Gwangju Manufacturing Rebounds, Consumption Remains Sluggish... Jeonnam Shows Overall Weakness

Gwangju's Manufacturing Output Rises by 14.2% in February, While Jeonnam Sees 0.1% Decline
Double-Digit Drop in Large Retail Store Sales in Both Regions

In February, industrial activity in the Gwangju and Jeonnam regions showed diverging trends. While Gwangju experienced a clear increase in manufacturing production, the consumption sector remained sluggish. In contrast, both production and consumption declined in Jeonnam.

According to the Honam Regional Statistics Office on the 31st, Gwangju's industrial production index for February was 127.2, up 14.2% compared to the same month last year. The increase in production was led by tobacco (78.3%), automobiles (15.7%), and electrical equipment (15.5%). Shipments rose by 9.9%, and inventories also increased by 4.5%.

February 2025 Gwangju Industrial Activity Trends. Provided by Honam Regional Statistics Office

On the other hand, consumption contracted sharply. During the same period, the sales index of large retail stores in Gwangju was 82.9, down 17.1%. Sales at large supermarkets dropped by 25.4%, department stores by 10.6%, and major categories such as food and beverages (-27.0%), shoes and bags (-24.1%), and cosmetics (-17.9%) saw notable declines.

In Jeonnam, the overall industrial sector showed a clear trend of stagnation. The industrial production index for Jeonnam in February was 93.9, down 0.1% from the same month last year. Production decreased in primary metals (-15.9%) and machinery and equipment (-34.9%), but shipments increased by 9.5%, partially offsetting the decline. Inventories fell by 1.9%.

February 2025 Jeonnam Industrial Activity Trends. Provided by Honam Regional Statistics Office

The sluggish consumption trend continued in Jeonnam as well. The sales index of large retail stores plummeted by 22.1% to 70.4. All categories showed declines, including cosmetics (-32.1%), clothing (-26.0%), and food and beverages (-22.9%).

Overall, while Gwangju and Jeonnam showed signs of recovery in manufacturing production, the pace of recovery in consumption and domestic demand remains below the national average. An official from the Statistics Office stated, "A rebound is confirmed, mainly in the manufacturing sector, but local consumer sentiment is still subdued," adding, "It is necessary to monitor further to see whether the recovery in demand will continue."

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