2020.04.2223:46:00UTC+00South Korea Q1 GDP Falls 1.4% On Quarter

South Korea's gross domestic product contracted a seasonally adjusted 1.4 percent on quarter in the first quarter of 2020, the Bank of Korea said in Thursday's advance estimate.

That follows the 1.3 percent increase in the previous three months.

Real gross domestic income (GDI) decreased by 0.6 percent on quarter compared to the previous quarter.

On the expenditure side, private consumption fell 6.4 percent on quarter as expenditures on goods (e.g. motor vehicles, clothing) and services (e.g. accommodation and food, recreation and culture) both decreased.

Government consumption rose by 0.9 percent, with increased expenditures on goods, while construction investment expanded 1.3 percent, as civil engineering increased. Facilities investment added 0.2 percent, led by the growth of transportation equipment.

Exports fell 2.0 percent, due to decreases in motor vehicles, machinery and chemical products despite an increase in semiconductors. Imports sank 4.1 percent, owing to decreased imports of crude oil and motor vehicles.

On the production side, agriculture, forestry and fishing rose 0.1 percent, mainly due to an increase in livestock production. Manufacturing fell 1.8 percent, due to decreases in transportation equipment and basic metals despite an increase in semiconductors.

Electricity, gas and water supply rose 5.7 percent, due to an increase in electricity. Construction expanded 0.3 percent, owing to an increase in civil engineering.

Services fell 2.0 percent, mainly in wholesale and retail trade, accommodation and food services, transportation & storage and cultural and other services.

On a yearly basis, GDP climbed 1.3 percent after gained 2.3 percent in the three months prior.

Exports gained 4.9 percent on year, while imports added an annual 0.5 percent. Gross fixed capital formation was up 4.4 percent, while final consumption expenditure sank 1.5 percent.