News
S. Korea's May CSSI posts largest increase in 55 months, signals growing optimism
2025/05/28 10:00
Consumer sentiment here in South Korea saw a sharp rise in May. A temporary pause in U.S. tariffs and expectations for the new South Korean administration helped pull up that consumer confidence. Park Jun-han reports. South Korea's consumer sentiment in May saw its largest increase in 4 years and 7 months. The Bank of Korea released on Tuesday the country's Composite Consumer Sentiment Index, which reflects consumers' views on the state of the economy. Rising by 8 points from April’s 93.8 (1) to 101.8 (2) in May, the index recorded its strongest one-month gain since October 2020. A CCSI above 100 indicates optimistic consumer sentiment compared to the average of the last twenty years. For the past five months, the index has remained below 100. However, as the index in May surpassed 100, it signaled a shift from pessimism to optimism. The index’s six elements, including current living standards and prospective household spending, all saw a rise in May, with prospective domestic economic conditions rising by 18 points () compared to last month. Among the various components, several indicators pointed to a rise in optimism. This shift is likely tied to the 90-day suspension of "reciprocal" U.S. tariffs that helped ease some concerns over global trade uncertainty. Also, expectations surrounding the new administration's economic policies after the upcoming election, along with anticipated progress in South Korea-U.S. tariff negotiations, contributed to the boost in consumer confidence. Meanwhile, prospective housing prices in May recorded 111, three points higher than last month. The outlook for housing prices has been rising for three straight months, as more people expect further increases due to continued apartment price hikes in the metropolitan area. Park Jun-han, Arirang News.
Stock
2025/05/27 19:00
2025. 5. 27. KOREAN STOCK MARKET KOSPI : 2,637.22 ▼7.18 -0.27% KOSDAQ : 727.11 ▲1.84 +0.25% KOSPI200 : 351.28 ▼0.83 -0.24% ASIAN STOCK MARKET NIKKEI225 : 37,724.11 ▲192.58 +0.51% HANG SENG : 23,381.99 ▲99.66 +0.43% SHANGHAI : 3,340.69 ▼6.15 -0.18% WALL STREET (May 26) DOW JONES : CLOSED NASDAQ : CLOSED S&P500 : CLOSED EXCHANGE RATE USD : 1,369.50 (+5.10) JPY : 956.66 (+1.00) CNY : 190.65 (+0.31) EUR : 1,559.45 (+2.19)
S. Korea's May CSSI posts largest increase in 55 months, signals growing optimism
2025/05/27 19:00
Findings for the month of May show Korea's consumer confidence significantly regaining strength, due in part to a pause in new U.S. tariffs and expectations for the next administration in Korea. Park Jun-han has the latest figures. South Korea's consumer sentiment in May saw its largest increase in 4 years and 7 months. The Bank of Korea released on Tuesday the country's Composite Consumer Sentiment Index, which reflects consumers' views on the state of the economy. Rising by 8 points from April's 93.8 to 101.8 in May, the index recorded its strongest one-month gain since October 2020. A CCSI above 100 indicates optimistic consumer sentiment compared to the average of the last twenty years. For the past five months, the index has remained below 100. However, as the index in May surpassed 100, it signaled a shift from pessimism to optimism. The index's six elements, including current living standards and prospective household spending, all saw a rise in May, with prospective domestic economic conditions rising by 18 points compared to last month. Among the various components, several indicators pointed to a rise in optimism. This shift is likely tied to the 90-day suspension of "reciprocal" U.S. tariffs that helped ease some concerns over global trade uncertainty. Also, expectations surrounding the new administration's economic policies after the upcoming election, along with anticipated progress in South Korea-U.S. tariff negotiations, contributed to the boost in consumer confidence. Meanwhile, prospective housing prices in May recorded 111, three points higher than last month. The outlook for housing prices has been rising for three straight months, as more people expect further increases due to continued apartment price hikes in the metropolitan area. Park Jun-han, Arirang News.
K-cosmetics production, shipments hit record highs, ranking S. Korea third largest exporter
2025/05/27 17:00
Korea's cosmetic production and exports hit new highs last year soaring over 20 percent on year. According to the Drug Safety Ministry on this Tuesday shipments overseas amounted to 10-point-2 billion U.S. dollars raising Korea's ranking to third place for exports of cosmetics right after France and the U.S. respectively. Korea outperformed Germany which previously ranked third.
S. Korea's May CSSI posts largest Increase in 55 months, signals growing optimism
2025/05/27 17:00
In other news. Findings for the month of May show Korea's consumer confidence is regaining strength. Park Jun-han has the latest figures. South Korea's consumer sentiment in May saw its largest increase in 4 years and 7 months. The Bank of Korea released on Tuesday the country's Composite Consumer Sentiment Index, which reflects consumers' views on the state of the economy. Rising by 8 points from April's 93.8 to 101.8 in May, the index recorded its strongest one-month gain since October 2020. A CCSI above 100 indicates optimistic consumer sentiment compared to the average of the last twenty years. For the past five months, the index has remained below 100. However, as the index in May surpassed 100, it signaled a shift from pessimism to optimism. The index's six elements, including current living standards and prospective household spending, all saw a rise in May, with prospective domestic economic conditions rising by 18 points compared to last month. Among the various components, several indicators pointed to a rise in optimism. This shift is likely tied to the 90-day suspension of "reciprocal" U.S. tariffs that helped ease some concerns over global trade uncertainty. Also, expectations surrounding the new administration's economic policies after the upcoming election, along with anticipated progress in South Korea-U.S. tariff negotiations, contributed to the boost in consumer confidence. Meanwhile, prospective housing prices in May recorded 111, three points higher than last month. The outlook for housing prices has been rising for three straight months, as more people expect further increases due to continued apartment price hikes in the metropolitan area. Park Jun-han, Arirang News.
Stock
2025/05/23 19:00
2025. 5. 23. KOREAN STOCK MARKET KOSPI : 2,592.09 ▼1.58 -0.06% KOSDAQ : 715.98 ▼1.69 -0.24% KOSPI200 : 345.28 ▲0.48 +0.14% ASIAN STOCK MARKET NIKKEI225 : 37,160.47 ▲174.60 +0.47% HANG SENG : 23,601.26 ▲56.95 +0.24% SHANGHAI : 3,348.37 ▼31.82 -0.94% WALL STREET (May 22) DOW JONES : 41,859.09 ▼1.35 -0.00% NASDAQ : 18,925.73 ▲53.09 +0.28% S&P500 : 5,842.01 ▼2.60 -0.04% EXCHANGE RATE USD : 1,375.60 (-5.70) JPY : 958.71 (-5.78) CNY : 191.07 (-0.70) EUR : 1,556.15 (-9.48)
April producer prices down 0.1% m/m
2025/05/23 17:00
Producer prices eased in April amid lower oil prices and greater agricultural output. According to the Bank of Korea on Friday the producer price index FELL zero-point-one percent on month. The on-month decline is the first in six months but ON YEAR the index remains zero-point-nine percent higher. By product that of agriculture saw the deepest plunge at five-point-eight percent with the price of onions down 15-point-8 percent and cucumbers down over 35 percent.
Morgan Stanley upgrades S. Korea’s growth outlook for 2025 to 1.1%
2025/05/22 20:00
Morgan Stanley has raised South Korea's growth forecast for this year to one-point-one percent. That's a zero-point-one percentage point increase from its previous forecast in April. A report released on Thursday explained that the upward adjustment was made in response to the recent gradual de-escalation of tariff tensions between the U.S. and China, and the U.S. announcement of a 90-day reciprocal tariff suspension. The report also anticipates that fiscal policy will emerge as a new growth driver after the snap presidential election next month, predicting a second supplementary budget in the second half of this year.
Bitcoin hits record high of over US$ 110,000 as some investors view it as 'safe haven'
2025/05/22 17:00
Bitcoin hit a new high on Wednesday to reach over 1-hundred-10-thousand U.S. dollars. Pundits believe prospects of greater regulatory clarity for digital-asset firms under the Trump administration are fueling the rally for Bitcoin. What's more a growing number of investors are opting for Bitcoin as a safe haven as compared to traditional assets such as the U.S. dollar in light of the U.S.'s tariff policy and its broader repercussions on global trade.
Exports fall in May due to decline in shipments to U.S., overseas automobile sales
2025/05/21 20:00
Finding for the first three weeks of May show a slump in Korean shipments overseas. According to the Korea Customs Service, exports from May 1st to the 20th were down 2-point-4 percent on-year. By destination, shipments to the U.S. market slipped in light of tariff-related repercussions amid a sharp decline in auto exports. Korean shipments to the EU market also lost ground. This latest drop in exports comes after three straight months of growth through April.
Exports fall in May due to decline in shipments to U.S., overseas automobile sales
2025/05/21 17:00
Finding for the first three weeks of May show a slump in Korean shipments overseas. According to the Korea Customs Service on this Wednesday exports from May 1st to the 20th were down 2-point-4 percent on year. By destination shipments to the U.S. market slipped in light of tariff-related repercussions amid a sharp decline in auto exports. Korean shipments to the EU market also lost ground. This latest drop in exports comes after three straight months of growth through April.
Gov't to mobilize US$ 20.6 bil. in policy funds to counter tariff-related trade risks
2025/05/21 17:00
The Finance Ministry will mobilize policy funds to counter U.S. tariff-related trade repercussions. Policy funds totaling 28-point-6 trillion won or over 20 billion U.S. dollars will be earmarked for affected businesses to stabilize their operations to diversify their markets and for their facility investment. Acting Finance Minister Kim Beom-seok has also spoken of a support plan for product-specific tariffs including those on pharmaceuticals and semiconductors in the near future.
S. Korean delegation departs for tariff talks in Washington
2025/05/20 20:00
A South Korean trade delegation has departed for the U.S. to engage in more technical talks on tariffs. Moon Hye-ryeon covers the agenda ahead. A South Korean delegation will begin working-level talks with the U.S. Trade Representative in Washington on Tuesday local time, as part of broader efforts to finalize what's being dubbed the "July Package." With both sides aiming for a comprehensive trade deal by July 8th, Seoul is expected to focus on minimizing the steep tariffs on its key exports. However, time is tight, with the U.S. negotiating with its other trade partners and South Korea's presidential election just around the corner. Six key topics are on the agenda for this round of technical discussions: balanced trade, non-tariff measures, economic security, digital trade, country of origin, and commercial considerations. South Korea plans to use its cooperation in areas like shipbuilding as leverage, with the ultimate goal of lowering the 25-percent reciprocal tariff rates and the sector-specific tariffs on cars, steel, aluminum, and semiconductors. Meanwhile, the U.S. is expected to push back with its own demands, with concerns over its trade deficit and various non-tariff barrier issues. The Trump administration has pointed to a wide range of non-tariff barriers in Korea, such as restrictions on importing beef from cattle older than 30 months, as hindering American exports to the country. Seoul has since responded by saying there were few barriers hindering trade with the United States, and experts say that some concessions could be made for low-impact sectors in order to gain leverage in more critical areas. "We should be ready to ease non-tariff barriers on items like agricultural and livestock products — especially those with low import volumes. In return, we must push hard to secure U.S. tariff cuts on high-value exports like automobiles and semiconductors." This comes after high-level ministerial meetings during the APEC trade summit in Jeju last week, where South Korea's trade minister Ahn Duk-geun followed up his meeting with the U.S. Trade Representative, Jamieson Greer, with a press conference. He revealed that a ministerial-level interim review is scheduled for mid-June to finalize the results of the negotiations — meaning important decisions related to the trade agreement will be made by the next administration. Moon Hye-ryeon, Arirang News.
April U.S. auto exports fell nearly 20% y/y on tariff impact
2025/05/20 17:00
Korea's auto exports to the U.S. tumbled some 20 percent in April on year. Findings by the Trade Ministry released on this Tuesday show auto shipments to the U.S. amounted to almost 2-point-9 billion U.S. dollars last month DOWN 19-point-6 percent on year. This latest performance is being linked to U.S. tariffs and the launch of a new Hyundai Motor Group plant in the state of Georgia. Meanwhile TOTAL auto exports in April was also DOWN nearly four percent on year at 6-point-5 billion U.S. dollars. But here at home car sales rose 6-point-7 percent last month on year driven by demand for electric and hybrid vehicles.
Where South Korea's tariff talks with U.S. lie
2025/05/19 20:00
Korean trade officials are set to travel to Washington this week for talks on tariffs amid the U.S.' treasury chief putting pressure that tariffs will return to a higher level if countries don't reach agreements during the 90-day pause period. Bae Eun-ji has more. As South Korea seeks to reach a trade deal with the U.S. by early July, senior officials in Seoul are set to travel to Washington as early as Tuesday for talks on tariffs. This comes after South Korea's finance and trade ministers met with U.S. Treasury Secretary Scott Bessent and Trade Representative Jamieson Greer in late April, and requested exemptions from higher levies. U.S. President Donald Trump on April 2nd announced a set of reciprocal tariffs on major trading partners, including South Korea, before putting a temporary pause to those levies for 90 days. He said on Friday that time is running out for countries to make trade deals with the United States. "And we have, at the same time, 150 countries that want to make a deal but you're not able to see that many countries so at a certain point over the next two weeks I think Scott and Howard will be sending letters out, essentially telling people, we want to be very fair, but we'll be telling people what they'll be paying to do business in the United States." Meanwhile, Treasury Secretary Bessent said in an interview with CNN on Sunday that Trump has put countries on notice that if they don't negotiate in "good faith," tariffs will soon return to the April 2nd levels. Bessent also noted there are 18 important trading partners that the U.S. is most focused on solidifying deals with, while adding that there are a lot of smaller trading relationships. As the deadline looms, he said Washington may impose some tariffs by region rather than on individual countries. Addressing the concerns on tariff uncertainties, the Korean government earlier explained that this week's consultation will be focused on six key areas: balanced trade, non-tariff measures, economic security, digital trade, country of origin, and commercial considerations. "So I think that connects to what I really think is the critical thing here, which is the economic security issue. So on that front, the White House would like to kind of get this big headline win on so-called friend-shoring semiconductor and battery supply chains. That is, the U.S. kind of wants to have these supply chains run through an allied country like Korea." With only about 50 days left until the July 8th deadline, when the temporary pause on tariffs is lifted, eyes are now on whether South Korea will be able to make some meaningful progress in this week's talks. Bae Eun-ji, Arirang News.
Gov't monitors markets after U.S. credit downgrade, expects limited impact on South Korea
2025/05/19 17:00
The Finance Ministry has sought to ease fears about the impact of the downgrade in U.S. credit rating by Moody's last Friday. The credit rating agency lowered America's rating by one notch to Aa1 from Aaa citing concerns over rising debt. Ministry officials here say the impact of the U.S. credit cut on the Korean economy appears limited as it was anticipated. Moody's rating now matches that of Fitch Ratings and S&P whose analysts lowered their U.S. rating in 2023 and 2011 respectively. Separately acting President Lee Ju-ho has called for close monitoring of financial markets by relevant authorities.
Stock
2025/05/16 20:00
2025. 5. 16. KOREAN STOCK MARKET KOSPI : 2,626.87 ▲5.51 +0.21% KOSDAQ : 725.07 ▼8.16 -1.11% KOSPI200 : 350.45 ▲1.29 +0.37% ASIAN STOCK MARKET NIKKEI225 : 37,753.72 ▼1.79 -0.00% HANG SENG : 23,345.05 ▼108.11 -0.46% SHANGHAI : 3,367.46 ▼13.36 -0.40% WALL STREET (May 15) DOW JONES : 42,322.75 ▲271.69 +0.65% NASDAQ : 19,112.32 ▼34.49 -0.18% S&P500 : 5,916.93 ▲24.35 +0.41% EXCHANGE RATE USD : 1,389.60 (-4.90) JPY : 956.79 (+0.44) CNY : 193.07 (-0.48) EUR : 1,558.85 (-4.04)
Weak domestic recovery and export slowdown fuel ongoing downside economic pressures in May
2025/05/16 20:00
The finance authorities continue to sound the alarm about growing pressures on the local economy due to a combination of U.S.' tariffs and weaker consumption at home. Park Jun-han explains. The Ministry of Economy and Finance assessed that downside pressures on the economy are continuing to grow, for the fifth consecutive month. This assessment comes in the ministry's Green Book, a monthly report detailing the nation's economic trends. The ministry said a recovery of domestic demand — particularly in consumption and construction investment — has remained sluggish, while employment difficulties persist, especially in vulnerable sectors. It also noted that the Korean economy has been facing increasing downside pressures, including a slowdown in exports due to worsening external conditions following the imposition of U.S. tariffs. "I think the tariff impact is there, and that's why we used the term 'export slowdown' from April's data. We also saw some growth in exports to countries outside of the U.S., making the April export data less severe than the tariff effects might suggest." South Korea saw a dramatic decrease in construction investment from over a year ago. Investment in the first quarter of 2025 saw a year-on-year decline of 12.2% . In April 2025, there were about 28.9 million people employed, an increase of 194-thousand from the same period last year. However, year-on-year manufacturing sector employment was down 124-thousand last month, the largest drop in six years and two months. Employment challenges also persisted among the 15 to 29-year-old age group. The unemployment rate for young people in April stayed at 7.3%, continuing in the 7% range since February. To combat the slowdown in exports and to boost the country's industrial competitiveness, the ministry pledged to swiftly execute the necessary supplementary budget. The budget of 13.8 trillion won, or about 9.9 billion dollars, will be used to bolster the job market, construction, and support for small businesses. Park Jun-han, Arirang News.
Weak domestic recovery and export slowdown fuel ongoing downside economic pressures in May
2025/05/16 17:00
Korea's Finance Ministry has maintained its concerns over the presence of economic headwinds at home and abroad and their broader impact on market growth. Park Jun-han has the latest. The Ministry of Economy and Finance assessed that downside pressures on the economy are continuing to grow, for the fifth consecutive month. This assessment comes in the ministry's Green Book, a monthly report detailing the nation's economic trends. The ministry said a recovery of domestic demand — particularly in consumption and construction investment — has remained sluggish, while employment difficulties persist, especially in vulnerable sectors. It also noted that the Korean economy has been facing increasing downside pressures, including a slowdown in exports due to worsening external conditions following the imposition of U.S. tariffs. "I think the tariff impact is there, and that's why we used the term 'export slowdown' from April's data. We also saw some growth in exports to countries outside of the U.S., making the April export data less severe than the tariff effects might suggest." South Korea saw a dramatic decrease in construction investment from over a year ago. Investment in the first quarter of 2025 saw a year-on-year decline of 12.2% . In April 2025, there were about 28.9 million people employed, an increase of 194-thousand from the same period last year. However, year-on-year manufacturing sector employment was down 124-thousand last month, the largest drop in six years and two months. Employment challenges also persisted among the 15 to 29-year-old age group. The unemployment rate for young people in April stayed at 7.3%, continuing in the 7% range since February. To combat the slowdown in exports and to boost the country's industrial competitiveness, the ministry pledged to swiftly execute the necessary supplementary budget. The budget of 13.8 trillion won, or about 9.9 billion dollars, will be used to bolster the job market, construction, and support for small businesses. Park Jun-han, Arirang News.
Trade officials from 21 APEC member states agree on joint statement with aim to tackle trade uncertainties
2025/05/16 17:00
Trade envoys of the APEC forum have highlighted the importance of continued cooperation in response to challenges to ensure broader economic stability. Our Bae Eun-ji files this report from the southern island of Jeju. Top trade officials from Asia-Pacific Economic Cooperation member states wrapped up their two-day meeting on Jeju Island on Friday, an event hosted by South Korea ahead of the APEC leaders' summit later this year. South Korea's Minister for Trade Cheong In-kyo, who led the meeting, announced at a press conference that all 21 member nations have agreed on a joint statement which includes adopting artificial intelligence into global trade and strengthening cooperation on supply chain issues. "South Korea proposed the idea of the 'AI for trade' initiative, in which other APEC member states showed great interest and support." Member states agreed to continue cooperation on areas such as facilitating paperless trade, bridging digital divides, and creating strengthened digital infrastructure. In the joint statement, they also recognized the importance of the World Trade Organization, as they shared concerns on global trade risks. Meanwhile, much attention was drawn to a separate meeting between South Korea's Minister of Trade, Industry and Energy Ahn Duk-geun, and U.S. Trade Representative Jamieson Greer. The two officials last met in Washington three weeks ago, when South Korea requested exemptions from reciprocal tariffs, while offering cooperation on shipbuilding and energy. Both countries are currently working to produce a package of deals to remove new U.S. tariffs before the July 8th deadline, when the 90-day pause on reciprocal tariffs is lifted. So, eyes are now on whether South Korea and the U.S will be able to make further progress following Friday's talks. Bae Eun-ji, Arirang News, Jeju.