South Korea's Q1 2026 GDP grew 3.6% YoY, surpassing the 2.7% forecast, the strongest since Q3 2020.
Quarter-on-quarter growth accelerated to 1.7%, beating expectations of 0.9%, driven primarily by semiconductor export surge.
Private consumption rose only 0.5% and services/transport lagged, highlighting uneven domestic demand despite export strength.
Analysts warn future headwinds from AI‑dependent chip demand volatility and potential energy/shipping disruptions linked to the Iran war.