Korea’s exports up 11.2% in Jan. 1-10 on strong chip demand

[Photo by Yonhap]

South Korea’s exports gained more than 11 percent in the first 10 days of January against a year ago on solid demand for mainstay chips.

According to the Korea Customs Service on Thursday, the country’s outbound shipments reached $15.44 billion from January 1 to 10, up 11.2 percent from the same period a year ago. Daily exports increased 11.2 percent on year based on 7.5 working days, the same as last year.

Exports to China, in particular, soared 10.1 percent during the cited period, marking the first surge in 20 months for the first 10 days of any month since May 2022.

Exports to China totaled $3.24 billion, surpassing those to the U.S. at $2.64 billion.

By product, semiconductor exports grew 25.6 percent in the first 10 days of January. The monthly export value of semiconductors rebounded in November, showing a positive trend for the second consecutive month after 15 months of decline since August 2022.

Exports of petroleum products also gained 20.1 percent, passenger vehicles 2.2 percent, and vessels 182.9 percent.

Imports in the first 10 days of January fell 8.3 percent to $18.45 billion, resulting in a trade deficit of $3.02 billion, half the size of the same period last year.

Imports of crude oil gained 19 percent while those of chips, gas, coal, and vehicles fell.

Korea has posted a monthly trade surplus for seven months from June to December last year.

“The upward trend in exports since October last year is expected to continue this month on the back of strong growth in the semiconductor, automobile, and shipbuilding sectors,” said an official from the Ministry of Trade, Industry, and Energy. “The trade balance is anticipated to improve toward the end of the month as imports typically increase at the beginning of the year.”