Industrial Research Institute "Slight Slowdown in Manufacturing Industry Improvement in January"

January Manufacturing PSI 117... 3P↓ from Previous Month
December PSI Fell After 3P↑
Semiconductor & Shipbuilding Improvement Continues
Steel, Auto & Textile Expectations Weaken

Image source=Yonhap News

[Asia Economy Reporter Moon Chaeseok] An analysis suggests that the pace of improvement in the domestic manufacturing industry conditions will slightly slow down next month. The optimism that had continued until this month is expected to weaken.

The Korea Institute for Industrial Economics and Trade announced on the 27th that the 'Professional Survey Index' (PSI) for major domestic industries, conducted by experts commissioned through FnGuide and Metrix, showed this result.

The survey was conducted from the 10th to the 18th of this month, targeting 171 experts. With 100 as the baseline, a value closer to 200 indicates more opinions of improvement compared to the previous month, while a value closer to 0 indicates more opinions of deterioration.

PSI by Major Items in Domestic Manufacturing (Source: Korea Institute for Industrial Economics and Trade)

According to the survey, the manufacturing industry PSI for January next month was 117, down 3 points (P) from the previous month. The outlook PSI had been rising with 119 in November and 120 in December. This is interpreted as a slight weakening of the improvement trend.

The domestic demand (domestic market sales) PSI was 102, dropping 19 points from last month. The export PSI was 109, down 9 points. Production fell 4 points to 107. Investment amount rose 14 points to 110.

By major sectors, the Information and Communication Technology (ICT) sector recorded 118, up 9 points. On the other hand, the equipment and materials sectors fell by 5 points and 20 points, respectively, to 122 and 107.

The materials sector had recorded 127 last month, marking the highest since April last year (130), but then declined again.

Industry-wise Economic Outlook for January 2021. (Source: Korea Institute for Industrial Economics and Trade)

By detailed industries, all sectors except textiles (90) were above 100.

Steel (133), automobiles (108), and textiles fell by 7 points, 21 points, and 30 points respectively compared to the previous month.

Semiconductors (142) rose by 54 points.

This content was produced with the assistance of AI translation services.