What Big Tech Companies Mean at Trump's Inauguration

 Trump's second term has begun. We are still in the midst of impeachment, and it will take a lot of time and obstacles to get out of here and stabilize.

At Trump's inauguration, many big tech leaders attended and took the front row seats. The CEOs of Meta, Amazon, and Google were in attendance and sat right behind the Trump family, and TikTok, whose ban was suspended for 75 days, also attended.

What America's big tech companies want is to participate in the Trump administration's America First policy and create new rules centered around them. They want to preempt the rules of new industries that will lead the future, such as artificial intelligence (AI), space, autonomous driving, and advanced bio.

The day before his inauguration, Trump announced the so-called 'Stargate' project, which will invest $500 billion (approximately 718.5 trillion won) in AI infrastructure, and it is a plan to prioritize large tech stocks for this project, with three companies: OpenAI, Softbank, and Oracle establishing a joint venture called 'Stargate'.

President Trump did not announce the universal tariffs that were expected on his first day in office, and hinted at the possibility of implementing policies to suppress inflation. Therefore, our investment goals are also

- Friendly cryptocurrency environment: Major coins other than junk coins are likely to expand investment due to the reorganization of Bitcoin regulations.

- Withdrawal from the Paris Climate Agreement and the World Health Organization (WTO): Expanding shale gas field development, lowering oil prices, and strengthening regulations in Europe.

- Universal tariff policy: Expanding China's global supply chain by creating a domestic investment environment and reducing trade with China.

- America first over free trade (FTA): Lowering the proportion of the US and expanding third countries due to the possibility of a decrease in the trade surplus with the US.

The Future of Korea's Coal Industry

 석탄은 석유와 마찬가지로 지구의 역사상 중생대의 초목이 고온 고압으로 탄화되어 표면에 드러난 것으로 온실가스 발생을 포함한 기후 변화에 막대한 영향을 미친다.

Coal, like oil, is the result of the high temperature and high pressure carbonization of Mesozoic vegetation in Earth's history, and has a huge impact on climate change, including greenhouse gas emissions.

Recently, the Jangseong sales office in Gangwon Province closed for the last time, and as a result, the coal company had no choice but to turn its attention to other areas, such as asbestos removal.

Even now, remnants of coal mines remain in Dogye, Samcheok, Cheoram, and Yeongwol in Gangwon Province and Mungyeong in Gyeongsang Province, and a coal mine remains in Hwasun, Jeolla Province.

​While oil is now changing into an alternative energy source, coal is bound to emit more carbon dioxide than oil, and it also produces pollutants such as soot, and the impact on the human body during coal mining is bound to be greater.

Personally, I think it will be replaced by nuclear power plants, and further, nuclear fusion or small SMRs will become alternatives.

Even briquettes, represented by 19-gong-tan, are now only used for grilling meat, and charcoal such as oak has changed to charcoal grilling or steaming in kilns.

Even if explosives with strong explosive power are used to reduce damage from typhoons or tornadoes, and they disappear before civilians are harmed, somewhere on Earth, someone will inevitably be affected, whether the temperature or water temperature rises.

The greenhouse gas emission factor is the amount of carbon dioxide emitted when burning 1 kg of fuel.

Bi-tuminous coal: 2.7 ~ 3.5 kgCO₂/kg

Diesel oil: approximately 3.1 kgCO₂/kg

How to respond to the EU CSDDD (Supply Chain Sustainability Due Diligence Guidelines)

We should also pay attention to various measures in the EU related to ESG (sustainability). As one of the supply chain ESG management, the global regulation currently being implemented in Europe, the Supply Chain Sustainability Due Diligence Directive (EU CSDDD), will soon be implemented, so each company should prepare for it.

1. EU CSDDD On May 24, 2024, the European Parliament finally approved the EU Council and EU Commission agreement on the EU's Sustainable Supply Chain Due Diligence Directive (CSDDD) with 374 votes in favor, 235 votes against, and 19 abstentions. It imposes a supply chain due diligence obligation to prevent human rights violations and environmental damage that may occur in the corporate value chain, and strengthens the victims' right to relief. ​2. EU CSDDD Supply Chain Due Diligence Obligation - For companies within the EU, 'companies with 1,000 employees and global net sales exceeding 450 million euros' - For companies outside the EU, 'companies with EU net sales exceeding 450 million euros' are included in the supply chain due diligence obligation. 3. Domestic companies' response to the Supply Chain Due Diligence Act In June 2024, it was reported that Hyundai Motor Group began full-scale supply chain ESG management in order to respond to various global regulations including the European Corporate Sustainable Supply Chain Due Diligence Directive (CSDDD). Domestic companies will be subject to the Supply Chain Due Diligence Act in stages from 2027 to 2029. 4. Measures for non-compliance with regulations 1). Companies that do not comply with the Supply Chain Due Diligence Act will be subject to a fine of up to 5% of their global sales based on the previous fiscal year. 2). The European Civil Court can hold companies accountable for their actions, and those who have suffered damages due to the implementation of the Directive can be compensated for the impacts. 5. EU CSDDD response measures 1). Cooperation between human rights and environment teams Cooperation between human rights and environment departments and integrated risk assessments to respond to CSDDD 2). Shift to risk assessments for local communities Consider the potential impacts on local communities and ecosystems where companies operate when conducting social and environmental risk assessments, and form long-term relationships with local communities in the supply chain. 3). Linking actions with ESG disclosures Establish strategies to proactively address, prevent, and correct damage already incurred, with rapidly increasing ESG DATA 4). Encourage participation of the entire supply chain when risks occur Impacts should be mitigated and improved across the entire supply chain, including upstream and downstream, to prevent suspension or withdrawal of transactions with suppliers, and encourage participation.

Korea's only cathode material manufacturer: POSCO FutureM

 Semiconductors, quantum computers, and artificial intelligence (AI) seem to be the trend, but the importance of batteries, a core component of electric vehicles, is not overstated.

Let's analyze POSCO FutureM, a cathode material manufacturer, one of the four major battery materials.

Among the four major components of batteries, namely secondary batteries, cathode materials, electrolytes, and separators, cathode materials are key materials that determine the battery charging speed and lifespan. There are natural graphite, artificial graphite, and recently silicon graphite materials. Based on artificial graphite, the proportion of battery cell cost is approximately 13%.

Cathode Material Market

Among domestic manufacturers, POSCO Future M is the only one, but its global market share is 9th to 10th, with MS at 3%, and the rest are all Chinese companies such as BTR, Shanshan, Jichen, and Xiangtai.

The reason China is competitive is that, as a resource-rich country, 70% of the raw material graphite is produced in China, and in addition, cathode materials are supplied at the upper $2 per kg based on low electricity rates and government subsidies.

3. Positive factors for stock price increases

1). The goal is to make domestic cathode materials, which are about 50% more expensive than Chinese cathode materials, competitive in price through subsidies. POSCO Future M is currently operating only a 7,500-ton production line at its Sejong Plant 2 with an annual capacity of 45,000 tons. The operating rate has plummeted from 60% in 2022 to 15%, raising concerns about the continuation of the business. However, this time, the government (Ministry of Trade, Industry and Energy) subsidy payment has become a positive factor.

2). In May of last year, the United States decided to postpone by two years the plan to not pay electric vehicle sales subsidies (USD 7,500 per vehicle) under the Inflation Reduction Act (IRA) if Chinese graphite is used (to enforce regulations on cathode materials made of Chinese graphite after two years). This is an acceptance of the demands of electric vehicle and battery cell manufacturers that it is impossible to escape from the Chinese graphite supply chain right away.

3). It is worth paying attention to the fact that L&F, a domestic cathode material company, is preparing to enter the cathode material market by building a joint venture with Mitsubishi of Japan.

The government is promoting a plan to support production subsidies for cathode materials, one of the four major battery materials. The goal is to make domestic cathode materials, which are about 50% more expensive than Chinese cathode materials, competitive in price through subsidies. The only cathode material manufacturer in Korea

n.news.naver.com

4. Silicon cathode materials and next-generation batteries

Silicon cathode materials have a capacity per unit weight that is about 10 times higher than that of graphite, and silicon (Si) can store more lithium atoms than carbon (C), which increases driving distance and shortens charging time, and several companies are developing them in the country.

Lithium sulfur batteries, lithium air batteries, all-solid-state batteries, and sodium ion batteries are actively competing as next-generation batteries.

How to save on heating costs in winter

Due to climate change caused by global warming, spring and fall pass by quickly and summer and winter suddenly come. As the daily temperature difference becomes more severe, there are often cases where heating costs unexpectedly increase and people are surprised.

For modern people living in apartments, central heating and district heating (individual heating) are largely divided. In the case of individual heating, the cost is borne according to the amount used and it is subject to a progressive rate system, so it is inevitable to pay more attention.

Here are 7 ways to save on heating costs in winter.

1. Maintaining an appropriate indoor temperature

The ideal indoor temperature in winter is 18~20℃, and lowering the temperature by 1℃ can save about 7% on heating costs. ​

2. Improving boiler usage habits

You should not turn the boiler on and off frequently, and it is more efficient to maintain a constant temperature than to turn it off and on again. If you set the boiler to away mode rather than turning it off completely when going out, you can reduce energy consumption when it is restarted. Also, clean the boiler periodically, use only as much hot water as necessary, and do not set the hot water temperature too high.

3. Maintain appropriate humidity

If you keep the indoor humidity at 40~60%, heat transfer will be efficient, improving the heating effect. You can also control the humidity using a humidifier or wet towel.

4. Save on hot water use

Set the hot water temperature to around 40℃, do not open the hot water faucet to the maximum, but keep it at a medium level, and always turn the faucet to the cold water direction after use. Also, it is recommended to lower the heating temperature further when sleeping because body temperature decreases. It is recommended to lower the temperature in unused rooms rather than locking the boiler valve to reduce heating imbalance.

5. Improve living habits

You can increase the perceived temperature by using air caps (bubble wraps), curtains, carpets, and heating tents, and wearing functional heating underwear or sleeping products. ​

6. Strengthen insulation

- Window insulation: Seal the gaps in windows with tape or bubble wrap to prevent cold air from entering. - Door gap insulation: Attach weather stripping to the gaps in doors to prevent cold air from entering. - Floor insulation: Reduce heat loss from the floor by laying carpets or rugs.