Korea’s June 1-10 exports down 4.7% on fewer working days

[Photo by MK DB]

South Korea’s exports fell by nearly 5 percent in the first 10 days of June compared to a year ago due to the impact of fewer working days.

According to the Korea Customs Service on Tuesday, the country’s exports totaled $14.58 billion from June 1 to 10, down 4.7 percent from the same period last year.

Daily exports soared 11.2 percent based on 6 working days, one day shorter than last year.

Monthly exports have been on the rise for eight consecutive months from October 2023 to May 2024.

By product, semiconductor exports increased 36.6 percent in the first 10 days of June from a year ago. Chip exports gained by double digits for seven straight months until May 2024.

Exports of petroleum products rose 9.3 percent and home appliances 19.9 percent.

Exports of passenger cars, on the other hand, fell by 18.9 percent from June 1 to 10, wireless communication devices declined by 1 percent, steel products by 12.0 percent, and ships by 39.7 percent.

By country, exports to China fell by 8.5 percent during the cited period. Shipments to the European Union (EU) also fell 19.4 percent and to Japan 13.8 percent.

Outbound shipments to the United States, however, climbed by 10.2 percent and those to Vietnam increased by 11.3 percent.

Although exports to China fell in the first 10 days of June from the same period a year ago, they totaled $2.97 billion, surpassing exports to the U.S. ($2.83 billion).

In May, Korea’s exports to China reached an all-time high in 10 months.

Imports, in the meantime, fell 7.4 percent in the first 10 days of June from a year ago to $15.41 billion, resulting in a trade deficit of $829 million widening from a deficit of $542 million in the same period last month.

Imports of crude oil rose 23.9 percent, semiconductors 10.6 percent, and petroleum products 4.5 percent.

Imports of machinery and semiconductor manufacturing equipment, however, fell by 8.5 percent and 3.7 percent, respectively.

By country, shipments from the EU rose 1.4 percent and the U.S. 4.5 percent, but imports from China fell 13.3 percent, Japan 22.8 percent, and Australia 21 percent.

“Although exports declined slightly due to a one-day shortage of working days in the 10-day period, average daily exports recorded a double-digit growth rate, maintaining a strong upward momentum in exports,” said a Trade Ministry official. “Despite a 1.5-day shortage of working days for the full month, we expect the overall export and trade surplus trend to continue, led by strong demand for information technology (IT) items including semiconductors.”