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European Chambers Release Business Confidence Survey 2024/25 Results
The European Chamber of Commerce in Korea (ECCK), the Korean-German Chamber of Commerce and Industry (KGCCI), and nine other European chambers of commerce have released the results of the annual “2024/25 Business Confidence Survey”. Conducted from January 22 to February 14, 2025, the survey garnered responses from 139 CEOs of European companies operating in Korea.
The survey reveals a decline in business confidence among European companies in Korea. The percentage of companies satisfied with their business performance has steadily decreased from 68% in 2022 to 58% in 2023 and 45% in 2024.
This trend is also reflected in revenue performance. In 2024, only 27% of companies achieved a year-on-year EBIT (Earnings Before Interest and Taxes) growth of over 5%, a drop from 42% in 2023 and 54% in 2022. Market share trends indicated a highly competitive business environment—62% of companies reported no change in their market share in 2024, while only 24% experienced growth, down from 38% in 2023 and 53% in 2022.
Looking ahead, the business outlook for the next two years remains mixed. While most companies anticipate modest revenue growth, there is a noticeable decline in the perception of Korea’s importance in global strategy. Only 36% of respondents expect Korea’s significance to increase, a drop from 53% in 2023 and 59% in 2022.
Despite ongoing challenges, European companies continue to seek growth and investment opportunities in Korea. More than half of the companies surveyed plan to invest in employment this year, with 22% allocating investment to facilities and 12% to research and development (R&D). The majority (64%) maintained the same level of full-time positions in 2024, while 27% expanded their workforce, and only 9% reduced headcount. Looking ahead to the next two years, 43% of respondents intend to maintain their current workforce, while 44% plan to expand.
The employee turnover rate among European companies in Korea remained relatively low. 61% of companies reported a turnover rate below 10%, while 22% reported a turnover rate between 10% and 20%. In terms of wages, 55% of companies increased salaries, whereas 43% kept them at the same level. Looking ahead to 2025, 54% expect salaries to remain unchanged, while 42% plan to increase wages. Moreover, companies are making efforts to enhance employee retention and job satisfaction by implementing policies such as encouraging the use of paid leave, flexible work arrangements, and remote work options.
The most pressing challenge for European companies operating in Korea remains regulatory and legislative issues, including inconsistent enforcement of regulations and the economic slowdown in key industries. However, Korea continues to be seen as an attractive market, with relatively high ratings for areas such as customs, tax procedures, and openness to foreign goods and services.
The ongoing implementation of free trade agreements (FTAs) continues to lower trade barriers, creating more opportunities for both Europe and Korea. Alongside green growth initiatives, cooperation in sectors such as biotechnology and digital industries is expanding. While there are concerns over current economic uncertainties, as Korea continues to adapt to global trends, European companies strategically navigating the evolving landscape can still find meaningful opportunities for success.
The results of the Business Confidence Survey 2024/25 can be found on ECCK website HERE.
Please download the Business Confidence Survey 2023/24 HERE
The list of participating Chambers includes:
ECCK
(European Chamber of Commerce)
KGCCI
(Korean-German Chamber of Commerce and Industry)
BCCK
(British Chamber of Commerce in Korea)
DBCK
(Dutch Business Council Korea)
FINNCHAM
(Finland Chamber of Commerce and Industry in Korea)
European Chambers Release Business Confidence Survey 2024/25 Results
The European Chamber of Commerce in Korea (ECCK), the Korean-German Chamber of Commerce and Industry (KGCCI), and nine other European chambers of commerce have released the results of the annual “2024/25 Business Confidence Survey”. Conducted from January 22 to February 14, 2025, the survey garnered responses from 139 CEOs of European companies operating in Korea.
The survey reveals a decline in business confidence among European companies in Korea. The percentage of companies satisfied with their business performance has steadily decreased from 68% in 2022 to 58% in 2023 and 45% in 2024.
This trend is also reflected in revenue performance. In 2024, only 27% of companies achieved a year-on-year EBIT (Earnings Before Interest and Taxes) growth of over 5%, a drop from 42% in 2023 and 54% in 2022. Market share trends indicated a highly competitive business environment—62% of companies reported no change in their market share in 2024, while only 24% experienced growth, down from 38% in 2023 and 53% in 2022.
Looking ahead, the business outlook for the next two years remains mixed. While most companies anticipate modest revenue growth, there is a noticeable decline in the perception of Korea’s importance in global strategy. Only 36% of respondents expect Korea’s significance to increase, a drop from 53% in 2023 and 59% in 2022.
Despite ongoing challenges, European companies continue to seek growth and investment opportunities in Korea. More than half of the companies surveyed plan to invest in employment this year, with 22% allocating investment to facilities and 12% to research and development (R&D). The majority (64%) maintained the same level of full-time positions in 2024, while 27% expanded their workforce, and only 9% reduced headcount. Looking ahead to the next two years, 43% of respondents intend to maintain their current workforce, while 44% plan to expand.
The employee turnover rate among European companies in Korea remained relatively low. 61% of companies reported a turnover rate below 10%, while 22% reported a turnover rate between 10% and 20%. In terms of wages, 55% of companies increased salaries, whereas 43% kept them at the same level. Looking ahead to 2025, 54% expect salaries to remain unchanged, while 42% plan to increase wages. Moreover, companies are making efforts to enhance employee retention and job satisfaction by implementing policies such as encouraging the use of paid leave, flexible work arrangements, and remote work options.
The most pressing challenge for European companies operating in Korea remains regulatory and legislative issues, including inconsistent enforcement of regulations and the economic slowdown in key industries. However, Korea continues to be seen as an attractive market, with relatively high ratings for areas such as customs, tax procedures, and openness to foreign goods and services.
The ongoing implementation of free trade agreements (FTAs) continues to lower trade barriers, creating more opportunities for both Europe and Korea. Alongside green growth initiatives, cooperation in sectors such as biotechnology and digital industries is expanding. While there are concerns over current economic uncertainties, as Korea continues to adapt to global trends, European companies strategically navigating the evolving landscape can still find meaningful opportunities for success.
The results of the Business Confidence Survey 2024/25 can be found on ECCK website HERE.
Please download the Business Confidence Survey 2023/24 HERE
(European Chamber of Commerce)
(Korean-German Chamber of Commerce and Industry)
(British Chamber of Commerce in Korea)
(Dutch Business Council Korea)
(Finland Chamber of Commerce and Industry in Korea)
(Italian Chamber of Commerce in Korea)
(Norwegian Business Association, Kora)
(Spanish Chamber of Commerce in Korea)
(Swedish Chamber of Commerce in Korea)
(Swiss-Korean Business Council)
(Turkish Chamber of Commerce in Korea)