The report also showed that shipments of semiconductors slowed, increasing just 8.9% in May from a year earlier, according to Statistics Korea, for the first single-digit rise since October 2019. Production gains also decelerated to 24.3% for the slowest growth since February 2021.
Semiconductors are the biggest single driver of South Korea’s economy. Shares of its chipmakers from Samsung Electronics to SK Hynix have been on the decline in the past year amid questions about future demand and global central bank policy tightening that has put pressure onStill, overall industrial production showed a recovery from April’s fall as the impact of lockdowns in China eased. Factory output rose 7.3% in May from a year earlier, beating a 4% forecast by economists.
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