Exports Up 9.8% from 1st to 20th This Month... "Impact of Increased Working Days"

Korea Customs Service, Export-Import Trends from September 1 to 20
Semiconductors Down 14.1% · Cars Up 49.1%

Exports increased by nearly 10% through the 20th of this month, marking an upward trend for the first time in three months. This was due to an increase in the number of working days.

According to the 'Export and Import Status from September 1 to 20' announced by the Korea Customs Service on the 21st, export value reached $36 billion, up 9.8% compared to the same period last year. This is the first time in three months since June (5.2%) that exports increased during the period from the 1st to the 20th.

The export growth this month was largely influenced by the increased number of working days. The number of working days from September 1 to 20 was 15.5 days, 2.5 days more than the same period last year. Considering this, the average daily export value was $2.32 billion, a decrease of 7.9%.

Among the top 10 major items, exports increased in six categories except for semiconductors (-14.1%), petroleum products (-11.4%), precision instruments (-2.5%), and computer peripherals (-30.3%). Automobiles and ships led the export growth with increases of 49.1% and 73.9%, respectively. Exports of steel products (25.3%), automobile parts (16.5%), and home appliances (36.0%) also rose.

By country, exports to China (-9.0%), Taiwan (-7.3%), Singapore (-33.1%), and Malaysia (-17.0%) decreased. On the other hand, exports increased to six of the top 10 major countries, including the United States (30.5%), the European Union (EU, up 32.7%), Vietnam (14.3%), and Japan (12.2%).

Imports also showed a moderated decline. From the 1st to the 20th of this month, import value was $36.4 billion, down 1.5% compared to the same period last year. The import decline rate for the same period in the previous month (August 1 to 20) was 27.9%.

By item, imports of crude oil (3.0%) and petroleum products (29.9%) increased, while imports of semiconductors (-7.0%) decreased. By country, imports from China (9.0%) and the EU (29.3%) increased, whereas imports from the United States (-12.6%) and Japan (-5.6%) decreased.

The trade balance recorded a deficit of $489 million, significantly narrowing the deficit compared to the same period last month ($3.57 billion).

The government expects exports to turn positive starting from the fourth quarter of this year. On the 2nd, Kim Wanki, Director of Trade and Investment at the Ministry of Trade, Industry and Energy, explained the August export and import performance, stating, "In addition to automobiles and ships, displays and home appliances are also showing signs of recovery, and this trend is expected to continue next month and through the fourth quarter of this year." He added, "There will be months with positive export growth in the fourth quarter, and this upward trend is expected to continue thereafter."