SEOUL - South Korea's industrial output experienced a downturn in October, primarily due to a significant decline in semiconductor production, as reported by Statistics Korea. The month saw a 1.6 percent drop in industrial production, marking a shift from the gains witnessed in the previous two months.
According to Yonhap News Agency, the semiconductor sector, a key driver of the South Korean economy, saw a substantial reduction in output, with an 11.4 percent decrease compared to the previous month. Despite this monthly decline, the year-over-year data showed a 1 percent rise in overall industrial output.
Retail sales, which serve as an indicator of private spending, also decreased by 0.8 percent in October. This decline was attributed to weakened demand for food and other non-durable goods. Similarly, facility investment declined by 3.3 percent, contrasting with the 8.7 percent increase observed in the previous month.
These data points indicate a momentary slowdown in South Korea's industrial activity, reflecting broader economic trends and sector-specific challenges.