South Korea Retail Sales Decline in July

Retail sales in South Korea declined by 2.4% month-over-month in July 2026, reversing a 2.7% increase in the previous month. The decrease was largely driven by lower sales of durable goods, particularly passenger cars and home appliances. On a year-on-year basis, retail activity dropped by 0.8% in July, slipping from a downwardly revised 3.9% rise in the preceding period. As a key gauge of private consumption, the latest figures suggest household spending lost momentum at the start of the third quarter, pointing to weaker domestic demand and could weigh on economic growth.

Retail sales in South Korea rose by 2.7% month-over-month in June 2026, accelerating from a 0.1% rise in the previous month and marking the strongest growth since January. The increase was largely driven by higher sales of durable goods, particularly automobiles. On a year-on-year basis, retail sales increased by 4.2% in June, the fastest rise in three months and up from a downwardly revised 1.5% gain in the preceding period. As a key gauge of private consumption, the latest figures suggest household spending gained solid momentum at the end of the second quarter, providing a positive signal for domestic demand.

Retail sales in South Korea edged up by 0.1% month-on-month in May 2026, rebounding slightly from a downwardly revised 3.5% drop in the previous month, which had marked the steepest decline since July 2020. The modest recovery was largely driven by higher sales of vehicle fuel and cosmetics. On a year-on-year basis, retail sales increased by 1.7% in May, following a 1.6% rise in the preceding period. As a key gauge of private consumption, the figures indicate that household spending regained some momentum in May, though the modest monthly increase suggests consumer demand remained relatively subdued.