South Korea Q4 GDP Revised Upward to -0.2%

EthereumCraftsman · 2026-03-09T23:45:18+00:00

South Korea's economy contracted by 0.2% in Q4 2025, driven by weaker domestic demand and falling non-semiconductor exports, despite a 3% annual growth. Private consumption and government spending increased, while construction and facilities investments declined.

EthereumCraftsman

2026-03-09 23:45:18

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South Korea’s economy contracted by 0.2% QoQ in the three months to December 2025, compared with an earlier estimate of a 0.3% contraction and reversing a 1.3% expansion in Q3. It marked the first quarterly contraction since the first quarter of 2025, driven by softer domestic demand and a decline in non-semiconductor exports. Private consumption rose 0.3%, as spending on services increased while expenditures on goods declined. Government consumption grew 1.3%, supported by higher spending on health care benefits. Construction investment fell 3.5%, as both building construction and civil engineering activity declined. Facilities investment dropped 1.7%, led by lower spending on transportation equipment. Exports decreased 1.7%, weighed down by declines in motor vehicles and machinery & equipment. Imports fell 1.5%, reflecting lower purchases of natural gas and motor vehicles. On an annual basis, the economy expanded 3% in Q4, exceeding forecasts of 2.5%.

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