Korea's industrial output continues to drop in Q3 on sluggish demand

SEOUL, Sept. 30 (Yonhap) -- South Korea's industrial output has continued to drop in the third quarter amid a prolonged slump in local spending that comes in addition to a steady decline in exports, a central bank report said Monday.

In a quarterly report on economic activities in seven major regions here, the Bank of Korea (BOK) said industrial output declined from three months earlier in three regions, including the country's southern resort island of Jeju, while output in other areas remained unchanged in the July-August period.

The latest report comes on the back of nine consecutive months of decline in exports that is causing serious problems for the country's export-dependent economy.

The South Korean economy grew 1.9 percent from a year earlier in the first half, far short of the annual growth target of 2.2 percent.

The BOK report noted the problem facing the local manufacturing sector may have also been caused by slowing demand at home.

Demand dropped from the previous quarter in three regions, including the capital area, which is home to roughly half of the country's 50 million population.

bdk@yna.co.kr
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