Gwangju and Jeonnam Consumption Declines for Third Consecutive Month... Exports and Construction Investment Rise

Consumption in Gwangju and Jeonnam Continues to Decline
Manufacturing, Construction Investment, and Exports Show Growth in Gwangju
Exports and Manufacturing Production Fall in Jeonnam, Construction Investment Rises

Consumption in Gwangju and Jeonnam continues to decline, but manufacturing production, construction investment, and exports have all increased.

According to the "April Real Economy Trends" report released by the Gwangju-Jeonnam branch of the Bank of Korea on June 18, consumption in Gwangju fell by 8.8% compared to the same month last year, with both department stores (-8.1%) and large discount stores (-9.8%) experiencing declines. This marks the third consecutive month of decline, following February (-17.1%) and March (-8.0%) of this year.

Construction investment had shown a significant downward trend since January of this year, but rose by 4.6% year-on-year, mainly due to increases in other categories such as ancillary facilities for apartment complexes (+155.7%) and residential buildings (+438.7%).

Exports increased by 17.8%, driven by growth in electric equipment and electronic components (+25.7%). Imports also rose by 22.9%, mainly due to electric equipment and electronic components (+26.7%), as well as agricultural, fishery, and mining products (+20.7%).

Manufacturing production increased by 21.6%, with electric equipment (+66.0%) and electronic components (+32.5%) seeing significant growth. Consumer prices rose by 1.5% compared to the same month last year, mainly due to food and accommodation services (+3.5%).

The number of employed people decreased by 15,000 compared to a year ago, while the unemployment rate rose by 0.8 percentage points to 3.5%.

In Jeonnam, consumption (-8.8%) also declined for the third consecutive month, and both exports and manufacturing production decreased, while construction investment increased. Sales at large retail stores in Jeonnam decreased in February (-22.1%), March (-4.8%), and April (-9.7%) compared to a year earlier.

Exports fell by 13.1% year-on-year, mainly due to decreases in chemical industry products (-25.2%) and petroleum products (-21.4%). Imports decreased by 5.9%, mainly due to crude oil and agricultural, fishery, and mining products (-7.4%).

Manufacturing production decreased by 0.9% year-on-year, mainly due to declines in primary metals (-2.5%) and coke and petroleum refining (-0.9%). Construction investment increased by 7.1% compared to a year earlier, mainly due to other categories such as ancillary facilities for apartment complexes (+8.1%) and residential buildings (+13.9%). Consumer prices rose by 1.8% compared to last year, mainly due to food and accommodation services (3.1%) and food and non-alcoholic beverages (2.0%).

Meanwhile, the number of employed people in Jeonnam decreased by 8,000 compared to last year, while the unemployment rate fell by 0.4 percentage points to 2.0% year-on-year.