Red light blinking for auto, electronics exporters
By Kim Yoo-chul Major Korean exporters are nervous after the downgrade of the United States credit rating by Standard & Poor’s (S&P) has stoked fears that the world’s biggest consumer market is falling back into recession. More seriously, the continued debt-crisis in Europe, which is another critical area for almost all Korean exporters, has been forcing them to immediately apply contingency plans to secure their bottom lines. ``The downgrade and threats of subsequent moves by S&P and other credit rating agencies has raised uncertainty about the credibility of the United States in the global economy because consumers and investors worry about another recession,’’ said a high-ranking Samsung executive, Tuesday, Consumer sentiment for goods such as cars, electronic devices as well as business-to-business (B2B) products could slow, proving the biggest blow to Koreans. Revenue for most of South Korean exporters usually peaks in the latter half of a year because consumers buy new consumer goods or upgrade thanks to good price offerings from manufacturers to lower inventorie