South Korea's retail sector experienced a deeper contraction in April 2025, with sales plunging to -0.9% from the -0.3% decline recorded in March, according to the latest data updated on May 29, 2025. This marks an increasing sluggishness in the consumer segment as the country grapples with subdued demand and economic uncertainty.
The month-over-month comparison indicates a further deterioration in consumer spending habits, as the previous March figures already showcased a struggle in retail sales with a drop of 0.3%. Analysts are now closely observing consumer behavior, seeking insights into whether these declines signal a temporary downturn or if they hint at longer-term challenges for the retail market.
As domestic and global economic pressures weigh on consumer confidence, policymakers and businesses alike are eager to understand the underlying factors contributing to this slowdown. Addressing these issues will be critical for fostering a recovery in retail sales and ensuring sustained economic growth for South Korea in the coming months.
