S. Korea's monthly exports hit US$120.9 bln in Sept. on record chip sales

South Korea's exports surged by 83.5 percent to a record US$120.9 billion in September compared to the previous year, according to data released on October 1 by the Yonhap news agency. This remarkable increase was primarily fueled by a surge in chip shipments, which surpassed the $60 billion mark for the first time ever. The Ministry of Trade, Industry and Resources reported that overall export figures were boosted by this semiconductor export boom.

Imports, on the other hand, rose by 26 percent to $71.09 billion, resulting in an unprecedented trade surplus of $49.85 billion.

The semiconductor sector, a vital component of South Korea's economy, experienced an extraordinary surge of 263 percent in September, contributing $60.3 billion to the total export value. This growth was attributed to increased shipments and higher product prices, driven by the heightened demand for memory chips worldwide. Meanwhile, petroleum exports expanded by 72 percent to $7.22 billion, while petrochemical exports grew by 5.1 percent to $3.95 billion.

Cosmetics exports also saw a significant rise of 31.4 percent to $1.51 billion, fueled by growing demand in China, the United States, and the European Union.

However, automobile exports experienced a decline of 5.5 percent, reaching $6.05 billion. This downturn was primarily due to fewer working days as a result of the Chuseok holiday and a decrease in the sales of used cars. Despite this setback in the automobile sector, exports to China exhibited robust growth, soaring by 123 percent to $26 billion.

This surge was driven by substantial shipments of semiconductors and wireless communications equipment. China had become a consistent top destination for South Korean exports over the past four consecutive months. Additionally, shipments to the United States surged by 137 percent to $24.33 billion, propelled by robust demand for chips, petrochemical products, and general machinery.