South Korea's Export Performance Slows Down

In a recent report, South Korea's exports have seen a 5.1% decrease by mid-January compared to the same period last year. The government attributes this slowdown to the Lunar New Year holidays and additional temporary holidays, which have reduced the number of working days.

According to the Korea Customs Service, the export value from January 1 to 20 amounted to $31.6 billion. When adjusted for the number of working days, the average daily export value saw a modest increase of 1.4%, reaching $2.18 billion. This year, the period had 14.5 working days, one day less than the previous year's 15.5 days.

Export and Import Trends

While semiconductor exports increased by 19.2%, there were significant decreases in passenger cars (-7.3%), petroleum products (-29.9%), and auto parts (-10.1%). Exports to major trading partners such as China, the United States, and the European Union also declined.

On the import side, the value decreased by 1.7% to $35.4 billion, with a notable 16.9% drop in energy imports. This led to a trade deficit of $3.77 billion for the period.

Looking Ahead

The consecutive 15-month increase in monthly export value came to a halt in January, with expectations of a temporary slowdown due to the extended Lunar New Year holidays. An official from the Ministry of Trade, Industry and Energy highlighted the impact of the holiday timing on this month's export performance.