Government: "Export Growth and Surplus Will Continue in March"

Ministry of Trade, Industry and Energy, 3rd Item Manager Meeting

The government forecasted on the 19th that the export growth trend and trade surplus will continue this month as well.

The Ministry of Trade, Industry and Energy held the 3rd Export Item Officers Meeting at the Government Complex Sejong, chaired by First Vice Minister Kang Kyung-sung, to review export conditions by major items and discuss measures to expand exports.

Export containers are being loaded onto a ship at Busan North Port. Photo by Jinhyung Kang aymsdream@

Exports recorded $107.2 billion in total for January and February this year, an 11.2% increase, continuing a positive trend for five consecutive months. By item, semiconductor exports increased by 61.4%, showing a significant improvement expected due to the recovery in demand from IT front industries (servers, mobile, PC) and the expansion of demand for high value-added products such as HBM. Automobile exports, which recorded a historic high performance last year ($70.9 billion, 31.1%), also achieved a record $11.4 billion in January and February this year, marking the highest performance for the same period. The favorable trend that has continued since last year, centered on the United States, is expected to persist this year as well.

General machinery exports reached $8.9 billion in January and February this year, setting a record high for the same period. The Ministry of Trade, Industry and Energy expects the growth trend to continue, centered on major markets such as the United States (manufacturing investment boom) and the Middle East (Neom City). Ship exports also increased by 50.9% through February this year, and the ministry anticipates the growth trend to continue as ships ordered at high prices since 2021 are being delivered in earnest this year.

Vice Minister Kang said, "With the export boom centered on key items such as semiconductors and other IT products, the export growth and surplus trend will continue in March as well," adding, "Among the three engines of our economy?consumption, investment, and exports?exports are showing a clear rebound, making it a key driver of our economic growth this year."

The government has decided to make every effort to maintain the export growth trend. It plans to promote customized support to achieve export targets for key items such as semiconductors exceeding $120 billion and automobiles at $75 billion, and to expand economic territory to 90% of the global GDP (currently 85%) through trade cooperation such as building cooperation belts with Global South countries (Middle East, Latin America, ASEAN, India, Africa, etc.) and free trade agreements (FTA) with the Gulf Cooperation Council (GCC).

The government will also support the largest-ever trade finance of 360 trillion won. In particular, it plans to prepare an ‘Expanded Trade Insurance Support Plan’ to systematically assist financial difficulties faced by small and medium-sized export companies, which will be announced at the ‘Public-Private Joint Export Expansion Measures Meeting’ scheduled for this month.