The benchmark KOSPI fell 1.0% to around 4,002 on Tuesday, retreating from a record high in the previous session, as investors turned cautious ahead of key diplomatic meetings by US President Donald Trump in Asia. Markets awaited the outcome of Trump’s talks with Japan’s Prime Minister Sanae Takaichi and China’s President Xi Jinping later in the week, amid speculation over potential trade and tariff adjustments. The cautious sentiment prompted profit-taking in major exporters and tech firms, even after Wall Street hit fresh record highs overnight. Losses in shipbuilders and defense stocks also weighed on the index after China imposed sanctions on five US subsidiaries of Hanwha Ocean, raising concerns about possible delays to the firm’s participation in the MASGA shipbuilding project and broader supply chain disruptions. Hanwha Ocean tumbled 5.9%, while HD Hyundai Heavy Industries declined 4.0%, alongside losses in Samsung Electronics (-2.7%) and SK Hynix (-3.0%).
