South Korea’s gross domestic product gained a seasonally adjusted 0.6 percent on quarter in the third quarter of 2023, Statistics Korea said in Thursday’s advance estimate.
That was unchanged from the second quarter reading, and it exceeded expectations for a gain of 0.5 percent.
Real gross domestic income (GDI) increased by 2.5 percent compared to the previous quarter.
On the expenditure side, private consumption grew by 0.3 percent, as expenditures on services (e.g., restaurants & accommodations, recreation & culture) increased.
Government consumption rose by 0.1 percent, with increased social security benefits in kind.
Construction investment expanded by 2.2 percent, as building construction and civil engineering both increased.
Facilities investment decreased by 2.7 percent, driven by a decrease in machinery.
Exports rose by 3.5 percent, as semiconductors and machinery & equipment increased. Imports were up by 2.6 percent, owing to increased imports of petroleum products.
On the production side, agriculture, forestry & fishing grew by 1.0 percent, mainly due to an increase in livestock production.
Manufacturing expanded by 1.3 percent, as computer, electronic & optical products increased.
Electricity, gas & water supply decreased by 1.4 percent, due to a decrease in electricity.
Construction rose by 2.4 percent, owing to increases in building construction and in civil engineering.
Services expanded by 0.2 percent, mainly in cultural & other services, despite a decrease in wholesale & retail trade and in accommodation & food services.
On an annualized basis, GDP climbed 1.4 percent – again topping expectations for 1.1 percent and up from 0.9 percent in the three months prior.