Export Decline in January Inevitable During Seol Holiday... Government Announces "Emergency Export Measures Next Month"

Exports Down 5.1% by January 20
Four Fewer Working Days Compared to Last Year
Emergency Export Measures and Trade Finance Support Planned

There are concerns that January export performance will continue to decline due to a shortage of working days caused by the Lunar New Year holiday. The government plans to prepare and implement emergency export measures next month, including the expansion of trade finance.

According to the Korea Customs Service on the 30th, export value from the 1st to the 20th of this month was $31.6 billion, down 5.1% compared to the same period last year.

The decline in exports is due to fewer working days. As of the 20th of this month, the number of working days was 14.5, one day less than the 15.5 days in the same period last year. Considering this, the average daily export value increased by 1.4% to $2.18 billion.

Cargo is stacked on a container ship docked at Busan Port. Photo by Jinhyung Kang aymsdream@

Monthly export performance for January is also expected to show a decline due to the shortage of working days. An official from the Ministry of Trade, Industry and Energy said, "This January, unlike last year (February 9-12), the Lunar New Year holiday falls in January, and the holiday period, including the temporary holiday on January 27, lasts for a total of six days, resulting in a significant decrease of four working days compared to the same month last year. Additionally, reduced import demand due to holidays in major Asian trading partners such as China’s Spring Festival (January 28 - February 4) and Vietnam’s Tet (January 25 - February 2) will cause a temporary slowdown in January exports."

Recent exports have shown continuous growth for 15 consecutive months from October 2023 to December last year, but if exports record a negative growth this January, it will be the first decline in 16 months.

The government expects export conditions to be difficult in the first half of this year and plans to support the largest-ever trade insurance while preparing additional emergency export measures at the whole-government level in February this year.

On the 8th, the Ministry of Trade, Industry and Energy announced in the '2025 Major Business Promotion Plan' that it will support trade insurance worth 252 trillion won, the largest ever. The additional measures are expected to include plans to expand trade finance. An official from the ministry said, "We believe additional trade finance measures are necessary in the short term to reduce shocks. Once the additional measures are implemented, a stable export foundation can be established in the second half of the year."