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By Kang Yoon-seung
SEJONG, Nov. 1 (Yonhap) — After 13 months of decline, South Korea’s exports rose 5.1 percent year-on-year to reach $55 billion in October, driven by strong automobile shipments and improved performance in the chip sector, according to data from the Ministry of Trade, Industry and Energy.
The country also logged a trade surplus of $1.64 billion for the fifth consecutive month.
Imports dropped 9.7 percent to $53.4 billion, with automobiles leading the way in export growth with a 19.8 percent increase to $5.88 billion. This marks 16 months of year-on-year growth, driven by strong demand from North America and Europe for SUVs and eco-friendly models.
Exports of petroleum products and ships also increased, by 18 percent to $5.26 billion and more than doubling to $2.83 billion, respectively. Meanwhile, exports of semiconductors, the backbone of the South Korean economy, decreased 3.1 percent to $8.94 billion, but the decline was the slowest since August 2022.
Exports to the United States rose 17.3 percent to $10.1 billion, the highest for any October, due to strong demand for cars, machinery products and mobile devices. Exports to China, the top trading partner, fell 9.5 percent to $11 billion, with steel products and display panels performing poorly.
South Korea’s exports to the European Union also declined 10.7 percent to $5 billion, due to weaker demand for steel and machinery.
Industry Minister Bang Moon-kyu said that despite “challenging external conditions, including high borrowing costs, the U.S.-China tension, the Israel-Hamas conflict and high oil prices,” exports have increased and maintained a trade surplus.
Bang added that the government will continue to make efforts to prevent other potential risks, including China’s export control of graphite, from having an adverse impact on South Korea’s outbound shipments.
Exports had been posting an on-year decrease since October 2022 through September due to aggressive monetary tightening by the United States and other major economies to bring inflation under control and a global economic slowdown.
Containers for exports and imports are stacked at a pier in the southern port city of Busan in this file photo taken on Oct. 11, 2023. (Yonhap)
colin@yna.co.kr
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