S. Korea's industrial output and investment falls in May
- 5 years ago
5월 생산-투자 다시 감소세…소비는 반등
More gloomy news for South Korea's economy.
Latest government figures show both industrial production and investment in the country dropped last month.
Kim Hyesung has the details.
After two consecutive months of growth, South Korea's investment dropped sharply in May.
Statistics Korea says capital investment slumped eight-point-two percent on-month due to falling investment in machinery, auto and transport equipment.
"Korean companies' capital investment is mainly in manufacturing, but sectors like semiconductors and steel are all performing poorly amid slowing economic growth. Investment may go up if uncertainties surrounding the U.S.-China trade spat are removed, and companies increase investment in new industries like AI and bio, but it's hard to say for now."
Industrial output contracted zero-point-five percent, also reversing two months of growth.
Manufacturing production fell 1-point-five percent.
Statistics Korea says petrochemical goods production like naphtha dropped 14 percent due to slowing domestic demand and falling exports on fiercer competition from other Asian countries.
The manufacturing inventory to shipment ratio recorded 118-point-five percent in May, the highest figure in about two decades...meaning the rate of inventory accumulation is faster than that of shipments.
The manufacturing production capacity index also fell due to the sluggish shipbuilding and auto sector, meaning overall manufacturing production is slowing down.
Retail sales edged up by around one percent on-month thanks to increased sales of clothing and electronic goods like air conditioners.
The coincident index, which measures the current economic conditions in the business cycle, went up slightly for the first time in 14 months, but the leading economic index that shows future economic conditions fell...showing growing uncertainty over the domestic economy.
Kim Hyesung, Arirang News.
More gloomy news for South Korea's economy.
Latest government figures show both industrial production and investment in the country dropped last month.
Kim Hyesung has the details.
After two consecutive months of growth, South Korea's investment dropped sharply in May.
Statistics Korea says capital investment slumped eight-point-two percent on-month due to falling investment in machinery, auto and transport equipment.
"Korean companies' capital investment is mainly in manufacturing, but sectors like semiconductors and steel are all performing poorly amid slowing economic growth. Investment may go up if uncertainties surrounding the U.S.-China trade spat are removed, and companies increase investment in new industries like AI and bio, but it's hard to say for now."
Industrial output contracted zero-point-five percent, also reversing two months of growth.
Manufacturing production fell 1-point-five percent.
Statistics Korea says petrochemical goods production like naphtha dropped 14 percent due to slowing domestic demand and falling exports on fiercer competition from other Asian countries.
The manufacturing inventory to shipment ratio recorded 118-point-five percent in May, the highest figure in about two decades...meaning the rate of inventory accumulation is faster than that of shipments.
The manufacturing production capacity index also fell due to the sluggish shipbuilding and auto sector, meaning overall manufacturing production is slowing down.
Retail sales edged up by around one percent on-month thanks to increased sales of clothing and electronic goods like air conditioners.
The coincident index, which measures the current economic conditions in the business cycle, went up slightly for the first time in 14 months, but the leading economic index that shows future economic conditions fell...showing growing uncertainty over the domestic economy.
Kim Hyesung, Arirang News.