Credit: Public Domain.

According to a May 6 report by Korea Institute for Industrial Economics & Trade (KIET) 산업연구원, South Korea’s manufacturing prevented the country’s economy from sliding back during the COVID-19 pandemic. Based on the Competitive Industrial Performance Index by the United Nations, South Korea is a top 3 manufacturing power behind Germany and China, and ahead of the United States and Japan as of 2020.

The KIET report noted that the proportion of manufacturing sector in a national economy had clear correlations with growth rate and unemployment rate in 2020, as a manufacturing economy can support an economy through exports even as the public health measures depress domestic consumption demands. The report said South Korea’s manufacturing output is nearly back at the pre-crisis level, and recommended the industrial sector to become more competitive in high tech industries, especially in the field of climate change.