S Korea Q2 economy expands by 5.9% on stronger manufacturing, exports

SINGAPORE (ICIS)–South Korea’s economy expanded by 5.9% year on year in the second quarter on the back of a continued recovery in private consumption, exports and manufacturing, official preliminary data showed on Tuesday.

The expansion in the second quarter follows the 1.9% year-on-year growth in the country’s GDP in the first quarter and marks the fastest pace in a decade, the Bank of Korea (BOK) said in a statement.

Manufacturing expanded by 13.7% year on year in the second quarter, accelerating from the 4.1% growth in the first quarter.

Private consumption rose by 3.6% year on year in the second quarter, jumping from the 1.2% expansion in the first three months of the year.

Exports surged by 22.4% year on year in the second quarter, accelerating from the 5.1% rise in the first quarter.

Construction contracted by 3.5% year on year in the second quarter, worsening from the 3.2% contraction the first three months of 2021.

South Korea’s GDP grew at a seasonally-adjusted 0.7% in the second quarter from three months earlier, the central bank said.