S. Korea's industrial output rises 0.5% m/m in August
  • 6 years ago
South Korea's overall industrial output climbed in August...mainly driven by the mining, auto and manufacturing sectors.
However, equipment investment fell for the sixth month in a row... marking the longest decline in 20 years.
Our Ko Roon-hee starts us off.
South Korea's overall industrial output in August increased by zero-point-five percent from the previous month.
According to Statistics Korea's data released on Tuesday, production in the mining, manufacturing and services sectors led the growth.
The agency said auto production increased by more than 20-percent on-month.

"There was a slight increase in auto exports to North America and the Middle East. Production of finished cars also increased because wage negotiations have been settled smoothly in local auto companies. This led to more demand for car components as well."

However, equipment investment dropped by one-point-four percent during the same period... falling for the sixth consecutive month.
This is the longest run of declines since 1997... when South Korea was struggling due to the Asian financial crisis.
Statistics Korea attributed the fall to a decrease in investment in the semiconductor industry.
The agency said major semiconductor companies have already completed upgrading their facilities in March or April... and this led to drop in investment in semiconductor manufacturing equipment.

Meanwhile...retail sales remained flat during the same period... but rose 6 percent on-year.
Separate data released by the Bank of Korea on Tuesday showed that businesses have a gloomy outlook for the near future.
The business sentiment index was just 75 in September,... up one-point from August.
A reading below 100 means there are more pessimists than optimists on the local economy.
Ko Roon-hee, Arirang News.
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