Trade Deficit of $4.97 Billion from February 1-10... Semiconductor Exports Slow for 7 Consecutive Months (Update)

[Asia Economy Sejong=Reporter Dongwoo Lee] Exports have increased by nearly 12% compared to the same period last year as of the 10th of this month.

According to the Korea Customs Service on the 13th, the export value (provisional customs clearance basis) from February 1 to 10 was $17.617 billion, up 11.9% from the same period last year, while imports amounted to $22.588 billion, an increase of 16.9%.

The number of working days during this period was 8.5 days, two days more than the 6.5 days in the same period last year. Considering the number of working days, the average daily export value decreased by 14.5%.

Exports turned to an upward trend for the first time in five months since October last year. Although both exports and imports increased, the larger increase in imports resulted in a trade deficit of $4.97 billion as of the 10th of this month, continuing for the 12th consecutive month.

The cumulative annual export value this year is $63.9 billion, and imports are $81.5 billion. Compared to the same period last year, exports decreased by 10.3%, while imports increased by 2.0%. The annual trade balance recorded a deficit of $17.622 billion. Last month's trade deficit was $12.689 billion, marking the largest monthly deficit on record.

As of the 10th of this month, export items such as petroleum products (28.8%), passenger cars (166.8%), ships (3.9%), and automobile parts (41.7%) increased, while semiconductors (-40.7%) and wireless communication devices (-8.3%) decreased. In particular, semiconductor exports have declined for seven consecutive months compared to the same period last year, starting from August last year (-7.8%) through the 10th of this month. By region, exports to the United States (48.0%), the European Union (53.3%), and Vietnam (2.3%) increased, while exports to China (-13.4%) and Taiwan (-22.8%) decreased.

Imports increased compared to the same period last year for crude oil (44.9%), gas (86.6%), and semiconductors (3.4%), while semiconductor manufacturing equipment (-19.1%) and precision instruments (-8.7%) decreased. Imports from the United States (31.9%), the European Union (14.1%), and Saudi Arabia (30.3%) increased, while imports from China (-10.3%) and Japan (-3.9%) decreased.

[Image source=Yonhap News]