South Korea FDI Jumps 82.9% in Q1

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Foreign direct investment (FDI) by international companies in South Korea surged 82.9% from a year earlier to a record $7.14 billion in Q1 2026, up from $3.9 billion recorded during the January–March period of last year, data from the Ministry of Trade, Industry & Resources showed on Friday. New FDI commitments edged up 0.1% year-on-year to $6.41 billion, marking the second-highest figure for a first quarter, as Yonhap News Agency reported. By industry, FDI pledges in the service sector rose 21.5% year-on-year to $4.33 billion through March, driven by robust demand in finance, retail, and communications, while those in the manufacturing sector plunged 47.6% to $1.24 billion. By country, fresh investment pledges from the U.S. increased 20.9% to $1 billion. In contrast, FDI pledges from the EU fell 4.1% to $1.43 billion, while those from Japan and China slumped 71.1% and 19.4%, respectively. South Korea received a record-high combined $36 billion in FDI pledges in 2025.

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