According to the South Korean data information service, Statistics Korea, in January manufacturing output increased by 13.7% year on year, and by 4.6% month on month, the biggest monthly gain since March 2009. The manufacturing operation ratio averaged 84.8 in January, compared with 82.1 in the previous month, and it was the highest ratio on record. Automotive output climbed by 16.8% month on month and 28% year on year in January as export demand continued to grow amid the ongoing recovery in the global car market. The solid year-on-year growth rates are all the more remarkable as manufacturing growth was so strong in January 2010.

Meanwhile, the job market retained the same positive tone that prevailed throughout 2010, with 331,000 jobs being added to the economy over the 12 months to January. Manufacturing continued to lead job growth, with 224,000 manufacturing jobs being added. Manufacturing job growth (when compared with year-earlier levels) has now topped 200,000 for seven consecutive months. The non-seasonally adjusted unemployment rate nevertheless rose to 3.8% in January from 3.5% in December, although it was lower than the 5% that was recorded in January 2010. With support from the steady job market recovery, consumer spending grew at a healthy pace throughout 2010. Statistics Korea's data indicate that retail sales increased by 4.3% year on year in December, and by 6.7% for 2010 as a whole, compared with a 2.6% rise in 2009. Department store sales, a major barometer of consumer sentiment, surged by 10.2% in December and by 9.7% for 2010 as a whole, nearly three times the 3.3% increase in 2009.