Economic boost: Pedestrians walking in the streets of Seoul as snow falls. South Korea has been maintaining a trade surplus for 19 consecutive months. — Bloomberg
SEOUL: South Korea’s exports advanced 8.2% year-on-year (y-o-y) in 2024 to set a new annual record on robust shipments of semiconductors, data shows.
Outbound shipments came to US$683.8bil last year, compared with the previous record of US$683.6bil set in 2022, according to the data compiled by the Trade, Industry and Energy Ministry.
Imports fell 1.6 y-o-y to US$632bil, resulting in a trade surplus of US$51.8bil.
The ministry said outbound shipments of eight out of 15 major export items gained ground in 2024.
By sector, exports of semiconductors rose 43.9% y-o-y to US$141.9bil, surpassing the previous record of US$129.2bil set in 2022.
The strong performance of chips was driven by robust demand for premium products, including high-bandwidth memory chips, despite the overall decline in global semiconductor prices.
Exports of other tech products also increased throughout 2024, with those of mobile devices and computers surging 11% and 77% y-o-y, respectively.
Outbound shipments of automobiles edged down 0.1% to US$70.8bil due to production disruptions caused by strikes by auto parts makers in the second half, the ministry said.
Other major winners included the biohealth industry, whose exports climbed 13.1% y-o-y to US$15.1bil on the strong performance of biosimilar products.
Exports of ships jumped 18% to US$25.6bil on the back of strong demand for large-sized container and liquefied natural gas carriers.
By destination, exports to China, the top trading partner, increased 6.6% to US$133bil, led by chips, petrochemical products and mobile devices.
Shipments to the United States grew 10.5% to US$127.8bil, reaching a new annual high for the seventh consecutive year.
Exports to South-East Asia rose 4.5% to US$114bil on the back of chips and petroleum products, the data showed.
For December, exports added 6.6% from a year earlier to US$61.38bil, marking the 15th consecutive month of y-o-y increase.
Imports rose 3.3% to US$54.8bil in the month, resulting in a trade surplus of US$6.49bil.
South Korea has been maintaining a trade surplus for 19 consecutive months.
In December, exports of chips jumped 31.5% to US$14.5bil, setting a new monthly high on strong shipments of high-bandwidth memory chips and DDR5 products.
Exports of automobiles shed 5.3% to US$6bil due to supply disruptions in auto parts caused by heavy snow, the data showed.
Outbound shipments of petroleum products fell 12.2% to US$3.93bil due to the falling global crude prices, which led to reduced production by local refiners.
Exports of petrochemical products, on the other hand, added 1.8% to US$3.86bil on the expansion of local production facilities.
By region, exports to China added 8.6% y-o-y to US$11.8bil in December on strong demand for chips amid the boom in the artificial intelligence industry.
Shipments to the United States added 5.5% to US$11.9bil, as strong demand for chips and ships offset weaker exports of automobiles and machinery products.
“Despite high global interest rates and inflation, along with the Russia-Ukraine war and the Middle East crisis, South Korea achieved record exports and a trade surplus thanks to the unwavering efforts of exporters,” Industry Minister Ahn Duk-geun said.
“With the launch of a new US administration just a month away, the government will work closely with the private sector to minimise the negative impact of overseas uncertainties,” Ahn added. — The Korea Herald/ANN
