Containers awaiting export and import clearance are stacked at the Singamman and Gamman terminals in Busan Port. [Yonhap]
Containers awaiting export and import clearance are stacked at the Singamman and Gamman terminals in Busan Port. [Yonhap]

South Korea's exports surged more than 50 percent in the Aug. 1-20 period compared with the same period last year, driven by strong semiconductor performance. Chips accounted for 47.2 percent of total exports — nearly half — marking the highest share ever recorded for the Aug. 1-20 period.

The robust export performance has fueled growing expectations that the country could achieve the long-sought milestone of $1 trillion in annual exports this year.

According to the Korea Customs Service on Friday, exports in the Aug. 1-20 period reached $55.2 billion on a customs-clearance basis (preliminary), up 56.0 percent from the same period a year earlier — the highest figure ever for that stretch.

The number of working days stood at 14, half a day fewer than the 14.5 days logged in the same period last year. Adjusted for working days, the daily average export value came to $3.94 billion, a 61.5 percent increase.

Cumulative exports from Jan. 1 through Thursday totaled $650.27 billion, up 51 percent from the same period a year earlier — a record for that span — even as the Middle East war and the spread of protectionism heightened external uncertainty this year.

South Korea's annual exports reached $793 billion last year, making it the sixth country in the world to join the $700 billion export club. If the current pace holds through the second half, analysts say hitting $1 trillion in exports this year is within reach.

Should that happen, South Korea could surpass Japan — which ranked sixth in the World Trade Organization's merchandise trade statistics last year with $738.3 billion — and potentially challenge the Netherlands, ranked fourth with $989.2 billion.

By product, semiconductor exports surged 198.8 percent to $26.03 billion, the largest volume ever recorded for the Aug. 1-20 period.

Semiconductors' share of total exports rose to 47.2 percent, up 22.5 percentage points from a year earlier — also a record high for the Aug. 1-20 period.

The surge in chip exports has been driven by soaring memory chip demand, which has pushed up fixed memory chip prices. Monthly semiconductor exports have exceeded $40 billion every month since June.

Petroleum products (up 56.4 percent) and computer peripherals (up 242.1 percent) also posted gains.

Passenger cars fell 45.1 percent, ships dropped 60.5 percent, and auto parts declined 19.9 percent. The slump in passenger car exports was attributed to the lingering effects of summer holidays concentrated in early August, compounded by partial strikes at some manufacturing facilities.

By destination, exports rose to China (up 118.6 percent), the United States (up 59.4 percent), Vietnam (up 67.4 percent) and Hong Kong (up 245.5 percent), while shipments to the EU fell 3.2 percent. The top three destinations — China, the United States and Vietnam — together accounted for 52.6 percent of total exports.

Imports came to $41.2 billion, up 19.0 percent from a year earlier.

Imports rose in semiconductors (up 59.4 percent), crude oil (up 17.0 percent), semiconductor manufacturing equipment (up 89.3 percent) and machinery (up 10.2 percent), while gas imports fell 17.1 percent.

Energy imports — covering crude oil, gas and coal — rose 11.1 percent.

By country of origin, imports increased from China (up 27.9 percent), the United States (up 23.5 percent), the EU (up 17.4 percent) and Japan (up 34.1 percent), while imports from Saudi Arabia fell 22.2 percent.

With exports outpacing imports, the trade balance posted a surplus of $14 billion.


oskymoon@heraldcorp.com