Korea logs November trade surplus as chip exports rebound

[Photo by Yonhap]

South Korea recorded a second consecutive month of trade surpluses in November 2023 as outbound semiconductor sales increased, according to the latest data by the Ministry of Trade, Industry and Energy.

The country’s chip exports have shown a growth trend, following 16 months of decline since August 2022. The trade balance has been in surplus for six months, with more evident signs of export recovery.

Outbound shipments from Korea totaled $55.8 billion in November, up 7.8 percent from the same month in 2022.

The country’s monthly exports declined during the nine months until October of 2023 amid sluggish sales of semiconductors and decreased exports to China, but the recovery is starting to become more evident in November.

The volume of exports has also been on a steady upward trend in 2023 to date. After falling to $46.3 billion in January, exports rose to a yearly high in November.

Semiconductor exports, a key factor in Korea’s overall export slump, are also recovering, with chip exports rising by 12.9 percent to $9.5 billion in November.

The country also recorded imports amounting to $52 billion in November, reflecting a 11.6 percent decrease compared to the same month of last year, leading to a trade surplus of $3.8 billion for November. It is the sixth consecutive month of surplus since June, and November’s trade surplus was the largest in 26 months since September 2021.