The government said South Korea's exports and investments are continuing sluggish flow despite a slow gain in industrial production. 

The Finance Ministry noted in its monthly economic assessment report released on Friday that uncertainties have increased in the second quarter of the year due to Japan's restriction of exports to South Korea and the U.S.-China trade conflict amid slowdown of global economy and lower demand for semiconductors. 

South Korea's output of the manufacturing and mining sectors increased point-two percent in June compared with the previous month while facility investments edged up point-four percent. 

Output in services sector, however, dropped one percent in June from May, and retail sales dipped one-point-six percent. Construction investment inched down point-four percent.

The country's semiconductor exports dropped eleven percent in July from a year earlier due to slower global demand for chips and extension of the U.S.-China trade conflict, continuing drop for eight consecutive months.