South Korea posts record $38.61 billion current account surplus in May

South Korea achieved a record-breaking current account surplus of nearly $39 billion in May, propelled by robust performance in its semiconductor exports. This surge has significantly boosted the country's international trade figures, with the cumulative surplus for the first five months of the year surpassing $140 billion.

Preliminary data from the Bank of Korea shows the May surplus reached $38.61 billion, eclipsing the previous monthly record set in March. The cumulative surplus from January to May totaled $141.29 billion, a fourfold increase compared to the same period last year.

The goods account also saw a record surplus of $37.86 billion in May. This expansion was largely due to a dramatic increase in exports, which grew by 62.9% year-on-year. Shipments of information technology products, led by semiconductors, experienced an exceptional surge of 128.9% compared to the previous year, fueling overall export growth. Exports of non-IT products also contributed positively with a 10.0% year-on-year rise.

Imports of goods amounted to $56.48 billion in May. Increases were primarily concentrated in raw materials, which rose by 22.1%, and capital goods, which climbed by 28.0%. Despite these import increases, the strong export performance, particularly in the IT sector, ensured a widening trade surplus for the month.