S. Korean manufacturers bullish on Q1 business: survey

By Nam Kwang-sik
SEOUL, Nov. 26 (Yonhap) -- Most South Korean manufacturers predict their business
will be strong in the first quarter of next year because of an anticipated
increase in demand, exports and facility investment, a survey showed Thursday.
The survey of 1,564 companies conducted in early November by the Korea Chamber
and Commerce Industry (KCCI) revealed the business survey index at 114 for the
January-March period, up from 112 for the fourth quarter, marking the third
straight quarterly rise.
A reading above 100 means optimists outnumbered pessimists. The index has been
above 100 since the third quarter of this year.
According to the findings, 40.6 percent of companies expect their business in the
first quarter will improve over the previous quarter, with 26.7 percent
predicting their business will worsen.
Automakers and steelmakers forecast their business will continue to remain
bullish in the first quarter, while shipbuilders were more glum in their outlook.
The respondents cited increasing raw material prices as the most threatening factor.
"The companies' expectations of an economic recovery are growing, but it will
take a while for the global economy to get back on its feet," KCCI said.
ksnam@yna.co.kr
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