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S. Korea's Industrial Output Down for June, July BSI Also Sees Decline

Written: 2018-07-31 13:35:10Updated: 2018-07-31 15:47:54

S. Korea's Industrial Output Down for June, July BSI Also Sees Decline

Photo : YONHAP News

Anchor: South Korea's industrial output declined for the first time in three months in June amid sluggish investment. Meanwhile, the business survey index(BSI), which measures corporate confidence, also took a hit. The BSI for all industries, as well as the indexes for manufacturers and non-manufacturers, fell in July. 
Alannah Hill has this report.

Report: According to data from Statistics Korea on Tuesday, the country's overall industrial output slipped point-seven percent on-month in June, marking the first decrease in three months. 

Production in the mining, manufacturing, gas and electricity industries declined point-six percent in June compared to the previous month. 

Production in service industries, on the other hand, grew point-two percent and retail sales, an economic indicator of consumption levels, also increased point-six percent.

Facility investment dropped five-point-nine percent on-month amid a decline in investment in machinery. It marked the first time in 18 years for the figure to see a decline for four consecutive months.

Meanwhile, the ongoing trade dispute between the U.S. and China negatively impacted South Korean firms’ business sentiment for July. 

According to the Bank of Korea on Tuesday, the business survey index(BSI) for all industries stood at 75 in July, down five points from the previous month. It marked the lowest figure to be posted since February of last year.
 
The BSI for manufacturers reached 74, down six points, the biggest decline since June 2015. The index for non-manufacturers dropped four points to 76. 

A BSI reading below 100 means that the majority of firms have a negative outlook for the economy.
Alannah Hill, KBS World Radio News.

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