Gwangju Down 8.9%, Jeonnam Down 5.5% Year-on-Year
Consumer Prices Rise Around 2% Each Month
This year, manufacturing production in the Gwangju and Jeonnam regions declined compared to the previous year, while the consumer price inflation rate continued to rise.
According to the “Recent Economic Trends in Gwangju and Jeonnam” released by the Gwangju-Jeonnam branch of the Bank of Korea on December 16, the real economy in Gwangju in October of this year saw a decrease in manufacturing production compared to the same period last year, with a significant drop in construction investment.
In the manufacturing sector, production fell by 8.9% year-on-year, mainly due to declines in machinery and equipment (-39.9%) and rubber and plastics (-49.3%). Imports of machinery also dropped by 10.9% compared to the same period last year.
In the construction investment sector, the area of building starts shrank by 63%, primarily due to decreases in industrial (-61.6%) and commercial (-87%) projects. The number of unsold apartments increased by 66 units from the end of the previous month, reaching 1,431 units.
In November of this year, the inflation rate rose to 2.3%, driven mainly by food and non-alcoholic beverages (3.3%) and restaurants and hotels (3.1%).
The consumer price inflation rate in Gwangju has shown a continuous upward trend, rising from 1.4% in August to 2.1% in September and 2.3% in October.
In Jeonnam, manufacturing production in October also decreased by 5.5% year-on-year, and exports fell by 3.9%. In the construction investment sector, the area of industrial building starts dropped by 51.2%.
However, the area of residential building starts increased by 133%, keeping the total area at the same level as the previous year, while the number of unsold apartments decreased by 1,075 units.
The consumer price inflation rate in Jeonnam has steadily increased, from 2.1% in September to 2.4% in October and 2.6% in November.
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