Fashion pulse: South Korea - August 2026

Consumer prices (August)

Clothing and footwear prices in South Korea rose 2.8 percent year-on-year in August 2026, according to the Ministry of Data and Statistics (formerly Statistics Korea), the same rate as in July. Headline consumer price inflation rose to 3.1 percent from 2.8 percent, above the Bank of Korea's (BOK) 2 percent target, so clothing and footwear inflation ran 0.3 percentage points below the headline rate. On the month, clothing and footwear prices were unchanged, while the overall index rose 0.2 percent.

Within the category, clothing prices rose 2.9 percent YoY, with womenswear up 3.8 percent and menswear up 0.7 percent, according to BOK data drawn from the ministry's CPI. Footwear prices rose 2.1 percent. Communication prices were 16.6 percent higher than a year earlier, after a 13.3 percent monthly fall in August 2025, while transport prices rose 7.2 percent.

Retail sales (August, preliminary)

The volume of clothing retail sales rose 0.1 percent YoY in August, down from 0.8 percent in July, while the value of clothing sales rose 2.6 percent, according to preliminary ministry data published in the BOK's ECOS database. On a seasonally adjusted basis, clothing sales volume rose 1.4 percent from July. Sales volume at clothing, footwear and luggage stores fell 1.4 percent YoY.

Total retail sales volume fell 0.3 percent YoY in August and 1.8 percent from July on a seasonally adjusted basis, according to preliminary ministry data. Online sales of clothing fell 4.4 percent YoY in value to 1.33 trillion won in August, while the value of total online shopping rose 7.3 percent, according to preliminary ministry data.

Consumer sentiment (August)

The BOK's Composite Consumer Sentiment Index fell to 104.5 in August from 106.8 in July, compared with 111.2 in August 2025, remaining above the long-term average of 100. The survey's sub-index for planned spending on clothing eased to 96 from 97, below the 100 threshold that separates planned increases from planned cuts.

Monetary policy and currency (August)

The BOK raised its Base Rate by 25 basis points to 3.00 percent on 27 August, following a rise to 2.75 percent in July, with six of the seven Monetary Policy Board members in favour. The dollar averaged 1,406.30 won in August, down from 1,497.43 won in July, according to BOK data, a 6.5 percent rise in the value of the won. Compared with August 2025, when the dollar averaged 1,389.66 won, the won was 1.2 percent weaker.

The bottom line

South Korean clothing and footwear prices rose 2.8 percent YoY in August, 0.3 percentage points below headline inflation of 3.1 percent. Preliminary data show clothing sales volume virtually unchanged from a year earlier and online clothing sales down 4.4 percent in value, while consumer sentiment and planned clothing spending both weakened. The BOK raised its Base Rate to 3.00 percent, and the won strengthened 6.5 percent against the dollar from July.

Note: this article combines the most recent official data available at the time of writing. Reporting lags differ by indicator and country, so not all figures refer to the same month. Each data point is labelled with its reference period.