S. Korea's industrial output rises 0.5% m/m in July, but capital investment falls for five straight months
- 6 years ago
Statistics Korea has released its data on industrial output for July,... which shows.... a slight improvement from last month's data.
But facilities investment continues to fall.
Kim Hyesung has the details.
Korea's industrial production went up zero-point-five percent on-month in July, making a rebound from June's fall of zero-point-seven percent.
Output in mining and manufacturing improved, offsetting a drop in construction.
"Production in mining and manufacturing went up zero-point-four percent on-month. Production in autos dropped but transportation equipment and chemical goods output went up. Regarding transportation equipment, companies increased their workload in July to prepare for the long vacation in August. Chemical goods output went up on higher demand for cosmetic goods from Chinese tourists."
The average rate of manufacturing operations rose around one-percent to 74-point-three percent.
Production in services stayed unchanged from last month, with a fall in financial services being offset by an improvement in the science and IT services sector.
Retail sales, an indicator of consumption, rose again in June, going up half a percent on higher demand for both durable and nondurable goods like cosmetics.
Facility investment, however, continued to nosedive, dropping zero-point-six percent on-month in July.
It's the first time in 20 years that facility investment has fallen for five months in a row.
Statistics Korea attributed the fall to a decline in machinery investment in the semiconductor sector, saying it has started to slow down after the soaring investment seen from late 2016 to early this year.
In addition, construction investment has also dropped slightly.
Indicators showing the current and future economic outlook remain sluggish, eding down zero-point-three percent, zero-point-two percent, respectively.
Kim Hyesung, Arirang News.
But facilities investment continues to fall.
Kim Hyesung has the details.
Korea's industrial production went up zero-point-five percent on-month in July, making a rebound from June's fall of zero-point-seven percent.
Output in mining and manufacturing improved, offsetting a drop in construction.
"Production in mining and manufacturing went up zero-point-four percent on-month. Production in autos dropped but transportation equipment and chemical goods output went up. Regarding transportation equipment, companies increased their workload in July to prepare for the long vacation in August. Chemical goods output went up on higher demand for cosmetic goods from Chinese tourists."
The average rate of manufacturing operations rose around one-percent to 74-point-three percent.
Production in services stayed unchanged from last month, with a fall in financial services being offset by an improvement in the science and IT services sector.
Retail sales, an indicator of consumption, rose again in June, going up half a percent on higher demand for both durable and nondurable goods like cosmetics.
Facility investment, however, continued to nosedive, dropping zero-point-six percent on-month in July.
It's the first time in 20 years that facility investment has fallen for five months in a row.
Statistics Korea attributed the fall to a decline in machinery investment in the semiconductor sector, saying it has started to slow down after the soaring investment seen from late 2016 to early this year.
In addition, construction investment has also dropped slightly.
Indicators showing the current and future economic outlook remain sluggish, eding down zero-point-three percent, zero-point-two percent, respectively.
Kim Hyesung, Arirang News.