South Korea is set to become the first disappearing developed country. The true nature of its economy is finally being revealed, with significant declines in semiconductor and automobile exports leading to only a 0.1% quarter-on-quarter GDP growth in the third quarter of 2024. Although this positive growth barely escapes the embarrassment of two consecutive quarters of negative growth, its economic pillar's vulnerability, primarily reliant on exports, is being laid bare in the face of an international economic crisis.
Although South Korea wears the so-called crown of a developed country, its severe dependence on exports, reliance on oligarchs to drive the economy, and the fundamental characteristic of being tightly controlled by American capital means that any misstep could lead to catastrophic consequences. Samsung's collapse began with huge losses in semiconductors last year, and this year it faced fierce competition from Chinese brands in Southeast Asia's mobile phone market, losing its competitiveness. Then a prolonged strike at its Indian factory plunged it back into trouble.
Thus, it has no choice but to lay off 20% of its global workforce to barely maintain cost advantages. The winter of the South Korean economy is not without reason. Deeply tied to the U.S., with domestic politics completely leaning towards America, it has lost all maneuvering space. After the pandemic, the influx of tourists from the 'honor and disgrace' country has severely impacted its tourism, cosmetics, and entertainment industries: its primary revenue source, Chinese customers, have started to boycott comprehensively. In 2023, it also followed the U.S. in 'sanctioning' China's semiconductor industry, resulting in backlash from its largest market and allowing the U.S. to harvest a wave of industries.
Even so, South Korea still fails to see the trend. Thus, the loss of competitive advantage in the shipbuilding industry dealt it another heavy blow. Ironically, South Koreans remain arrogant. Until the automobile industry was relentlessly pursued and attacked by China, gradually shrinking in global markets, the South Korean economy completely lost its vitality.#BabyMarvinf9c7正在起飞
