Economic Bulletin | KDI 경제교육·정보센터

Economic Trends

Current Economic Trends

In March, industrial production increased while services production, retail sales, facilitiesinvestment, and construction investment declined. In April, the increase in the number of employedpersons widened and consumer price growth maintained its pace. In March, total production (up 0.9% m-o-m and up 1.3% y-o-y) rose, as industrial production (up 2.9%m-o-m and up 5.3% y-o-y) increased although construction (down 2.7% m-o-m and down 14.7% y-o-y)and services production (down 0.3% m-o-m and up 0.7% y-o-y) decreased. In March, retail sales (down 0.3% m-o-m and up 1.5% y-o-y), facilities investment down 0.9% m-o-mand up 14.1% y-o-y), and construction investment (down 2.7 m-o-m and down 14.7% y-o-y) all dropped. In April, exports grew 3.7 percent from a year ago, increasing three months in a row. Average dailyexports fell by 0.7 percent compared to the previous year. In April, the Consumer Sentiment Index (CSI) rose by 0.4 points month-on-month to 93.8. The CompositeBusiness Sentiment Index (CBSI) increased by 1.2 points to 87.9 in April, and the CBSI outlook for Mayrose by 0.7 points to 86.3. In March, the cyclical indicator of the coincident composite index and the cyclical indicator of the leadingcomposite index increased by 0.3 points and 0.2 points, respectively. In April, the number of employed persons grew by 194,000 jobs compared to the previous year and theunemployment rate fell by 0.1 percent point from a year ago. In April, the Consumer Price Index (CPI) climbed by 2.1 percent year-on-year as the accelerated declinein agricultural product prices and a shift to a decline in petroleum prices were offset by a larger increasein livestock and fishery product prices. The index when excluding food and energy prices increased by 2.1percent. In April, Korean equity prices rose, yields for Korean Treasury Bond fell, and the Korean Wonstrengthened against the dollar. In April, housing prices dropped (down 0.02% m-o-m), while Jeonse (lump-sum deposits with nomonthly payments) prices remained stable (0.00% m-o-m). Recently, the Korean economy has faced mounting downward pressure, as the recovery of domesticdemand particularly in consumption and construction investment remains sluggish, whileemployment challenges persist in vulnerable sectors. These difficulties have been furthercompounded by deteriorating external conditions due to U.S. tariff measures, leading to a slowdownin exports. The global economy is facing sustained volatility in global financial markets and concerns over slowertrade and growth, primarily owing to the worsening trade conditions driven by tariff measures imposed bymajor economies. Along with all-out efforts to respond to trade risks including the swift execution of a 13.8 trillion wonsupplementary budget to support Korean companies affected by U.S. tariffs and to strengthen industrialcompetitiveness the government is also continuing and reinforcing measures to revitalize the realconomy, such as support for job creation, construction, and small businesses. * For further details, please refer to the attached file.

Jun 2025