South Korea anticipates a modest expansion of its economy in 2025, forecasting a growth rate of 0.9%. This would represent the weakest performance since the economic downturn triggered by the pandemic in 2020. The outlook reflects mounting challenges, particularly the potential impact of new US tariffs on international trade flows in the coming months. The nation’s heavy dependence on exports makes it especially vulnerable to shifts in global trade policy. While the government’s projection is marginally higher than the 0.8% growth estimate previously released by the Bank of Korea in May, the narrow difference underscores widespread concerns about economic momentum. Analysts suggest that external headwinds could further pressure manufacturing and export sectors, key drivers of national output.
— news from Bloomberg.com
— News Original —
South Korea Sees Economy Performing Weakest Since Pandemic Shock
South Korea projected sluggish growth this year that would mark the slowest pace since the pandemic-induced contraction of 2020, as US tariffs are likely to upend commerce in the months ahead. n nThe government projected the export-reliant economy will grow 0.9% in 2025, a forecast that’s slightly above the 0.8% estimate issued by the Bank of Korea in May.