S.Korea's ICT exports fall for 7th consecutive monthin May
Arirang News
2019-06-21
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South Korea's export growth has continued to slow due to contracting global trade and escalating U.S.-China trade tensions.
Data released by the trade ministry show ICT exports dropped by double digits in May.
Kim Hyesung reports.
South Korea's exports of information and communication technology products fell for the seventh consecutive month in May on weak demand for semiconductors and displays.
According to the trade ministry Friday, outbound shipments of ICT goods plunged 22-point-six percent on-year to 14-point-three billion U.S. dollars in May.
Exports of semiconductors, which account for a fifth of the country's exports, plummeted a whopping 30 percent on-year on falling global demand and falling prices.
Spot prices of 4 gigabit DRAM chips fell to two dollars in May, down from three dollars in January.
Shipments of other key ICT products, including displays and mobile phones, also fell 22 percent and 34 percent on-year, respectively.
By region, South Korea's ICT exports to Vietnam edged up two percent, but shipments to China tumbled 31 percent to seven billion dollars.
Those to the U.S. and the EU also fell by double digits.
South Korea's ICT imports in May amounted to around 10 billion dollars, leaving the nation with a surplus of four-point-six billion dollars.
"Markets were expecting a rebound in chip prices and demand in the latter half of the year. But with continuing trade tensions between the U.S. and China and growing uncertainties, companies have postponed their investment in facilities and data centers, so demand for ICT goods is unlikely to rise soon."
While global trade is likely to slow down this year, the Bank of Korea has released its preliminary data on its trade balances with major countries for 2018.
South Korea recorded a total current account surplus of 76 billion U.S. dollars last year, slightly up from the figure posted in 2017.
The current account surplus against the U.S. contracted as South Korea purchased more raw materials.
The current account surplus against China and Southeast Asia went up on chip and petrochemical exports.
South Korea's current account deficit against Japan and the EU narrowed.
Kim Hyesung, Arirang News.
Data released by the trade ministry show ICT exports dropped by double digits in May.
Kim Hyesung reports.
South Korea's exports of information and communication technology products fell for the seventh consecutive month in May on weak demand for semiconductors and displays.
According to the trade ministry Friday, outbound shipments of ICT goods plunged 22-point-six percent on-year to 14-point-three billion U.S. dollars in May.
Exports of semiconductors, which account for a fifth of the country's exports, plummeted a whopping 30 percent on-year on falling global demand and falling prices.
Spot prices of 4 gigabit DRAM chips fell to two dollars in May, down from three dollars in January.
Shipments of other key ICT products, including displays and mobile phones, also fell 22 percent and 34 percent on-year, respectively.
By region, South Korea's ICT exports to Vietnam edged up two percent, but shipments to China tumbled 31 percent to seven billion dollars.
Those to the U.S. and the EU also fell by double digits.
South Korea's ICT imports in May amounted to around 10 billion dollars, leaving the nation with a surplus of four-point-six billion dollars.
"Markets were expecting a rebound in chip prices and demand in the latter half of the year. But with continuing trade tensions between the U.S. and China and growing uncertainties, companies have postponed their investment in facilities and data centers, so demand for ICT goods is unlikely to rise soon."
While global trade is likely to slow down this year, the Bank of Korea has released its preliminary data on its trade balances with major countries for 2018.
South Korea recorded a total current account surplus of 76 billion U.S. dollars last year, slightly up from the figure posted in 2017.
The current account surplus against the U.S. contracted as South Korea purchased more raw materials.
The current account surplus against China and Southeast Asia went up on chip and petrochemical exports.
South Korea's current account deficit against Japan and the EU narrowed.
Kim Hyesung, Arirang News.
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