South Korea's Economic Surge: How Semiconductors Drove 5.8% Growth

The output of the semiconductor and electronics sector advanced 16.5 per cent on-year in the July-September period, while that of the automobile industry rose 7.5 per cent, according to regional economy data compiled by the Ministry of Data and Statistics, reports Yonhap news agency.

By region, North Chungcheong and Gyeonggi provinces reported 19.1 per cent and 15.9 per cent growth, respectively, in industrial production as they house a number of chip and electronics manufacturing plants.

But industrial outputs in Seoul, South Jeolla Province and the southern island of Jeju declined.

Retail sales went up 1.5 per cent on-year in the third quarter as the government offered cash handouts to the public to boost private consumption.

Retail sales climbed 8.8 per cent, 5.5 per cent and 5.3 per cent in Sejong, Incheon and Daegu, respectively, while they contracted 2.7 per cent and 1.3 per cent in Seoul and Jeju.

Service output expanded 3.1 per cent across the nation, with Seoul reporting the biggest on-year growth of 6.1 per cent, followed by Ulsan with a 5.3 per cent increase and Gyeonggi Province at 4.9 per cent, the data showed.

Exports climbed 6.5 per cent on-year in the third quarter, led by robust performance of semiconductors, ships and automobiles.

Meanwhile, South Korean stocks traded higher late Monday morning, led by foreign buying, as semiconductor shares gathered ground despite valuation concerns about artificial intelligence (AI)-related equities.

- IANS