S. Korea’s GRDP inches up 0.1 pct in Q1 amid weak construction sector

By Kim Han-joo SEOUL, June 26 (Yonhap) -- South Korea's gross regional domestic product (GRDP) edged up 0.1 percent in the first quarter from a year earlier, driven by modest growth in the manufacturing and service sectors that was largely offset by a sharp decline in construction activity, government data showed Thursday. It marks the first time Statistics Korea has released quarterly GRDP data, transitioning from its previous annual reporting format. The move aims to provide timely insight into regional economic trends and support swift policy responses for balanced national development. "The overall growth rate remained sluggish in the first quarter, with construction and other key industries underperforming," a Statistics Korea official said. "Even the manufacturing and service sectors showed only limited growth, largely due to weak exports." Output in the mining and manufacturing sectors rose 0.4 percent on-year in the cited period, while the service sector posted a 0.6 percent gain, the data showed. In contrast, the construction sector contracted sharply, with GRDP falling 12.4 percent on-year. By region, North Gyeongsang Province, the southern city of Ulsan and Seoul posted notable GRDP growth of 1.6 percent, 1.4 percent and 1 percent, respectively, supported by gains in utilities, manufacturing and services. In contrast, the central city of Daegu saw its GRDP shrink by 3.9 percent, while the administrative city of Sejong and Incheon, just west of Seoul, posted declines of 1.5 percent and 1.4 percent, respectively, due to downturns in the manufacturing and construction sectors. This file photo taken Feb. 4, 2025, shows containers stacked at a port in South Korea's southeastern city of Busan. (Yonhap) khj@yna.co.kr(END)

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By Kim Han-joo

SEOUL, June 26 (Yonhap) — South Korea’s gross regional domestic product (GRDP) edged up 0.1 percent in the first quarter from a year earlier, driven by modest growth in the manufacturing and service sectors that was largely offset by a sharp decline in construction activity, government data showed Thursday.

It marks the first time Statistics Korea has released quarterly GRDP data, transitioning from its previous annual reporting format. The move aims to provide timely insight into regional economic trends and support swift policy responses for balanced national development.

“The overall growth rate remained sluggish in the first quarter, with construction and other key industries underperforming,” a Statistics Korea official said. “Even the manufacturing and service sectors showed only limited growth, largely due to weak exports.”

Output in the mining and manufacturing sectors rose 0.4 percent on-year in the cited period, while the service sector posted a 0.6 percent gain, the data showed. In contrast, the construction sector contracted sharply, with GRDP falling 12.4 percent on-year.

By region, North Gyeongsang Province, the southern city of Ulsan and Seoul posted notable GRDP growth of 1.6 percent, 1.4 percent and 1 percent, respectively, supported by gains in utilities, manufacturing and services.

In contrast, the central city of Daegu saw its GRDP shrink by 3.9 percent, while the administrative city of Sejong and Incheon, just west of Seoul, posted declines of 1.5 percent and 1.4 percent, respectively, due to downturns in the manufacturing and construction sectors.