FX.co ★ South Korea Manufacturing PMI Hits 17-Month High

The S&P Global South Korea Manufacturing PMI increased to 51.2 in January 2026, up from 50.1 in December, marking its highest point since August 2024 and indicating a strengthening in the manufacturing sector's health. Three of the five components of the PMI—namely, new orders, output, and suppliers' delivery times—positively influenced the index in January. Meanwhile, employment and stocks of purchases exerted minor negative effects. Demand for South Korean goods surged at the beginning of 2026, with notable growth coming from Mainland China, North America, and Europe. This sustained rise in new orders bolstered a revival in production growth for January, delivering the sector's second gain in the last 11 months. The 12-month outlook also improved, reaching its highest level since May 2022, as manufacturers projected growth driven by new product lines, diversification, and greater capacity. However, inflationary pressures persisted, likely due to a weak exchange rate and increased metals prices.