S. Korea's monthly exports up 53 pc to record high of $87.8 billion in May
Seoul, June 1
South Korea's exports surged 53 per cent from a year earlier to a new monthly high of $87.8 billion in May, driven by the semiconductor supercycle, government data showed on Monday.
It marked the third consecutive month the country's outbound shipments surpassed the $80 billion mark, according to the Ministry of Trade, Industry and Resources.
Imports rose 20.8 percent on-year to $60.8 billion, resulting in a trade surplus of $26.95 billion, reports Yonhap news agency.
The combined trade surplus for the first five months of this year reached $101.9 billion, surpassing the yearly record of $95.2 billion set in 2017.
Exports were led by the semiconductor industry, which is enjoying a supercycle on the back of global big tech's continued investment in artificial intelligence (AI) infrastructure.
Seoul's chip exports soared 169.4 percent on-year to an all-time monthly high of $37.2 billion in May.
It marked the third consecutive month chip exports went over the $30 billion threshold. Semiconductor products accounted for more than 42 percent of the country's total May exports.
In detail, outbound shipments of D-RAMs and NAND flash memory shot up 369.8 percent and 206.8 percent to $18.6 billion and $1.7 billion, respectively.
Computer exports also skyrocketed 290.7 percent to $4.18 billion thanks to global demand for solid state drives for AI servers.
Exports of wireless communications equipment and displays increased 12.6 percent and 9.4 percent to $1.46 billion and $1.47 billion, respectively.
The combined value of shipments of petroleum products expanded 46.6 percent to $5.25 billion, despite a 23.8 percent decrease in volume, with rising oil prices amid the ongoing U.S.-Israeli war against Iran.
Notably, the volume of shipments of gasoline, diesel and kerosene products, currently under export control, each dropped by 31.1 percent, 24.3 percent and 99.9 percent on-year last month.
Exports of biohealth products added 5.2 percent to $1.44 billion, while cosmetics exports climbed 24.2 percent to $1.18 billion, the highest figure for any May.
Shipments of agro-fisheries products also went up 4.7 percent to $1.07 billion, and ship exports advanced 16.7 percent to $2.61 billion.
— IANS
Reader Comments
Interesting data, but I wonder about the sustainability. Semiconductors are cyclical—this 'supercycle' might not last forever. India's strength in IT services and software could complement hardware like this. However, we need to be cautious about over-reliance on any single sector. Good for Korea, but let's focus on diversifying our own export basket.
₹₹₹ South Korea's trade surplus crossing $100 billion in just five months is mind-blowing! Meanwhile, India is still struggling with trade deficits. The petroleum product exports rising despite volume drop shows how geopolitical tensions affect trade. India should also leverage our oil refining capabilities more aggressively.
😊 As someone working in Indian electronics manufacturing, I find this inspiring. The 290% jump in computer exports because of SSD demand for AI servers—wow! Our PLI schemes for electronics are good, but we need more investment in R&D. India has the talent; we just need the infrastructure.
Impressive numbers from Korea. The chip export growth is staggering. As an observer from the West, it's interesting to see how the AI infrastructure boom is reshaping global trade. India could benefit from this by positioning itself as an assembly hub or testing ground for semiconductor components.
🌸 All this talk of exports is great, but what about the common person? The article mentions export controls on petroleum products—gasoline exports dropped 31%! That suggests domestic consumption might be prioritized, which is good. But I hope India also balances export growth with meeting internal needs first.