Consumer sentiment dips for 2nd month amid tariff woes: BOK

U.S. President Donald Trump/ EPA-Yonhap

Korea's consumer sentiment fell for the second consecutive month in October amid concerns over prolonged negotiations with the United States on its new tariff scheme and renewed tensions in Sino-U.S. trade relations, the central bank said Tuesday.

The composite consumer sentiment index (CCSI) came to 109.8 this month, down 0.3 point from September, according to a survey by the Bank of Korea (BOK).

A reading above 100 indicates that optimists outnumber pessimists, while a figure below 100 means the opposite.

"The decline was mainly attributable to trade-related uncertainties, including the prolonged tariff talks with the U.S. and renewed tensions in U.S.-China trade relations," a BOK official said.

The index had risen for five straight months through August amid solid exports and optimism over the government's supplementary budget. But it dropped 1.3 points in September as concerns mounted over a slowdown in exports caused by new U.S. tariff measures and a slump in the construction sector.

In July, South Korea and the U.S. reached a framework agreement under which Washington would impose a 15 percent tariff on South Korean goods, rather than the initially threatened 25 percent, while Seoul would establish a $350 billion fund for investments in the U.S.

But no formal agreement has been finalized, and negotiations over the details are still under way.