The focus of global ESG is shifting rapidly toward corporate governance, as shareholder proposals in the United States increasingly target board structure and capital policy. In South Korea, a series of Commercial Act revisions and mandatory treasury share cancellations are strengthening governance rules and raising pressure on major groups. Some companies are moving early to cancel shares, while others are adding exception clauses or reshaping board structures, prompting warnings of longer-term governance risk premiums.

The Korea Exchange said on Monday that 409 companies newly disclosed corporate value-enhancement plans in March, taking the cumulative total to 590 firms. Of the March disclosures, 405 were high-dividend companies benefiting from tax changes. Shareholder returns via treasury share cancellations were also active, with 99 firms disclosing cancellations in March. The value-up index closed at 2,248.59 on March 31, up 126.6 percent since Sept. 30, 2024.