Stabilization after crown reproliferation … September production, consumption and investment ‘triple’ increase

News 1

After the new coronavirus infection (Corona 19) reproliferated, it was found that the three indicators of industrial activity such as production, consumption and investment in September rose while seeking stability. Three months have passed since last June.

According to the ‘Industrial Activity Trends for September 2020’, published by the National Statistical Office on the 30th, last month’s total industrial production index (excluding seasonal adjustments and agriculture, forestry and fisheries) increased 2.3% compared to the previous month.

All industrial production has been negative since January when Corona 19 was produced. It increased for two consecutive months since June (4.1%), when it stabilized, but fell again in August (-0.8%) when reproliferation began. .

All industrial production increased 2.3% from the previous month as production increased in the mining, service and construction industries. Compared to the same month last year, production in the mining and construction industries increased by 3.4%. In particular, the production of the mining industry decreased in oil refining (-3.0%), but automobiles (13.3%) and semiconductors (4.8%) increased 5.4% compared to the month previous. Increased. This is the largest increase since last June (7.1%). Car production increased significantly due to the impact of new car launches and increased exports to North America, and increased production of memory semiconductors such as DRAM and flash memory had an impact. services increased 0.3% compared to the previous month. Although it declined in finance and insurance (-2.4%), wholesale and retail prices increased 4.0% as food and beverage wholesales, general retail and retail increased by 4.0%. retail out of stores. Additionally, transportation and warehouses also increased 2.7% due to the increase in freight forwarding and warehousing and transportation-related services. Consumer sales decreased in durable goods such as passenger cars (-0.7%), but non-durable goods such as food and beverages (3.1%), semi-durable goods such as clothing (1.5%). %) Sales increased, 1.7% more than the previous month. This is interpreted as the influence of intensive purchases such as Christmas gift games and the increase in demand for food delivery due to the strengthening of social distancing. Semi-durable goods are due to an increase in clothing sales due to the effects of weather such as the change of season.

Investment in facilities increased 7.4% compared to the previous month, showing an upward trend after 3 months. It has increased the most in six months since last March (7.5%). Investment in machinery (-1.5%) such as special industrial machinery decreased, but investment in transport equipment such as ships (34.3%) increased significantly.

The cyclical fluctuation of the coincident index, which shows the current economic situation, was 97.9, 0.3 points (p) more than the previous month. The cyclical fluctuation of the leading index, which predicts the future economy, was 101.3, 0.4p more than the previous month. Leading index and leading index cyclical fluctuations increase for 4 consecutive months.

Wooyeol Yoon, Reporter for Donga.com [email protected]