China's manufacturing sector expansion remains steady in May. [Photo/Xinhua]
China's manufacturing sector expansion remains steady in May. [Photo/Xinhua]

South Korean economy grew 0.6 percent in the July-September quarter from the previous quarter on sagging activity among manufacturers, central bank data showed on Friday.

Real gross domestic product (GDP) reached a seasonally adjusted 377.64 trillion won (322.33 billion U.S. dollars) in the September quarter, up 0.6 percent from three months ago, according to the Bank of Korea (BOK).

The third-quarter growth was down from the preliminary figure of 0.7 percent and the second-quarter expansion of 0.8 percent.

The Asia’s No. 4 economy saw its quarterly growth rate below 1 percent for four quarters in a row. Except the 1.2 percent increase in the third quarter of last year, the zero-level economic growth lasted since the second quarter of 2014.

From a year earlier, the real GDP expanded 2.6 percent, sharply down from a 3.3 percent growth in the previous quarter.

Production in the manufacturing industry sank 0.9 percent, marking the fastest fall since the third quarter of 2009 when the global financial crisis rattled the world economy, including South Korea.

Samsung Electronics discontinued its latest flagship Galaxy Note 7 smartphones on global reports of the devices catching fire and overheating. It crippled growth in the electrical and electronic sector.

The auto industry production was damaged by labor strikes in key car manufacturers, including the country’s biggest Hyundai Motor.

Private consumption rose 0.5 percent in the third quarter, down from a 1 percent increase in the second quarter. It was attributable to the end in June of temporary cut in tax imposed on consumption.

Facility investment edged up 0.2 percent, and imports increased 2.8 percent. Exports, which account for about half of the economy, rose 0.6 percent in the quarter, but it was lower than the preliminary figure of 0.8 percent. Enditem

Source: Xinhua/NewsGhana.com.gh

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