Triple Decline in October 'Production, Consumption, Investment'... Semiconductor Down 11.4%

Statistics Korea, October Industrial Activity Trends

Last month, industrial production, retail sales, and facility investment all declined, marking a 'triple decrease.' Semiconductor production fell by more than 11%.

According to the October industrial activity trends released by Statistics Korea on the 30th, overall industrial production decreased by 1.6% compared to the previous month, as production increased in construction but declined in manufacturing, services, and public administration.

In manufacturing, production rose in electronic components (10.4%) but fell in semiconductors (-11.4%) and machinery equipment (-8.3%), resulting in a 3.5% decrease compared to the previous month.

Manufacturing inventory increased by 0.4% compared to the previous month, and the average operating rate dropped by 2.7 percentage points to 70.3%.

Service production increased in information and communication (1.3%) but decreased in wholesale and retail trade (-3.3%) and finance and insurance (-1.2%), leading to a 0.9% decline compared to the previous month.

Retail sales also failed to escape the downward trend. Sales increased in semi-durable goods such as clothing (4.3%) and durable goods such as communication devices and computers (1.0%), but sales of non-durable goods such as food and beverages (-3.1%) declined, resulting in a 0.8% decrease compared to the previous month.

Facility investment fell by 3.3% compared to the previous month, with declines in machinery such as special industrial machinery (-4.1%) and transportation equipment such as automobiles (-1.2%). Construction performance increased by 0.7% compared to the previous month, as civil engineering (-1.0%) construction performance decreased but building (1.3%) construction performance rose.

The coincident composite index, which reflects the current economic situation, fell by 0.1 points compared to the previous month. However, the leading composite index, which forecasts future economic conditions, rose by 0.3 points compared to the previous month.

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