Foreign direct investment (FDI) in South Korea by international companies surged 82.9% year-on-year to a record $7.14 billion in the first quarter of 2026, up from $3.9 billion in the same period a year earlier, data from the Ministry of Trade, Industry & Energy showed on Friday.
New FDI commitments in Q1 edged up 0.1% from a year earlier to $6.41 billion, the second-highest level ever recorded for a first quarter, according to Yonhap News Agency.
By industry, FDI pledges in the service sector climbed 21.5% year-on-year to $4.33 billion through March, supported by strong demand in finance, retail, and telecommunications. In contrast, investment pledges in the manufacturing sector plunged 47.6% to $1.24 billion.
By country, new investment pledges from the United States increased 20.9% to $1 billion. FDI commitments from the European Union declined 4.1% to $1.43 billion, while those from Japan and China dropped 71.1% and 19.4%, respectively.
For all of 2025, South Korea attracted a record-high $36 billion in total FDI pledges.
