South Korea's October exports seen rising at fastest pace since 1974: Reuters poll

South Korea's export growth is forecasted to have surged at its fastest pace in over five decades in October, according to a Reuters poll released on Thursday. The acceleration was primarily driven by high demand for AI-related semiconductor investments and surging memory chip prices, Reuters reported. Projections indicate exports from South Korea, a key barometer for global commerce, rose 93.2% in October compared to the previous year, surpassing the 83.7% increase observed in September.

If realized, this would mark the 17th consecutive month of export growth and the strongest surge since January 1974. South Korea's exports surpassed $800 billion in the first nine months of the year, already surpassing last year's annual record. Analysts attribute the export growth to a surge in semiconductor demand linked to AI investments and stronger memory chip prices, though they caution that calendar effects played a significant role in the figures.

October had 22 working days compared to 20 in the same period last year due to variations in Chuseok holidays, which can skew South Korea's trade data. Economists suggest that the sharp rise in exports and imports likely reflects base comparisons and favorable conditions rather than an accelerated acceleration in actual trade activity.