Export Volume Index Rises for 9 Consecutive Months, Terms of Trade Down 4.3% YoY

Announcement of 'May 2021 Trade Index and Terms of Trade' on the 25th

[Image source=Yonhap News]

[Asia Economy Reporter Jang Sehee] South Korea's export volume index has risen for nine consecutive months due to strong exports of automobiles and semiconductors. However, the net barter terms of trade index fell by 4.3% compared to the same month last year.

According to the "May 2021 Trade Index and Terms of Trade" released by the Bank of Korea on the 25th, the export volume index in May this year was 115.78, up 22.9% from the same month last year, marking the ninth consecutive month of increase. This was due to increases in transport equipment (112.1%) and computers, electronic and optical equipment (14.4%).

The export value index in dollar terms (122.50) also rose 49.1% year-on-year, driven by increases in chemical products (60.5%) and computers, electronic and optical equipment (26.1%).

The import volume index in May (120.37) rose 9.8% year-on-year despite a decrease in mining products (-2.4%), due to increases in computers, electronic and optical equipment (16.5%). This marks nine consecutive months of growth.

The import value index in dollar terms (133.39) increased 39.2% year-on-year, led by mining products (73.0%) and computers, electronic and optical equipment (20.4%).

The net barter terms of trade index in May fell 4.3% year-on-year as import prices (26.7%) rose more than export prices (21.3%). The income terms of trade index rose 17.6% year-on-year, as the export volume index (22.9%) increased despite the decline in the net barter terms of trade index (-4.3%).