Korea: Industrial production contracts again in May
June 30, 2015
In May, industrial production fell 2.8% over the same month last year, which followed the 2.6% decline recorded in April. May’s print undershot the 2.0% decline that the markets had expected. According to the Korea National Statistics Office, May’s contraction mainly reflected a fall in manufacturing production. The Statistics Office also reported that the construction sector contracted, while the industrial sector and public administration services tallied increases.
A month-on-month comparison roughly corroborates the deterioration suggested by annual data. Industrial production fell a seasonally-adjusted 1.3% in May, which equaled the decline tallied in April. Moreover, annual average growth in industrial output held at April’s minus 0.8%, which marked the lowest level in more than six years.
Author: Carl Kelly, Economist