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More than half of Korean firms anticipate challenging 2026: Poll

Published: 22 Dec. 2025, 09:44 Updated: 22 Dec. 2025, 14:09

Containers are piled up at a port in Pyeongtaek, Gyeonggi on Nov. 6. [NEWS1]

More than half of Korean companies anticipate the business environment in 2026 will be challenging, due mainly to sluggish domestic demand and a weak Korean won, a poll showed Monday.

According to the poll conducted on the top 1,000 businesses by revenue, 52 percent of those that responded expected a challenging business environment next year, while 44.7 percent anticipated conditions to be favorable, according to the Federation of Korean Industries (FKI).

When asked about the most concerning internal business risks for 2026, 32.2 percent cited slowing domestic demand, while 21.6 percent pointed to lingering inflation.

Regarding external risks, 26.7 percent cited volatility in the foreign exchange market, with 24.9 percent expressing concerns over global protectionism and trade barriers.

To address such issues, 18.9 percent of respondents said the government needs to ease business regulations, while 17.8 percent stressed the need to revitalize domestic consumption.

Another 16.9 percent said the government needs to address uncertainties in global trade.

"Due to unstable external conditions and a delay in the recovery of domestic demand, companies are feeling a sense of burden over next year's business outlook," said Lee Sang-ho, who heads the FKI's research department.

"The government needs to proactively innovate regulations and promptly implement measures to revitalize domestic demand and exports while supporting shipments of cutting-edge and new industries."

Yonhap