S. Korea sees unexpected factory output drop

South Korea’s factory production declined more than anticipated in November due to a decrease in exports and a decline in business confidence, according to government data released on Monday.

The industrial output index fell 0.7 per cent on a seasonally adjusted basis from the previous month, following no change in the month before. This decline was greater than the 0.4 per cent decrease predicted in a Reuters survey of economists.

According to Statistics Korea, the index increased by 0.1 per cent annually, which was slower than the 6.3 per cent increase the previous month and lower than the 0.4 per cent expected by economists.

South Korea’s export growth slowed to a 14-month low last month due to declining shipments to the US and China amid tariff uncertainty. Business sentiment in the country is currently at its weakest in over four years.

Attribution: Reuters

Subediting: Y.Yasser