[Anchor]
This is expected to have a considerable impact on our economy as well. Above all, there are growing concerns over semiconductor exports.
Reporter Yoo Soo-Hwan has more.
[Reporter]
The KOSPI, which started the morning higher at 9:00 AM, turned sharply downward upon news at 10:00 AM projecting a landslide victory for the Democratic Party.
After plunging by more than 4% at one point, it rebounded around 12:30 PM as President Trump conceded defeat, managing to hold onto the 5,600 level.
With changes to the political landscape of the U.S. Congress, economic policies are expected to shift, meaning uncertainty for our economy will likely persist for a while.
In particular, major variables have emerged for the semiconductor industry.
This is because the Democratic Party has argued for regulations, claiming that the construction of AI data centers harms the environment and increases burdens on residents through massive electricity and water consumption.
[Jung Yong-taek / Researcher, IBK Securities: The Democratic candidate explicitly made pledges during the election that data center projects could be put on hold or canceled. There are concerns that disruptions in production and construction could impact South Korea....]
Uncertainty has also been added to the South Korean government's $350 billion investment in the U.S.
The Texas gas-fired combined-cycle power plant, the first project under the U.S. investment plan, relies on power demand from AI data centers. However, its future has become uncertain after a Democratic governor was elected in Texas for the first time in 36 years.
While the power of Congress to keep President Trump in check has grown, the likelihood of tariff pressures diminishing anytime soon is assessed to be low.
[Seok Byung-hoon / Professor of Economics, Ewha Womans University: Even during the past Biden administration, the tariffs raised during the first Trump administration were not lowered. Tariffs have already become a means to bridge the U.S. fiscal deficit.]
On the other hand, some analysts project that interest rates and exchange rates could stabilize as a brake is placed on the fiscal spending pursued by the Trump administration, which could be helpful to domestic companies.
(Video editing: Kim Jong-mi, VJ: Lee Ji-hwan)
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