South Korea’s exports continued their upward trend in February, marking the fifth consecutive month of growth. The country’s outbound shipments totaled US$52.4 billion, a 4.8 percent increase compared to the same period last year, according to data from the Ministry of Trade, Industry and Energy.
The rise in exports was largely driven by the semiconductor sector, with chip exports jumping 66.7 percent year-on-year to $9.94 billion. This marked the fourth consecutive month of growth for chip exports, driven by increased investment in the artificial intelligence sector and higher shipments to key production hubs like China and Vietnam.
Shipments of ships also saw a significant increase, rising 27.2 percent to $1.98 billion, fueled by demand for container and liquefied natural gas carriers. Similarly, exports of display products grew 20.2 percent to $1.34 billion, following the release of new organic light-emitting diode TVs and tablets.
However, not all sectors saw growth. Exports of automobiles fell 7.8 percent to $5.15 billion, attributed to reduced production following the Lunar New Year holiday. Petrochemical product exports also declined 3.1 percent to $3.93 billion, due to weaker demand from China and falling global prices.
Despite a 2.4 percent decline in exports to China, South Korea reported its first trade surplus with its top trading partner since September 2022. Meanwhile, exports to the United States increased by 9 percent to $9.8 billion, extending year-on-year gains for seven consecutive months.
Industry Minister Ahn Duk-geun noted that February’s export growth was particularly noteworthy given challenges like the Lunar New Year holiday. The country’s daily average exports in February amounted to $2.56 billion, up 12.5 percent from the previous year.
South Korea’s exports are a crucial driver of economic growth, and the rebound in exports since October 2023 has been a positive sign. The government has set this year’s export target at $700 billion, aiming to sustain and build on this momentum.
(Source: Bloomberg | Yonhap News | Reuters)
