Korea: Industrial production contracts in April
May 29, 2015
In April, industrial production fell 2.7% over the same month last year, which was well below the flat reading recorded in March. April’s print substantially undershot the 0.1% decline that the markets had expected. According to the Korea National Statistics Office, April’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 corroborates the relative improvement suggested by annual data. Industrial production fell a seasonally-adjusted 1.2% in April, which was below 0.3% increase tallied in March. Moreover, annual average growth in industrial output slid from minus 0.3% in March to minus 0.8% in April, which marked the lowest level in more than six years.
Author: Carl Kelly, Economist