Korea skyline

Korea Trade Balance December 2020

Korea: Merchandise exports rise at a quicker pace in December

Merchandise exports shot up 12.6% over the same month last year in December amid solid IT demand, following November’s 4.1% increase. December’s outturn marked the sturdiest expansion since October 2018. Meanwhile, merchandise imports increased 1.8% on an annual basis in December (November: -1.9% yoy), marking the best result since April 2019.

Consequently, the merchandise trade balance improved from the previous month, recording a USD 6.9 billion surplus in December (November 2020: USD 5.9 billion surplus; December 2019: USD 2.0 billion surplus). Lastly, the trend pointed up, with the 12-month trailing merchandise trade balance recording a USD 46.1 billion surplus in December, compared to the USD 41.2 billion surplus in November.

December’s result means exports fell 5.4% annually in 2020 as whole (2019: -10.4% yoy), and imports contracted 7.2% (2019: -6.0% yoy), leading to a trade surplus worth USD 45.6 billion (2019: USD 38.9 billion)

On the print, economists at Credit Suisse commented:“Newer industries including electric vehicles and bio -health products are emerging as the new growth engines for Korea’s exports, with respective growth rates of 36.8%yoy and 72.6%yoy in H22020. These products currently make up around 3.6% of total exports, up from 1.6% in 2018.” As to the outlook, they were optimistic: “Exports will likely be boosted by a multilateral approach during the Biden presidency, which could help reduce uncertainties around supply chains in the region.”

Free sample report

Access essential information in the shortest time possible. FocusEconomics provide hundreds of consensus forecast reports from the most reputable economic research authorities in the world.
Close Left Media Arrows Left Media Circles Right Media Arrows Right Media Circles Arrow Quote Wave Address Email Telephone Man in front of screen with line chart Document with bar chart and magnifying glass Application window with bar chart Target with arrow Line Chart Stopwatch Globe with arrows Document with bar chart in front of screen Bar chart with magnifying glass and dollar sign Lightbulb Document with bookmark Laptop with download icon Calendar Icon Nav Menu Arrow Arrow Right Long Icon Arrow Right Icon Chevron Right Icon Chevron Left Icon Briefcase Icon Linkedin In Icon Full Linkedin Icon Filter Facebook Linkedin Twitter Pinterest