Woofun AI reports that the Korea Development Institute (KDI) maintains South Korea's economy is on a recovery trajectory, with semiconductor growth compensating for broader manufacturing declines. Monthly exports reached a record $102.25 billion in June, a 70.9% year-on-year increase, fueled by strong artificial intelligence demand. Semiconductor exports alone nearly tripled to $44.82 billion, exceeding $40 billion for the first time, supported by rising prices despite slowing volume growth.

KDI highlighted that overall manufacturing output dipped slightly as early-stage semiconductor momentum eased and other sectors remained sluggish. The think tank warned that elevated oil prices and a weakening won against the US dollar may sustain inflationary pressure, raising the risk of further interest rate hikes and potentially hindering consumption recovery.