Import prices rebound in Sept. on higher oil prices

In September, import prices surged for the first time in four months, bouncing back due to a spike in oil prices, as indicated by central bank data released on Friday. The import price index climbed by 1.7 percent month-over-month, ending a three-month decline that began in June, according to preliminary figures from the Bank of Korea (BOK).

The turnaround occurred as Dubai crude, the country's benchmark, increased by 28.1 percent month-over-month to $113.71 in September, driven by heightened military tensions in the Middle East. Raw material prices surged 9.6 percent in September compared to the previous month, while intermediate goods declined 1.7 percent over the same period, based on BOK data.

Import prices play a crucial role in inflation, as they influence production costs and consumer prices throughout the supply chain, as per the central bank. Simultaneously, the export price index declined by 0.8 percent month-over-month in September, partially attributed to a stronger Korean won, the BOK data revealed.