S Korea factory activity grows for 14th month but output, orders shrink

Output continued to shrink on shortages of materials, notably in the semiconductors market.

South Korea's factory activity expanded further in November, though output shrank for a second straight month, signalling that Asia's fourth-largest economy is struggling to fully regain momentum in the face of persistent supply chain disruptions.

The IHS Markit purchasing managers' index (PMI) for November edged up to 50.9 from 50.2 in October, and managed to hold above the 50-mark threshold that indicates expansion in activity, for a 14th straight month.

"Despite the headline PMI rising slightly in November, this masked a second successive contraction in output levels, while new order growth broadly stagnated as supply shortages hit demand," said Usamah Bhatti, economist