[Featured Stock] Agabang, Immediate Lifting of China's Birth Control Expected... Targeting Chinese Market with Parent Company Langxi Group

[Asia Economy Reporter Hyungsoo Park] Agabang Company is showing strong performance. It appears that the news of the People's Bank of China, the central bank of China, releasing a report urging the Chinese government to immediately abolish birth control measures has influenced the stock price. The largest shareholder of Agabang Company is Langxi Korea, holding 26.5%. Langxi Korea Co., Ltd. is a women's clothing company and a foreign-invested enterprise 100% invested by the Chinese corporation Langzi Gaofen Youxian Gongsi.

As of 11:50 AM on the 16th, Agabang is trading at 4,745 KRW, up 15.69% from the previous day.

According to foreign media such as CNBC and Hong Kong's South China Morning Post (SCMP) on the 15th (local time), the People's Bank of China proposed in the report released that day that the Chinese government should immediately abolish birth control restrictions and relax them to allow at least three children per family. If the current trends of low birth rates and aging population continue, the labor force ratio will decline more than in the United States, potentially causing China to lose its economic advantage.

The People's Bank of China forecasted that if the population growth rate decreases, China's working-age population will begin to decline by 0.5 percentage points annually starting in 2025, and by 2050, the working-age population could sharply decrease by 15.2 percentage points compared to now.

Chen Hao, the researcher who led the report at the People's Bank of China, emphasized, "If the government hesitates even slightly to abolish birth control, it will miss valuable time to respond to demographic changes and repeat the mistakes experienced by developed countries," adding, "Advancements in education and technology cannot compensate for population decline."

Agabang's business segments are divided into domestic and overseas sectors. The domestic sector includes the domestic division of Agabang & Company Co., Ltd., Apex Co., Ltd., and Design Skin Co., Ltd., while the overseas sector includes the overseas division of Agabang & Company Co., Ltd., AGABANG U.S.A., Yantai Agabang Clothing Co., Ltd., and Beijing Agabang Trading Co., Ltd.

In China, income growth is notably centered in major cities, leading to a rapid increase in demand for imported goods and well-known brands. With the Chinese government declaring full allowance of the 'two-child' policy, the growth potential of the infant and children's market is expected to expand further. Equipped with efficient and innovative distribution and production infrastructure such as the Icheon logistics center, and through Yantai Agabang Clothing Co., Ltd. and Beijing Agabang Trading Co., Ltd. for stable entry into the Chinese market, Agabang has laid the foundation to accelerate expansion into overseas markets as well as the domestic market. Agabang & Company is striving to become a global company targeting not only China but the entire world through cooperation with its parent company, the Chinese Langxi Group.