Following the first quarter, the nationwide gross regional domestic product (GRDP) growth rate stayed in the 0% range in the second quarter due to a slump in the construction sector. In particular, the Honam region posted -2.0% because of weak construction, marking the steepest contraction among the five regions, while only the capital region and the Daegyeong region recorded positive growth.
According to the "real gross regional domestic product (GRDP) for the second quarter of 2025" released by Statistics Korea on the 26th, the nationwide GRDP in the second quarter rose 0.4% from a year earlier. By region, the capital region increased 1.6%, and the Daegyeong region grew 0.1%.
In the capital region, services (1.8%) and mining and manufacturing (4.5%) rose, offsetting the slump in construction (-9.5%). The Daegyeong region also saw weak services (-0.3%) and construction (-18.5%), but increases in mining and manufacturing (4.4%) and agriculture, forestry and fisheries (0.7%) kept it at the previous year's level.
By contrast, the Honam, Dongnam, and Chungcheong regions recorded negative growth. In the Honam region, construction (-15.6%) and mining and manufacturing (-1.5%) both weakened, pulling the overall growth rate down to -2.0%. The Dongnam and Chungcheong regions also saw construction fall by around 8%, posting growth rates of -1.0% and -0.4%, respectively.
By city and province, five regions saw year-over-year GRDP increases in the second quarter: North Chungcheong (5.8%), Gyeonggi (2.7%), North Gyeongsang (1.9%), Seoul (1.2%), and Busan (0.7%).
In particular, North Chungcheong saw a sharp rise in mining and manufacturing as production of electrical equipment and semiconductors and electronic components increased, while Gyeonggi benefited from strength in automobiles in addition to semiconductors and electronic components. In North Gyeongsang, mining and manufacturing increased, led by electronic components and fabricated metal products. Seoul and Busan saw growth in services.
By contrast, 12 cities and provinces declined: Daegu (-3.2%), South Chungcheong (-3.9%), Jeju (-3.7%), South Jeolla (-3.2%), Incheon (-1.6%), South Gyeongsang (-2.2%), Ulsan (-1.0%), Gwangju (-0.9%), Gangwon (-0.5%), North Jeolla (-0.9%), Daejeon (-0.6%), and Sejong (-0.3%).