South Korea Manufacturing Growth Slows to 8-Month Low

2026-11-02 00:49 By Judith Sib-at 1 min. read

The S&P Global South Korea Manufacturing PMI fell to 51.3 in October 2026 from 53.9 in September, indicating a modest improvement in manufacturing conditions, albeit at the weakest pace since February.

Output growth slowed to a ten-month low, with firms citing slowing demand, material shortages and high costs as constraints.

New order growth also moderated as some firms noted softer demand for automobiles, while new export order growth eased to its weakest level in the current four-month sequence.

Backlogs of work rose at the slowest pace in seven months.

Meanwhile, employment declined for the first time in four months, while purchasing activity rose more slowly.

Pre-production inventories also fell at the steepest rate since April 2020.

Regarding prices, input costs rose sharply due to higher raw material prices, although output price inflation eased to an 11-month low.

Nonetheless, confidence remained robust, supported by planned product launches and sustained semiconductor demand.



News Stream
South Korea Manufacturing Growth Slows to 8-Month Low
The S&P Global South Korea Manufacturing PMI fell to 51.3 in October 2026 from 53.9 in September, indicating a modest improvement in manufacturing conditions, albeit at the weakest pace since February. Output growth slowed to a ten-month low, with firms citing slowing demand, material shortages and high costs as constraints. New order growth also moderated as some firms noted softer demand for automobiles, while new export order growth eased to its weakest level in the current four-month sequence. Backlogs of work rose at the slowest pace in seven months. Meanwhile, employment declined for the first time in four months, while purchasing activity rose more slowly. Pre-production inventories also fell at the steepest rate since April 2020. Regarding prices, input costs rose sharply due to higher raw material prices, although output price inflation eased to an 11-month low. Nonetheless, confidence remained robust, supported by planned product launches and sustained semiconductor demand.
2026-11-02
South Korea Manufacturing Growth Accelerates in September
The S&P Global South Korea Manufacturing PMI rose to 53.9 in September 2026 from 52.3 in August, marking the strongest expansion since May. Output and new orders increased at their fastest rates since early 2021, with demand boosted particularly by the semiconductor and autos sectors. Export orders rose at the fastest pace since March 2011, supported by stronger sales to Europe and other Asian markets. Backlogs increased for a ninth consecutive month and at the fastest pace since May 2022, prompting a modest rise in employment. Manufacturers also increased purchasing activity as firms prepared for stronger sales ahead, although stocks of inputs fell for a second month. Meanwhile, input cost inflation eased to its slowest pace since October 2025, while output price inflation also moderated. Business confidence improved to its highest level since January 2026, supported by stronger sales expectations and easing price pressures, amid expectations for further sales growth.
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The S&P Global South Korea Manufacturing PMI fell to 52.3 in August 2026 from 53.1 in July, signaling a modest but still above-average expansion in the manufacturing sector. Output and new orders increased for the eighth and ninth consecutive months, respectively, although the pace of growth softened. Export orders rose at the fastest pace since November 2020, supported by stronger demand from major trading partners across Asia, Europe and North America. Employment increased for the fifth time in six months, while material shortages and supply chain disruptions continued to constrain production and push backlogs higher. Meanwhile, input cost inflation eased for a fourth straight month to its slowest pace since November 2025, while output price inflation fell to a seven-month low. Business confidence also improved to a three-month high, with firms citing bullish sales expectations and opportunities arising from new technology products and services.
2026-09-01