World Economic outlook - South Korea Inflation rate January 2012 : South Korea on Wednesday posted a shock 6.6 percent annual drop in exports for January and saw new export orders fall for a sixth consecutive month as the euro zone crisis and holidays hit, kicking off a major election year on a gloomy note.
Inflation in January eased more than expected to a 1-year low of 3.4 percent on drops in fresh food prices, but looked poised to stay elevated on high oil prices and anticipated hikes in public utility charges, leaving the central bank with little room to ease policy to support the slowing economy.
The Ministry of Knowledge Economy said weaker demand from Europe, long holidays and a lagged effect from the shipbuilding industry's slump in 2008-2009 have combined to drag exports down.
Exports to the European Union fell 44.8 percent in the first 20 days of January from a year earlier, it said.
With European demand fading fast, many export-reliant Asian economies are pinning their hopes on a recovery in consumption in the United States and China to cushion the blow.
Indeed, South Korean shipments to the United States jumped 23.3 percent in the Jan 1-20 period, while those to China rose by a smaller 7.3 percent. China is Seoul's largest export market, followed by the EU and the United States.
Exports of completed ships plunged 41.5 percent, reflecting weak orders received two or three years back during the global financial crisis.
Shipments of mobile phones tumbled 39.7 percent, mainly after Samsung Electronics started assembling more of its handsets abroad.
Even the country's automakers, used to double-digit sales growth, suffered a setback.
Reuters calculations based on company reports showed exports of domestically produced vehicles fell a combined 2.6 percent in January from a year earlier, while domestic sales slid 17.1 percent.
An official at the ministry said the average value of exports per working day excluding ships, which he said eliminates calendar and ship factors, was $1.71 billion in January this year, compared with $1.64 billion a year before.
No comments:
Post a Comment