South Korea says economic recovery unstable, cites auto strikes

[SEOUL] South Korea's overall economy recovery is unstable as exports and production remain sluggish, mainly because of recent strikes, notably at Hyundai Motor Co the finance ministry said on Tuesday.

Domestic consumption had been growing modestly, the ministry said in its monthly assessment of the economy, but further strikes could hold back Asia's fourth-largest economy as it struggles to expand.

The ministry added the economy faced uncertainties such as the pending rate hike in the US and a new anti-graft law at home that bans public servants, teachers and journalists from receiving gifts and meals exceeding set values.

REUTERS