South Korea's Exports Record Strongest Growth in Over 50 Years
South Korea's exports recorded a record high last October, the strongest in over 50 years, driven by increasing global demand for electronic chips and investments in artificial intelligence.
South Korean government data on Sunday showed exports rose 93.7% year-on-year to $115.28 billion, exceeding the average forecast of 93.2%.
This is the highest growth since January 1974, surpassing the 83.7% increase recorded last September. The increase in working days compared to the same period last year also boosted exports.
This performance was driven by a surge in global investments in artificial intelligence, which boosted demand for semiconductors and contributed to the Korean economy growing faster than expected in the third quarter of this year.
According to the data, semiconductor exports jumped by 259.4% in October to $56.44 billion, while computer exports rose by 496.6%, driven by increased demand for servers used in artificial intelligence services.
Korean exports to China also increased by 133.6%, to the United States by 185.8%, and to Europe by 56.4%, while shipments to Southeast Asia increased by 128%.
Korean Minister of Trade, Industry and Energy Kim Joong-kwan said that the continued strong growth in exports, exceeding $110 billion in October, makes reaching one trillion dollars in annual exports this November a certainty.
Total exports from South Korea during the period from January to last October reached $930 billion, and if it surpasses the one trillion dollar mark by the end of the year, it will be the fourth country to achieve this milestone after the United States, China, and Germany.
In contrast, imports rose by 36% year-on-year to $72.78 billion, marking the largest increase since January 2022, driven by rising oil prices and demand for semiconductor manufacturing equipment and automobiles.
The Korean trade balance recorded a surplus of $42.50 billion last October, compared to a record surplus of $49.97 billion in September.
Source: Almahriah Net + Open Sources
