Korea: Industrial production comes in weak in January
February 27, 2019
Industrial production in the mining, manufacturing, and gas and electricity sectors rose 0.1% in January compared to the same month a year earlier, down from the revised 0.7% increase in December (previously reported: +1.6% year-on-year). Meanwhile, the less-volatile average annual change in industrial production showed a slip in growth to 1.0% in January, down from 1.4% in December.
Output in the manufacturing sector—which accounts for most industrial production—rose 0.2% in January, down from 1.2% in December. Although manufacturing output was supported by growing domestic sales in January, it was hindered by falling exports. Meanwhile, the average factory capacity utilization rate rose to 73.1% in January form to 72.2% in December.
A month-on-month comparison adjusted for seasonality shows that industrial production rose 0.5% in January, contrasting the 0.8% decrease in December.
Author: Edward Gardner, Economist