Exports up 45.3% in 1st 10 days of Aug. on chips

Korea's exports surged by 45.3 percent in the first ten days of August, driven by robust global demand for memory chips, according to data released by the Korea Customs Service on Tuesday. Outbound shipments totaled $21.3 billion, a significant increase from $14.6 billion in the same period last year, marking the highest figure ever recorded for the first ten days of August.

Imports rose 23.1 percent on-year to $19.5 billion, resulting in a trade surplus of $1.8 billion. The trade surplus highlights Korea's successful export performance, even as imports also grew.

The sector most impacted by this surge was chips, with their exports skyrocketing 155.4 percent to $9.95 billion. This represents a demand that remains strong despite the global artificial intelligence (AI) boom. Chips accounted for 46.8 percent of total exports over the ten-day period, up 20.1 percentage points from the previous year. This surge underscores the importance of chips in Korea's exports and the industry's resilience amid technological advancements.

Petroleum product exports also saw a substantial increase, rising 65.3 percent to $1.99 billion. This growth reflects the continuing demand for energy-related products. Meanwhile, the automobile sector experienced a sharp decline, with exports dropping 80.9 percent to $182 million. This stark contrast highlights the sector-specific impacts of export trends, with some industries benefiting from global demand while others face challenges.

By destination, exports to China more than doubled, reaching $6.7 billion. This indicates a significant increase in trade with China, possibly driven by shared market demands and strategic partnerships. Exports to Vietnam also grew 45.4 percent to an unspecified amount, showing positive export trends in other key markets beyond China. These figures paint a picture of a dynamic export sector, benefiting from global demand for specific products and maintaining strategic trading relationships with important markets.