Bank of Korea 'March 2021 Trade Index and Terms of Trade'
[Asia Economy Reporter Kim Eun-byeol] The export-import volume index in March continued its upward trend for the seventh consecutive month. The import volume and value indices recorded all-time highs due to the global economic recovery.
According to the "March 2021 Trade Index and Terms of Trade" released by the Bank of Korea on the 29th, the export volume index stood at 126.27 (2015=100), up 3.5% compared to the same month last year. Although coal and petroleum products (-26.7%) and primary metal products (-4.3%) decreased, chemical products (10.0%) and transportation equipment (11.8%) increased.
The export value index (126.93) rose 15.0% year-on-year, showing an upward trend for five consecutive months, driven by increases in chemical products, computers, electronics, and optical devices. The semiconductor export volume index increased by 11.2%, and the value rose by 7.1%.
The March import volume index also rose 11.0% year-on-year to 128.50, continuing the upward trend for seven months. Although coal and petroleum products (-4.8%) decreased, the demand for computers and increased semiconductor facility investment led to increases in computers, electronics, and optical devices (14.7%) as well as machinery and equipment (20.7%).
The import value index recorded 138.56, rising 19.0% year-on-year for four consecutive months due to increases in computers, electronics, optical devices, and primary metal products. Both the import volume and value indices recorded all-time highs since the index was first compiled in 1988.
A Bank of Korea official explained, "As the economy expands, the scale of export-import trade increases. Last year, trade volume declined due to COVID-19 and the global economic downturn, but recently, rapid recovery has led to significant increases in both global import volume and value."
The March net barter terms of trade index rose 3.6% year-on-year as export prices (11.1%) increased more than import prices (7.2%). This marks 12 consecutive months of increase. Compared to the previous month, it fell by 1.6%. The net barter terms of trade index measures the quantity of goods that can be imported per unit of export revenue. The March income terms of trade index rose 7.2% year-on-year, with the export volume index up 3.5% and the net barter terms of trade index up 3.6%.
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