutdown’ after meeting with Democrats

STOCK PHOTO | Image by Ellis Dieperink from Unsplash

WASHINGTON — US President Donald J. Trump and his Democratic opponents appeared to make little progress at a White House meeting aimed at heading off a government shutdown that could disrupt a wide range of services as soon as Wednesday.

Both sides emerged from the meeting saying the other would be at fault if Congress fails to extend government funding beyond a Tuesday midnight deadline (0400 GMT Wednesday).

“I think we’re headed to a shutdown,” Vice-President JD Vance said.

Democrats say any agreement to extend that deadline must also preserve expiring health benefits, while Mr. Trump’s Republicans insist health and government funding must be dealt with as separate issues.

Senate Democratic Leader Chuck Schumer said the two sides “have very large differences.”

If Congress does not act, thousands of federal government workers could be furloughed, from NASA to the national parks, and a wide range of services would be disrupted. Federal courts might have to close and grants for small businesses could be delayed.

Budget standoffs have become relatively routine in Washington over the past 15 years and are often resolved at the last minute. But Mr. Trump’s willingness to override or ignore spending laws passed by Congress has injected a new dimension of uncertainty.

Mr. Trump has refused to spend billions of dollars approved by Congress and is threatening to extend his purge of the federal workforce if Congress allows the government to shut down. Only a handful of agencies have so far published plans detailing how they would proceed in the event of a shutdown.

The White House released an executive order Monday evening extending the life of more than 20 federal advisory committees through 2027. It remains unclear how these committees — which advise the president in areas including trade and national security — will be funded amid ongoing shutdown uncertainty.

FIGHT ABOUT SMALL SLICE OF BUDGET
At issue is $1.7 trillion in “discretionary” spending that funds agency operations, which amounts to roughly one-quarter of the government’s total $7-trillion budget. Much of the remainder goes to health and retirement programs and interest payments on the growing $37.5-trillion debt.

Prior to the White House meeting, Democrats floated a plan that would extend current funding for seven to 10 days, according to Democratic sources, which could buy time to hammer out a more permanent agreement. That is shorter than the timeline backed by Republicans, which would extend funding to Nov. 21.

After returning to the Capitol, Mr. Schumer told reporters he would not accept a shorter funding bill.

Senate Republican Leader John Thune sought to pile pressure on Democrats by scheduling a Tuesday vote on the Republican bill, which has already failed once in the Senate.

There have been 14 partial government shutdowns since 1981, most lasting just a few days. The most recent was also the longest, lasting 35 days in 2018 and 2019 due to a dispute over immigration during Mr. Trump’s first term.

This time healthcare is at issue. Roughly 24 million Americans who get coverage through the Affordable Care Act will see their costs rise if Congress does not extend temporary tax breaks due to expire at the end of this year.

House Democratic Leader Hakeem Jeffries said Congress needs to make those tax breaks permanent now because higher health insurance premiums are being finalized and the new signup period starts Nov. 1.

“We believe that simply accepting the Republican plan to continue to assault and gut healthcare is unacceptable,” Mr. Jeffries said at a Monday press conference.

Republicans say they are willing to consider the issue, but not as part of a temporary spending patch.

“They had some ideas that I actually thought were reasonable, and they had some ideas that the president thought was reasonable. What’s not reasonable is to hold those ideas as leverage and to shut down the government,” Mr. Vance said.

Democrats want to energize their voting base ahead of the 2026 midterm elections, when control of Congress will be at stake, and have broadly lined up behind the healthcare push.

But Democratic aides have privately expressed concerns that a shutdown could create a public backlash if Democrats do not effectively argue their case and instead come off sounding like just being opposed to whatever Mr. Trump wants — a stance Republicans like Mr. Thune have derided as “Trump Derangement Syndrome.” — Reuters

South Korea’s booming used car exports cushion impact of US tariffs

STOCK PHOTO | Image by Vitamin from Pixabay

INCHEON — From the muddy grounds of a former amusement park on South Korea’s coast, tens of thousands of vehicles are being packed for shipment overseas as booming used car exports help to mitigate the impact of US tariffs on new car sales.

Soaked in sweat from the outdoor heat, workers are loading and strapping cars into containers around the clock for shipment from the makeshift facilities at South Korea’s largest used car export hub in Incheon, west of Seoul.

“It is embarrassing for us to say ourselves our business is a star export item,” said Kevin Seol, a trader who ships about 100 used cars monthly. “But the industry keeps growing by numbers, so I think we are contributing to the national exports.”

South Korea’s auto shipments to the US have declined for six consecutive months since President Donald J. Trump announced 25% tariffs.

But its global car exports have risen for three straight months, supported by record-high second-hand vehicle sales, which accounted for a quarter of the total auto exports by volume and 13% by value, according to trade ministry and customs data.

South Korea exported $5.5 billion of cars in August, up 9% from a year earlier and the highest monthly total on rec ord, the trade ministry said. Used car exports jumped 35% to $711.5 million the same month, according to the Korea Used Car Distribution Research Institute.

The used vehicle growth is largely propelled by insatiable demand for older Hyundai and Kia cars in Russia and in the Middle East and a weaker won, traders and experts said.

“Exports to the US don’t account for much of our business,” Mr. Seol said. “Demand from other countries is strong, so the tariffs haven’t really hurt us.”

TARIFFS COULD RAISE USED CAR PRICES
South Korea exports most of the used cars that are sold to the Middle East, Central Asia and Russia, according to government data and traders.

In those markets, Korean cars can be more attractive than those from export rival Japan because they are designed for driving on the right side of the road, whereas Japan drives on the left, traders said.

In South Korea’s biggest new car export market, the US, exports have been hobbled by a 25% tariff that remains higher than the 15% rate for Japanese and European cars, though Seoul is in negotiations for a reduction.

But while US tariffs are a negative for the new car market, they could lead to further demand and higher prices for used vehicles, said Shin Hyun-do, director of the Korea Used Car Distribution Research Institute.

“If US tariffs on new cars rise, car prices will go up. That will lead to a rise in car prices globally,” he said. “In that case used car prices are likely to follow suit.”

In the first half of the year, South Korea’s used car exports jumped 72% to $3.9 billion, with 437,151 vehicles shipped abroad, accounting for about a quarter of total auto exports by volume, Mr. Shin said.

South Korea sold more used cars to the Middle East than new vehicles between January and June and reported a 40% rise in monthly average sales to Russia, he added.

POOR INFRASTRUCTURE THREATENS GROWTH POTENTIAL
Demand from Russia and its trade partners like Kyrgyzstan has surged since the outbreak of the war in Ukraine.

In response to the invasion, Japan curbed trade in used vehicles in 2023 by banning all but used compact cars from being sold directly to Russia.

South Korea added restrictions in 2024, but only for new or used vehicles with 2,000 cc engines or larger, such as bigger SUVs, and some of those are being sold to Russia through Central Asian countries, market participants said.

South Korea’s used car exports are expected to set a new record high in volumes and value this year, experts say, even though fast-growing market Syria banned used car imports in July, according to state media.

But traders said the growth in overseas sales risked being capped by poor infrastructure at the country’s export hubs, including the one at Incheon, a dirt field with makeshift offices and inadequate facilities.

“Private businesses rent these dirt lots here and park their cars there,” said Park Young-hwa, a trader who runs the Korea Used Car Export Association. “In summer, conditions are so bad that buyers with their feet are stuck in mud find it difficult to inspect the cars.”

Ruling Democratic Party lawmaker Heo Jong-sik proposed a bill in April to establish a registration system for used car exporters and develop dedicated export complexes.

Used car exports and cosmetics were the fastest-growing export industries by value for small and medium-sized companies in the first half of 2025, according to government data.

“Since used car exports have already become one of our country’s main export items, the government should step in to manage and foster the industry through policies,” Mr. Heo said. — Reuters