S. Korea's ICT exports mark record high on sustained AI investments

SEOUL, September 14 - South Korea's information and communication technology (ICT) exports hit a record high in August, propelled by ongoing global investments in artificial intelligence (AI), according to government data released on Monday. The ministry reported that ICT product shipments reached a staggering US$59.98 billion, marking a remarkable 162.6% increase from the previous year's $22.84 billion.

For the first time, ICT products constituted more than 60% of South Korea's total exports in August. Import volumes in the sector surged 48.8% year-on-year to $18.61 billion, resulting in a substantial trade surplus of $41.37 billion, the highest ever recorded for the ICT sector.

Semiconductor exports experienced the most significant growth, rising 209% on-year to $46.67 billion, driven by the escalating demand for AI infrastructure and substantial investments from major tech corporations worldwide. Computer and communications equipment exports surged 383.1% to $6.4 billion, while mobile phone shipments increased 23.2% to $1.64 billion. However, the export of display panels declined by 7% to $1.69 billion, as companies grappled with rising memory prices and the need to reduce costs.

In terms of destination markets, shipments to China and Hong Kong saw a remarkable 227.9% increase, while exports to the United States grew by 306.5%. Vietnam experienced an 81.4% rise in ICT imports, the European Union saw a 49.1% increase, and India's imports climbed by 126.7% on-year.