Semiconductor boom pushes South Korea's May exports to record high

South Korea's export performance reached a new record in May, with total export value hitting $87.8 billion. This achievement marks another milestone, largely propelled by the continued robust performance of the country's semiconductor industry. The figures, released by the Korea Customs Service on June 15, show a significant year-on-year increase of 53.4%.

This surge in exports has extended a streak of growth, with overall export value increasing for 12 consecutive months since June of the previous year. Furthermore, the $80 billion mark has been surpassed for three months consecutively, underscoring a sustained upward trend in the nation's trade.

The semiconductor sector was the primary driver of this export boom. Semiconductor exports alone amounted to $37.29 billion, an impressive 167.7% increase compared to the same period last year. This marks the third consecutive month that semiconductor exports have exceeded $30 billion.

While semiconductors led the charge, other sectors also contributed to the growth. Exports of petroleum products rose by 49.1%, followed by ships (15.8%) and wireless communication devices (8.3%). However, the automotive sector experienced a downturn, with passenger car exports decreasing by 7.5% and auto parts by 7.8%.

Geographically, South Korea saw increased exports to major markets including China (up 80.8%), the United States (up 59.4%), Vietnam (up 61.4%), and Taiwan (up 76.9%). Exports to the European Union also saw a modest increase of 3.2%. Conversely, exports to the Middle East declined by 7.5%, influenced by regional geopolitical events.

In the same period, imports rose by 20.7% year-on-year to $60.8 billion. Key import categories included crude oil (up 24.8%) and memory semiconductors (up 139%).