Korea: Industrial output contracts in May
June 30, 2014
In May, industrial production contracted 2.1% over the same month last year (April: +2.5% year-on-year). The reading represented the first fall in industrial output following three consecutive months of expansion and contrasted the 1.0% increase that markets had expected. According to the Korea National Statistics Office, May’s result reflected a broad-based deterioration, particularly in manufacturing and construction.
Sequential data confirm the deterioration suggested by the annual data. Industrial production decreased a seasonally-adjusted 2.7% over the previous month in May, which came in below the 0.1% contraction tallied in April.
Annual average growth in industrial output inched down from 0.7% in April to 0.6% in May.
Author: Ricardo Aceves, Senior Economist